Encouraging zero emissions vehicle uptake is in the best interests of users and taxpayers. However, it has broad implications for the structure and operation of the energy market as greater uptake will increase electricity demand and place pressure on local distribution infrastructure.
No single agency, government or sector can drive the systemic transformation Australia needs to introduce zero emission vehicles.103 There needs to be a concerted Australia-wide effort. The Department of Industry, Science, Energy and Resources should expand the Future Fuels Strategy into a comprehensive, coordinated national strategy for zero emission vehicles, that considers state and territory commitments. This would incorporate energy and transport responses across governments to manage the deployment of zero emission vehicles at the right scale and time. Currently, the Future Fuels Strategy aims to enable consumer choice, stimulate industry development and reduce emissions in the road transport sector.104
Having a forward-looking national plan for zero emissions vehicles (both electric and hydrogen) will reduce uncertainty for consumers, industry and manufacturers by providing a clear statement of support. While all zero emissions vehicles should be supported, electric vehicles are likely to offer the most immediate and cost-effective alternative for most private vehicle owners to the internal combustion engine. The plan should make introducing these vehicles at the right scale and time a priority.
Electricity networks will play an important cross-sectoral role during the transition, including developing enabling infrastructure and grid integration technologies. Government agencies, energy market operators and road agencies will need to collaborate with each other and with vehicle and charging manufacturers. For more information, see the Energy chapter and the Transport chapter.