Electric vehicle fleets

In Australia, the transport sector accounts for almost 20% of total emissions. We’re working to support NSW’s transition to electric vehicles and help fast track the transport sector to net zero emissions by 2050. 

We are investing $105 million in the Drive electric NSW EV fleets incentive, helping NSW organisations accelerate their shift to EVs and reduce emissions.
 

EV fleets incentive

If you’re a NSW business, not-for-profit, hire company or local council, don’t miss your opportunity to access incentives to support the purchase of battery electric vehicles (BEVs) or fuel cell electric vehicles (FCEVs).  

This will help you bridge the cost of transitioning your fleet’s passenger, light commercial or sports utility vehicles to BEVs through a reverse auction process. Additional funds also available for smart base charging.

There will be multiple funding rounds until 2024. Initial bids for the first round of our EV fleets incentive are now closed. Round two is scheduled to open in the second quarter of 2022. Make sure to sign up below to be one of the first to know when the bidding platform will open!

EV fleets incentive guidelines [pdf] Frequently asked questions

Please note, updates to the guidelines and frequently asked questions could be made for each round. 

Eligibility

There are two funding streams with different eligibility requirements. Bids will be assessed against other bids in the same stream.

• Individual fleets – you must operate a fleet of at least 10 vehicles in NSW to support your organisation’s purposes. Eligible organisations include - but are not limited to - business, local council and non-government organisations. 
• Aggregators – you can offer incentive funding to NSW customers as part of the vehicle leasing arrangements you provide. This includes fleet management organisations and private businesses that offer fleet leasing arrangements to NSW customers. 

Bidding platform

Once you have read the guidelines and supporting documents, you can sign up to access the online bidding platform and participate in the reserve auction. A summary of the bidding process is detailed below.

Get prepared by taking a look at the bidding checklist (.pdf) 

BIDDING PLATFORM 

Our bidding platform has been built by a third party; learn more by taking a look at our bidding platform declaration.

Stage 1 – Prepare for the bid

Here you will be able to select the type and number of BEVs or FCEVs you’re looking to procure. The platform will calculate the difference in the total cost of ownership (TCO) compared to vehicles that would have otherwise been purchased or leased, as well as the emissions (CO2 equivalent) saved. 

Once these amounts are calculated you will be able to request funding per vehicle, and the $/tonnes CO2e (which is how you will be ranked against other bidders), will be automatically determined. Once finalised this information will be used for your initial bid. 

Stage 2 – Register and place your initial bid

Here you will use the information from Step 1 to formalise your bid with evidence:

• of annual driving distances 
• to support changes made to pre-set values of the TCO calculation
• if you plan to use renewable energy to charge the new BEVs.

You will also be confirming your organisation meets eligibility requirements, is committed to any procurement costs and will meet all funding requirements.

Stage 3 – View ranking and place your final bid

Here you will be provided with your current ranking compared to the most competitive bidder in your stream. You can either confirm or update your bid. You will only have a week to make your final bid.

Stage 4 – Results and funding deed for successful bidders

Announced March/April 2022

We will contact bidders to let them know whether they have been successful. 

If successful, the incentive funding deed must be signed by an authorised representative of your organisation and the department before your organisation is entitled to receive the incentive. Additionally, BEVs/FCEVs will need to be purchased and registered (which can take up to six months) before funding is provided.

Before receiving payment successful bidders will need to provide evidence for payment as stipulated in the incentive guidelines.

What support is available?

View the recording of our online information session for an overview of eligibility, the application process, the bidding platform and key dates.

If you have any further questions after reading the guidelines and FAQs, please contact [email protected].  

To stay updated on future EV announcements, sign up below. 

Why EVs for business?

Corporate and government fleets account for over half of new vehicle sales in Australia (and are a significant source of second-hand vehicles), often drive more kilometres and have higher expenses for fuel and maintenance.

When organisations electrify their fleets, they are not only presented with a huge opportunity to reduce their emissions and save operating costs but can have a powerful impact on the national market, spurring demand for, and increasing supply of, electric vehicles, both new and used.  

Cheaper to run

EV are significantly cheaper to run and to maintain. An average NSW fleet driver is likely to save around $3,100 in running costs per year by switching to an EV. 

These savings are even higher for vehicles that are on the road more often, including taxis, buses, freight and rideshare vehicles. For example, a taxi driver can save up to around $4,500 per year by switching from a hybrid petrol car to a battery EV or even more if switching from a traditional petrol vehicle. 

Great driver experience and better for the environment

A fleet of BEVs/FCEVs are quieter, smoother and cleaner for the environment. They produce no tailpipe emissions and so are superior for air quality and human health. They are also considered by experts and users to have greater technical performance than internal combustion engine vehicles.