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Demand to extend funding to e-bikes and electric cars

New Zealand electric cars and plug-in hybrids are getting cheaper starting today under the government’s recently unveiled subsidy. But one of the most popular and environmentally friendly electric vehicles is not eligible: the e-bike.

The advocacy group for cyclists, Cycle Action Network, would like the subsidies to be extended to e-bikes and traditional bicycles as well as safety equipment.

Transportation Secretary Michael Wood said e-bikes were “a fantastic option” to reduce carbon but made no commitment to incentives. “We are working through all options to achieve our emissions reduction targets.”

According to the Climate Change Commission, the carbon footprint of an electric vehicle is 60 percent smaller than that of a conventional gasoline or diesel car over its entire service life. However, because they require fewer materials, less lithium and electricity, the total area of ​​an e-bike can be ten times smaller than that of an electric car, according to an independent international study.

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Jill Ford, a member of the Cycle Action Network, said initiatives that encourage cycling address other issues, such as urban congestion and poor health due to sedentary lifestyle. “We have one of the highest car ownership rates per capita in the world and are also second or third” [in the OECD] for obesity. I am sure they are linked. “

Ford is a push bike and eMTB rider. E-bikes are great for a range of trips, from commuting to work to running to school, and cycling removes the stress of finding a parking space on time.

Ford believes the upfront costs – with e-bikes starting at $ 2,000 and push bikes built for commuting around $ 700 – get in the way. “That’s a lot of money when you’re a family that lives week after week.”

She would prefer a direct subsidy, as the UK is considering, fearing that a charging system with additional charges for large cars could cause “even more bike lash”. But those subsidies could reduce the negative health effects of inactivity by millions of dollars, she added.

E-bikes use less material and less electricity - this can result in a carbon footprint of a tenth of an electric vehicle over the course of a lifetime.

Vanmoof / DELIVERED

E-bikes use less material and less electricity – this can result in a CO2 balance of a tenth of an electric vehicle over the course of a lifetime.

Minister Wood believes the cost of e-bikes is less of a barrier compared to electric vehicles. “Right now there is a lot of evidence that they are very well received.”

E-bikes are already the most popular electric vehicle – more than 47,000 were imported last year, more than the total number of electric cars on the streets. In 2019, 65,000 e-bikes and scooters arrived in the country.

Transport policies in the government’s emissions reduction plan, due to be released before the end of the year, will take health benefits into account, Wood said.

In its recommendation, the Climate Commission recommends a number of measures to promote cycling, walking and public transport. E-bike subsidies didn’t make it.

The Commission’s transport team leader Alexandra Aimer-Seton agrees that e-bikes – which make longer and hilly trips easier – will play an important role in reducing emissions.

“For low-income communities, price will be a 100 percent barrier, and low-income communities are often some of the people who can benefit most from technologies like e-bikes,” she said.

However, the data suggests the country must first make cycling safe with its own infrastructure, she added. This was the focus of the Commission’s recommendations. “If people don’t feel safe, they won’t want to step on them.”

Would you like to own a new electric vehicle or a plug-in hybrid?  From July they will be cheaper thanks to a new government grant.

Brendon Thorne / Getty Images

Would you like to own a new electric vehicle or a plug-in hybrid? From July they will be cheaper thanks to a new government grant.

How does EV funding work?

Newly imported electric or plug-in hybrid cars are eligible for discounts from today. Buying brand new qualifies an electric car for $ 8,625 and a plug-in hybrid for $ 5,750. Used imports are also qualified, although the payments are lower: $ 3,450 for an all-electric vehicle and $ 2,300 for a plug-in hybrid.

If the car has already driven on New Zealand roads, it will not be eligible for the program. Cars must cost under $ 80,000 and receive three or more stars on safety ratings.

This money is not paid out to the dealer. The owner must register the sale online and payment is made directly.

The direct grant will take a maximum of six months but could expire sooner. There is only a limited pot of money available, and if demand exceeds that amount, some new EV owners will be missing out.

In 2022, a more complicated system of discounts and fees (designed to offset each other) will replace the subsidy. The procedure for claiming a discount remains unchanged. When the vehicle is first registered, fees for more polluting vehicles must be paid.

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