EVs hit record-low prices as south-west records 'solid' uptake

Rather than the initial $60,000-plus price tag when the battery-powered vehicles arrived in the region, the technology is becoming more affordable for the average consumer.

Callaghan Motors dealer principal Steve Callaghan said the price would continue to decrease in coming years as more manufacturers produced electric vehicles.

"There's a broader range of vehicles," Mr Callaghan said. "There's more coming to the market now.

"We've got the MG4 which is their EV. Its entry-level vehicle is priced just below $40,000 which is obviously a lot more affordable.

"Generally EVs have been priced in the mid-60,000s but now there's a wave of EVs coming through in the mid-40,000s which makes it a lot more affordable for the average consumer."

Mr Callaghan said environmentally conscious customers were happy to pay "a little bit more" for an EV, but ultimately it came down to what they could afford.

He said the uptake of EVs in the south-west was "solid" and national sales data showed support for the vehicles was growing.

"It's definitely increased," he said. "There has been a swing. Last year it was about two per cent of the market and now it's heading towards 10 per cent (nationally). The consumer is moving the needle for sure.

"The uptake's been solid in Victoria and the south-west. We've followed the state regional trend.

"The uptake has been more in metro because there's still a little anxiety about kilometre range and infrastructure regionally. But if you get a plug-in hybrid you've got the best of both worlds. You still have a petrol car and an electric car."

He said the increased number of models on the market was due to environmental awareness and new regulations out of Europe. From 2035, all cars sold in the European Union will be zero-emission vehicles.

"Some manufacturers have announced they're going to be fully electric by 2030," Mr Callaghan said. "Mercedes Benz has, they're going to be fully electric by then.

"Obviously the environmental impact is driving it and then it depends on where the manufacturers are and what philosophy they have, but it's coming that's for sure.

"As there's more volume the price will get cheaper again."

Callaghan's has stocked electric vehicles for the past five years, now boasting its biggest offering, with both hybrid and plug-in hybrids available.

"There's a difference between a plug-in hybrid and a hybrid," he said. "A hybrid has an electric engine and a petrol engine but a plug-in hybrid has an electric engine and a petrol engine plus you can plug it in and charge the battery.

"There's a bit of a distinction between a plug-in hybrid and a hybrid but we're selling all three now.

"It's growing model by model. All the manufacturers are bringing out a broader range of plug-in hybrids, hybrids and electric cars and that will only grow over the next five to 10 years."

He said three new models had arrived this week. The MG4, which he said rated very well in the UK and in other markets and Hyundai's specialised electric brand IONIQ, which Callaghan's has been appointed an agent for, with the IONIQ 5 and IONIQ 6 in stock.

The Warrnambool dealership is helping to make it easier for buyers to make the switch to electric vehicles, installing two charging stations for public use earlier this year.

IN OTHER NEWS

Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content: