‘Netflix for EVs’ a chance to try before you buy: RACQ

RACQ has welcomed innovation in the electric vehicle (EV) market to encourage more drivers to try low emission cars, after an announcement of a subscription service for EVs to be offered in Australia.

The Financial Review reported energy company AGL would announce an EV subscription model for its customers.

RACQ Head of Public Policy Rebecca Michael said EVs had been gaining popularity and subscription type services would give motorists a chance to try before they buy.

“In Australia, the uptake of EVs has been slow due to a lack of any policy incentives, limited model and charging infrastructure availability and range anxiety associated with the long distances Australians travel,” Dr Michael said.

“In 2019, we saw EV sales grow by 200 percent because more EV models became available and more affordable and there was also an increase in the availability of public charging infrastructure.

“However, EV sales still only make up 0.6 percent of all car sales and drivers are still concerned about battery life, battery replacement costs and the value of EVs in a second-hand car market.

“Subscription services for EVs would mean motorists could drive a low emission and safe vehicle without worrying about re-sale value or the high costs of replacing a battery at the end of its life.”

Dr Michael said was crucial motorists understood the terms and costs associated with any subscription service.

“We expect we’ll see more non-traditional entrants into the mobility sector offering these innovative and personalised approaches to EV subscriptions.

“However, like with any financial decision, you need to make sure you do your homework before you sign on the dotted line.”