New South Wales Treasurer Dominic Perrottet will unveil the state’s budget today, including tax cuts to encourage the take-up of electric vehicles, an overhaul of school hours and funding for a third city centre in Sydney.
In a pre-budget announcement, the NSW government revealed it would offer tax cuts and incentives to reduce barriers to buying electric vehicles over the next four years.
The tax cuts include the scrapping of stamp duty on eligible electronic vehicles that are less than $78,000. There will also be $3000 rebates for the first 25,000 purchasers of battery and hydrogen fuel cell electric vehicles that cost less than $68,750.
According to the NSW government, the average driver would save around $1000 a year in running costs by switching to an electronic vehicle, while businesses, taxis and freight could save up to $7500.
Electric vehicle tax cuts only ‘scratch the surface’
Sally-Ann Williams, chief executive of deep tech incubator Cicada Innovations, says the NSW government’s push to make electric vehicles more accessible to own and maintain is a commendable step.
“But it only scratches the surface,” Williams says.
“With our resources and the abundance of local talents in NSW, we can do so much more to achieve net-zero by 2050.”
Williams would like to see the NSW government invest in a multi-billion-dollar fund to help commercialise science innovations, particularly in clean tech, to help grow jobs and the economy.
“Both Victoria and Queensland have pledged $2 billion and $3.4 billion in funds respectively to commercialise science and engineering innovations in the state,” she says.
“NSW has incredible capacity in the deep tech sector, and so a similar fund here would ensure we are able to supercharge opportunities for growth in both jobs and the economy.”
Williams believes the budget should include additional incentives to encourage changes in consumer behaviour or making nascent deep tech solutions more widely available.
“A great example of this is the NSW government’s plan to abolish stamp duty on electric cars and offer drivers thousands of dollars in other incentives to boost uptake,” she says.
School hours and a third city centre
The NSW budget is also expected to include an overhaul of school hours, funding for a third city centre in Sydney and new procurement measures.
In an effort to boost productivity, the government plans to replace standard 9am to 3pm school hours with staggered start and finish times. The changes will be first trialled across primary schools.
The NSW government will encourage schools to work with parents to come up with ways to make schooling better suited to working life and reduce traffic congestion.
Construction on Sydney’s third city centre will receive a $1.15 billion investment as part of the budget.
The city, known as Bradfield, will be located near Bringelly in the south-west, near the new Western Sydney International Airport.
NSW Treasurer Dominic Perrottet said the investment will lay the foundations for Bradfield to be transformed into a “world-class precinct” that will drive jobs in the long-term.
“Bradfield City will be the next jewel in Sydney’s crown and we’re putting in the groundwork to deliver an iconic city that will unlock new economic opportunities, particularly for the people of Western Sydney,” Perrottet said.
Another key budget measure includes changes to the NSW’s procurement policy, which will see big businesses with government contracts required to pay their subcontractors within 20 days.