Discount finance program encourages Australians to switch to EVs

Minister for the Environment and Energy Josh Frydenberg has announced that the Clean Energy Finance Corporation (CEFC) is supporting a $100 million asset finance program to encourage Australians to switch to electric vehicles.

Available through Macquarie Leasing, the program offers a 0.7% discount on finance for electric vehicles, plug-in hybrid electric vehicles and a range of eligible energy-efficient and renewable energy equipment. A 0.5% finance discount is also available to those customers choosing eligible lower emissions passenger vehicles.

“Electric vehicles will play a big role in terms of creating more sustainable cities with less pollution and improved health outcomes for our community,” said Frydenberg.

“By providing discounted finance through the CEFC, it is hoped we can encourage a greater uptake of electric vehicles and reduce emissions.”

The increased use of electric vehicles, especially when linked with renewable electricity sources, can make a significant contribution to emissions reduction. ClimateWorks estimates Australia can reduce carbon emissions by around 9 million tonnes by 2030 through the increased use of electric vehicles, coupled with the ongoing decarbonisation of the electricity grid.

“Clean energy technologies are developing quickly, and become more cost-effective as they reach scale,” said CEFC CEO Ian Learmonth. “By supporting the more widespread adoption of exciting clean energy solutions, such as electric vehicles, we can accelerate the decarbonisation of our economy.”

Designed to make it easier for customers to consider clean energy options, the Macquarie Leasing program extends to new energy-efficient vehicles and equipment, as well as rooftop solar and battery storage. Investment in equipment to upgrade the energy efficiency of buildings, such as energy-efficient lighting, building management systems and better air conditioning, will also benefit from the discounted finance.

Macquarie Leasing will initially make the discounted finance available to customers through its existing relationships with car manufacturers. Customers will receive a discount to Macquarie Leasing’s standard interest rate when they enter into arrangements to hire or lease or finance the purchase of vehicles that satisfy the criteria for qualifying contracts.

The program is funded under the Sustainable Cities Investment Program.