Key facts
- Electric vehicle sales in Australia surpassed petrol cars for the first time in August.
- Over 27,000 EVs were sold in August, representing 24.9% of new car sales.
- High fuel prices and a federal vehicle emissions standard are driving EV adoption.
- Toyota, BYD, and Tesla were the top-selling car brands.
- The Tesla Model Y was the most popular new car model.
Electric vehicle sales in Australia have surpassed those of petrol cars for the first time, driven by soaring fuel costs and government policies encouraging the adoption of cleaner vehicles. In August, over 27,000 EVs were sold, marking a new monthly record and accounting for 24.9% of all new car sales, exceeding both petrol (nearly 26,000) and diesel (23,600) vehicles. When plug-in hybrids are included, the proportion of new cars with a plug rose to 36% of sales.
The surge in EV uptake is attributed to two primary factors: the impact of global events on oil prices, making petrol cars more expensive to run, and the introduction of a federal vehicle emissions standard last year, which has led to an increase in the availability of low and zero-emission models across various price points. Previously, Australia lagged behind most OECD countries in EV adoption, with electric vehicles making up less than 2% of sales just four years ago and around 8% last year.
Chris Bowen, Australia's Climate Change and Energy Minister, described the milestone as "landmark," stating that Australians have rejected "scare campaigns" and are choosing EVs for their lower running costs, environmental benefits, and reduced exposure to volatile international petrol prices.
In terms of brands, Toyota remained the most popular in August, followed by Chinese EV manufacturer BYD and Tesla. Notably, five of the top 10 brands were Chinese. The Tesla Model Y emerged as the best-selling new model, with over 6,400 units sold.
Industry bodies acknowledge the significant shift. The Electric Vehicle Council's chief executive, Julie Delvecchio, noted a "structural shift in the way Australians choose their cars," citing both economic and environmental advantages. She emphasized the need to expand access to EV benefits for Australians in regional areas, apartment dwellers, and renters. Tony Weber, CEO of the Federal Chamber of Automotive Industries, highlighted that consumer choice and competition are reshaping the market, stressing the critical need for charging infrastructure to keep pace, especially in highways, rural areas, and for those without home charging access.