Electric vehicle ownership: Inner city buyers prop up flagging car sales

The latest data shows a sharp decline in the purchase of electric vehicles in NSW, with the inner city propping up the otherwise flailing industry.

Electric car ownership is more than three times higher in the inner city compared to many western Sydney suburbs and 10 times that of major regional NSW towns, while new data shows an overall surge in hybrid buyers as EV sales declined in the past three months.

Nationally, all new car sales dropped 7.6 per cent in the September quarter, including a significant 25 per cent drop in the number of EVs sold, though hybrid sales bucked the trend and rose by 3.3 per cent.

In the first half of last year, EVs outsold hybrids, but since then the trend has reversed with more Australians now buying hybrid vehicles in every state and territory, according to the new data analysis released by the Australian Automotive Association today.

There’s been a sharp decline in electric vehicles.

The AAA has also analysed postcode data showing where electric cars were registered in 2023, with inner city areas still hosting significantly more green vehicles than outer suburbs and regional centres.

The NSW postcode of 2000, which captures city suburbs like Sydney and Barangaroo had 930 electric vehicles registered as of 31 January 2024, while the 2020 postcode of Mascot had 923 EVs registered and the 2113 postcode, including the northwest suburbs North Ryde, East Ryde and Macquarie was next, with 826.

By comparison there were only 172 electric vehicles registered in Bankstown’s 2200 postcode, 234 in Blacktown, 162 in Penrith, 252 in Parramatta and just 73 in Fairfield.

One exception was the postcode of 2155 – the outer northwest suburbs of Beaumont Hills, Kellyville and Rouse Hill, which had the most EVs in the state, with 1005 cars registered.

Regional NSW centres were lower than western Sydney, with 91 registered EVs in Tamworth, and 76 each in Wagga Wagga and Dubbo.

Electric vehicles pictured at Blacksmith’s Workshop at Carriageworks. Picture: Monique Harmer

Despite the more recent decline for the September quarter, Electric Vehicle Council head of legal, policy and advocacy Aman Gaur said battery-only EV sales had increased five per cent in the past year.

“We are now seeing more and more affordable EVs enter the Australian market and we expect this trend to accelerate as the New Vehicle Efficiency Standard comes into effect in 2025,” he said.

“Over 40 per cent of EVs were purchased in outer metropolitan areas last year and growth in the suburbs will be strong given these drivers drive the most and therefore stand to benefit the most in cost savings.”

Climate Change and Energy Minister, Chris Bowen. Picture: Nikki Short

A spokeswoman for Climate Change and Energy Minister Chris Bowen praised the overall take up of battery, hybrid and plug-in hybrid cars in Australia, with the number of EVs on Australia’s roads tripling from 80,000 in 2022 to about 265,000 this year. She said more choices, particularly utes and SUVs, would be available under the new standards.

Coalition climate change and energy spokesman Ted O’Brien said Labor was putting consumer choice at risk with policies that preference EVs “over everything else”.

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Originally published as Electric vehicle ownership: Inner city buyers prop up flagging car sales