Electric vehicle (EV) sales in New Zealand have surged in 2026, reaching levels that surpass previous peaks seen during earlier incentive programs. According to data from the New Zealand Transport Agency, battery electric vehicles (BEVs) accounted for 22.3% of new passenger vehicle registrations in July, while plug-in hybrids made up 14.4%, bringing the combined total to 36.7%. Year-to-date figures indicate that BEVs and plug-in hybrids together now represent 28.5% of new registrations, more than double the 12.8% share recorded at the same point last year.
This growth has occurred despite the removal of the government’s former Clean Car Discount, which provided rebates of up to NZD 8,625 to encourage EV purchases from mid-2022 through 2024. The discount was discontinued in 2025 and replaced by a new road user charge (RUC) of NZD 76 per 1,000 kilometers for electric vehicles, ending their previous exemption from these fees.
Industry observers point to incentives in nearby Australia as a model New Zealand could consider adopting to sustain EV momentum. Australia currently exempts EVs from RUCs and fringe benefits tax (FBT), along with offering various state-level subsidies. Peter Harvey, founder of Evnex, a local EV charging company, advocates for similar FBT exemptions in New Zealand, which he says would encourage businesses to incorporate more EVs into fleets. Such fleet turnover could help expand the secondary EV market.
Harvey also noted that while his company builds EV chargers, the real value lies in smart software that helps users reduce electricity costs by optimizing charging times based on personalized energy usage patterns. This technology, already in use in Australia, is expected to launch in New Zealand once recent legislation enabling access to energy use data is fully implemented—a process anticipated to take six to 12 months.
The New Zealand government has invested NZD 66 million to support the expansion of the public charging network to 10,000 points by 2030 through a public-private partnership. Nevertheless, a recent Energy Efficiency and Conservation Authority (EECA) survey of 500 EV owners indicated that 90% of battery electric vehicles and 93% of plug-in hybrid owners predominantly charge at home or work, outside publicly funded infrastructure.
Despite policy fluctuations, the EV market continues to grow, helped by the arrival of competitively priced Chinese models that narrow the cost gap with petrol vehicles. Waiting times for new EV deliveries remain long due to strong demand and supply constraints. One example is BYD, which recently imported a record 2,750 electric and plug-in hybrid vehicles into New Zealand.
The ongoing volatility in global oil markets, including tensions affecting key shipping routes like the Strait of Hormuz, adds further impetus to the shift away from fossil fuels. Industry leaders suggest that accelerating government support could further reduce reliance on imported fuels, which currently cost New Zealand around NZD 12 billion annually.