The remarkable announcement from Lloyds Auctions, that second-hand electric cars are now selling in Australia for more than their retail price, is testament to a stunning failure to create a healthy and functional EV market, according to the Electric Vehicle Council.
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Lloyds Auctions is auctioning second-hand Tesla's for higher prices at auction than their original retail price, highlighting that the demand in electric vehicles is reflecting the same upward pressures in pricing that its fossil fuel cousins are experiencing.
Chief Operations Officer for Lloyds Auctions, Lee Hames said the additional pressure of high petrol prices is also having a major impact on resale pricing.
"Right now, we have a 2022 Tesla Model 3 on offer with the current bid sitting at $71,000 where they actually retail for around $68,000 and the bidding is set to close in a few days time," he said.
"With the current fuel prices, people are realising how much they can save in fuel per year by owning an electric vehicle, where savings could be up to 70 per cent on fuel alone.
"The electric car market is still very new to Australia which is actually a massive benefit to purchasing electric vehicles second hand, as they are in such great condition usually only having been used for a few years, with previous owners now upgrading to the newer model electrics."
As electric vehicles became more mainstream in society and 'battery fear' dissipated, the idea of buying electric had never seemed more positive, he said.
"There has been a false stigma around electric vehicles with the common questions of what if my battery runs out? How long does it take to charge? Which mostly come from people endeavoring to educate themselves on some of the common conceptions and misconceptions of electric vehicles, as people see more Tesla's and more electric vehicles on the road, their confidence in this market is growing," Mr Hames said.
Lloyds Auctions are leading the way in the second-hand electric car market since early last year and they are seeing the growth of interest exponentially, Lloyds biggest challenge is finding enough electric vehicles to resell, it is a very tight market.
"Our customers are now understanding electric vehicles and becoming more open to the idea and the fun benefits that come with electric vehicles such as the Tesla's," Mr Hames said.
Electric Vehicle Council shocked
EVC chief executive Behyad Jafari said the Lloyds auction experience was remarkable.
"This is a stunning reflection of how the Australian Government has allowed demand to totally outstrip supply on EVs, leaving Australian consumers with the choice between a massive wait or paying above-retail for a used car," Mr Jafari said.
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"The Morrison Government seems to have confused its own myopic views about EVs with those of average Australians and has completely misjudged how demand would grow.
"Australians have seen right through the nonsense that was peddled by the government about EVs at the last election, and they're now queuing up to buy one. But the shelves are empty because the federal government has made Australia such a uniquely hostile market to EVs.
"Global carmakers are far more interested in selling cars in Europe or the US or even New Zealand, where fuel efficiency standards are established and governments offer unambiguous support to the transition.
"Every Australian who wants to buy an EV should have the same array of options as their counterparts in America or Europe. The fact that they do not is the fault of the federal government and its unique hostility to EVs."
Stan Gorton
Walkley-nominated journalist based at The Islander on Kangaroo Island with an interest in the local community and the environment.
Walkley-nominated journalist based at The Islander on Kangaroo Island with an interest in the local community and the environment.
