The Motor Traders Association of New South Wales (MTA NSW) has a comprehensive wish list for the upcoming state budget to support the evolving needs of the state’s automotive industry and accelerate the transition to electric vehicles (EVs).
Encompassing three focus areas – workforce development, consumer incentives for EVs, and infrastructure expansion – the industry association urges the state government to address the automotive sector’s skills shortage and expedite the upskilling of the automotive workforce to support increased adoption of EVs.
It says the impending shift towards EVs presents opportunities and challenges for the automotive landscape.
Recent trends indicate a rising demand for EVs Australia-wide, with EVs and hybrid vehicles accounting for a record 23.5% of new vehicle sales in March 2024.
However, according to MTA-NSW, this transition poses significant challenges for the automotive sector, the majority of which are small and often family-owned businesses that don’t have the time or resources to invest in upskilling.
Recognising the importance of equipping the workforce with essential skills, MTA NSW stresses the need for comprehensive training in EV technology to ensure safety and proficiency as these vehicles become more common.
“The automotive industry is at a critical point where we must transition towards a future dominated by electric vehicles. To navigate this shift successfully, MTA NSW is urging the state government to invest in training programs and infrastructure development to benefit consumers, automotive businesses, and their staff,” says MTA NSW chief executive Stavros Yallouridis.
MTA also advocates reinstating rebates on purchasing electric and zero-emission vehicles, removing stamp duty on new EVs, and funding an expanded network of electric charging stations statewide.
The budget submission also addresses the industry’s persistent and crippling need for skilled workers, which has seen 35% of occupations in the automotive sector classed as being in ‘shortage’.
To alleviate the industry pressure caused by this shortage, MTA recommends the government invest in developing high school skills programs and new pathways for people interested in transitioning into the automotive industry from other sectors.
This includes developing localised programs that address region-specific workforce shortages by providing equitable access to training opportunities across NSW.
“We are urging the state government to take these recommendations onboard, not only to facilitate a smooth transition to clean transportation but also to foster a thriving automotive industry capable of meeting the evolving needs of Australian drivers,” Yallouridis says.
With six million vehicles on NSW roads, small and medium-sized enterprises form the backbone of the automotive industry. MTA NSW warns that if the government doesn’t soon invest in attracting skilled workers and adequate training opportunities, the sector may buckle under the pressure of the evolving automotive landscape.
