State Government chooses luxury 2020 Genesis G80 to replace last remaining Holdens for ministers

The State Government is purchasing a new batch of luxury cars to replace the fleet’s last remaining Holdens. And they’re not electric – despite a vow.

The Genesis G80, a luxury car made by South Korean automotive giant Hyundai, will replace the last remaining Holdens in the State Government’s ministerial fleet.

SA Financing Authority briefing notes, obtained by the Opposition under the FOI Act, showed there were seven Holden Caprice V V8s “overdue for replacement” in the government’s ministerial chauffeur fleet in January.

In the absence of locally manufactured cars, Treasurer Rob Lucas approved the four-cylinder, rear-wheel-drive 2020 Genesis G80 sedan to replace the remaining Holdens. Worth $84,990, the car is well over the luxury car tax threshold of $68,740 and nearly $25,000 more than the Holden Caprice V V8’s last listed price.

On a 24-month, 60,000km lease term, the government is expected to pay $1320 per month for each new Genesis – $250 more per month than the Caprice under the same lease terms.

Mr Lucas said electric vehicle options, including the Jaguar I-Pace and the Tesla Model S, were considered too expensive, but he expected the entire public service to shift towards electric vehicles in the “very near future”.

“We are certainly committed to the whole fleet, including the ministerial fleet, moving in that direction,” he said.

In December last year, Premier Steven Marshall announced an $80m plan for getting public servants electric vehicles. It came after the government’s controversial proposal to slug electric vehicle owners a user charge.

Opposition treasury spokesman Stephen Mullighan accused the government of “shying away” from electric vehicles because of the proposed tax.

South Australian premier Steven Marshall and Education Minister John Gardner seen leaving a Genesis in July 2020. Picture: Tait Schmaal

The original decision to switch to Genesis, Hyundai’s luxury line, was made in April 2020, when Fleet SA leased out the last ten available 2019 G80 models at $1300 a month.

Other options considered at the time were the Chrysler 300 Core V8, Skoda Superb 2016 AWD and the Volkswagen Arteon 206 AWD.

With the 2019 Genesis G80 now discontinued, the government this year moved to acquire the more expensive 2020 variant.

Mr Mullighan said: “Not only has the state lost thousands of jobs from the end of car making, it continues to cost taxpayers thousands of dollars a month extra for these cars.”

Mr Lucas argued the price difference would be offset through better fuel efficiency and cheaper tyres.

“The Liberal government saved $368,000 a year by getting rid of two chauffeur vehicles and three drivers,” he said.

Pressure on electric vehicle incentive

Victorian Government subsidies of up to $3000 for new electric vehicle purchases under $69,000 will not be matched in South Australia – for now.

The State Government says that while “we don’t currently have an EV subsidy, we won’t rule it out”.

Under the new scheme in Victoria, both battery electric vehicles and hydrogen fuel cell electric vehicles are eligible for the $3000 Zero Emissions Vehicle Subsidy Program. It aims to make half of all new light vehicle sales green by 2030.

It’s part of a $100m package, which also includes a controversial new tax.

SA has also proposed a new “road-user charge” to make sure electric vehicles contribute to future road maintenance costs, opposed by Labor and crossbench MPs and then sent “back to the drawing board” for further consultation.

SA Energy and Mining Minister Dan van Holst Pellekaan said Victoria’s latest energy and emissions targets still lagged behind SA’s nation-leading performance.

“We welcome Victoria copying significant components of our $18m EV action strategy, our fast charging network and the transition of the state fleet to electric vehicles,” he said.

The Victorian Renewable Energy Target has also been revised to 50 per cent by 2030.

“SA will achieve 100 per cent net renewable energy generation by 2030,” Mr van Holst Pellekaan said.

The Victorian Government emissions reduction target is a cut of 50 per cent by 2030, down from 2005 levels, whereas SA is going for “more than 50 per cent”.

– Clare Peddie

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