The National Automotive Leasing and Salary Packaging Association (NALSPA) says the doubling of plug-in hybrid (PHEV) sales over the past year underscores Australian motorists’ growing appetite for low-emissions vehicles and the effectiveness of government incentives.
It says the latest Federal Chamber of Automotive Industries (FCAI) figures reveal in the first half of 2024 PHEV sales were up nearly 130% compared to the same period a year earlier, with regular hybrid vehicle sales up by about 113%.
PHEVs comprised 17% of all electrified passenger and SUV June sales, up from 6.6% from June 2023, and represent nearly 22% of electrified SUV sales for the year to date, up from 10.6% in the first half of 2023.
NALSPA chief executive Rohan Martin says plug-in hybrids are an important low emissions vehicle type in Australia.
“Australians want to reduce their carbon footprint and their vehicle running costs, but for many making the transition to a full EV is not an option that suits their transport, lifestyle or work needs, especially for those living in regional Australia,” he says.
“The federal government’s fringe-benefit tax exemption on novated leases is opening the door to these Australians to consider and choose a plug-in hybrid model.
“Plug-in hybrids allow drivers the option to effectively drive in an EV for most of their day-to-day shorter trips, while retaining the ability to utilise efficient petrol or diesel engines for longer journeys or as necessary to re-charge the battery,” says Martin.
“We are also seeing swift advancements in electrified vehicle technology with the growing and future introduction of super-hybrid and range extender PHEVs which further reduce the emissions and electric-only driving range of such vehicles.
“The overwhelming feedback we are getting from our members and their customers is that the FBT exemption is undoubtedly driving Australians across metropolitan and regional locations to get behind the wheel of PHEVs,” he says.
“For many, the FBT exemption makes PHEVs more attractive than their traditional combustion engine equivalent models, especially when reducing emissions is a key consideration.”
PHEVs are offered in a growing range of SUV and pick-up models in particular, which Martin says NALSPA knows are extremely popular in the Australian market.
“This range will be expanded in the near future with introduction of new PHEV pick-ups including the Ford Ranger, BYD Shark and Mitsubishi Triton.”
“We expect to see plenty more PHEVs flying off the lot this year, and we expect that trend will continue for as long as the FBT exemption remains in place.”
