
The New Zealand government announced a new package of incentives under its ‘Clean Car Upgrade’ programme, designed to speed up the adoption of low and zero emission vehicles.
The new incentives are aimed at improving the affordability of electric and hybrid vehicles among middle- and low-income families, to encourage them to make the switch from internal combustion engine (ICE) vehicles.
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By GlobalDataThe Clean Car Upgrade programme is part of the government’s Emissions Reduction Plan, a broad-based programme designed to keep the country on track to meet its carbon emissions commitments.
The government plans to make available an additional NZ$569m under the Clean Car Upgrade to provide new incentives to families willing to scrap their existing cars for new hybrid or electric vehicles (EVs).
A pilot run will try to incentivise the replacement of an initial 2,500 ICE vehicles.A further $20m will be made available to support leasing programmes for low emission vehicles.
According to the Motor Industry Association, sales of electric and hybrid vehicles in New Zealand almost doubled to 25,194 units in 2021, equivalent to 15% of the 165,287 total. Sales of battery powered vehicles surged 344% to 6,899 units, or 4% of total sales.