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ACT to offer interest-free loans to drivers to boost EV sales

ACT to offer interest-free loans to drivers to boost EV sales
ACT to offer interest-free loans to drivers to boost EV sales

The new scheme would offer ACT residents or drivers with up to $15,000 in zero-interest loan for a duration of 10-years

Australian Capital Territory (ACT) has announced that drivers in the territory can now avail loans on EVs on zero-interest rate. The interest-free loans are intended to boost electric vehicle (EV) sales, since numerous industry groups are calling for similar adaptations throughout the nation.

The loan will be accessible under the Australian Capital Territory government's sustainable household initiative, which provides interest-free credits for battery storage technology, solar panels, as well as other environmentally friendly technology.

Earlier this week, electric cars were included to the scheme as well. Anyone with a verified ACT driver's license or one who is a residence in the territory can request for up to $15,000 in 10-year zero-interest grants. This is on top of other perks like a stamp duty deduction on new EV purchases.

Shane Rattenbury, ACT's minister for water, energy, and emissions reduction, stated that the region planned to send a clear statement that it was committed to the shift to electric vehicles, both locally as well as to carmakers around the world.

Rattenbury further added that the federal government was not much eager to promote electric vehicles so states and territories needed to be clear about their goals.

According to energy firm AGL, the cost of operating an electric vehicle was $1,346, less than that of operating a gasoline vehicle. Albeit, this figure varies based on location and if solar panels are used to recharge the car.

Supporting the interest-free loans initiative, Dr. Jake Whitehead, Head of Policy at the Electric Vehicle Council, said that this would save drivers thousands of dollars in interest as well as boost accessibility to electric vehicles. However, he added that extra measures should be introduced such as boosting of supercharger uptake.

Source credit: https://www.theguardian.com/environment/2021/dec/06/act-launches-interest-free-loans-for-electric-cars-to-boost-uptake

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