The Metropolitan Transport Authority has called for more incentives to encourage motorists towards electric vehicles.

Motorists in Australia contribute to federal and state-funded road maintenance and infrastructure in a number of ways, such as vehicle registration, tolls, GST, insurance premiums and fuel.

However, as more drivers turn to electric vehicles the federal government is facing a loss in revenue from fuel.

MTA Queensland chief executive Brett Dale believes caution needs to be applied to ensure more barriers are not created that prevent the uptake of EVs in Australia, citing the significant upfront cost associated with the cars already means they are beyond the budget for a lot of consumers.

“EVs are an incredibly positive step forward for our industry and we must keep pace with the impacts of disruptive technology to ensure we seize the opportunity they present,” he says.

“Currently, Australia offers little incentive for EV uptake and we must realise their potential, not just for reducing emissions but for possible onshore manufacturing and jobs if the demand is met.

He says the a push for road tax reform is swiftly approaching and MTA Queensland supports the user-pay approach, providing an equitable solution for all road users. The system would be based on a tax payment associated with the distance a vehicle has travelled, rather than its fuel source.

“Further, it is imperative that the state and federal governments follow the example of other countries including Canada, China, USA, India, Japan and many European countries. These countries provide price subsidies and tax reductions, exemptions and credits to encourage the uptake of EVs,” Dale concludes.