Biggest losers: Those most affected by the Clean Car changes

The Clean Car Rebate, which came into full force in April 2022, has been huge in getting more electric vehicles on New Zealand’s roads. However, navigation has not been easy, with much opposition to the penalties imposed on vehicles with higher emissions such as utes.

Today, just over a year after full implementation, the Government has announced a series of changes to the plan, including higher rates for gas consumers, reducing the discount on electric and hybrid vehicles, both new and used, and reducing the threshold of those eligible. vehicles

In a nutshell, new EVs under $80,000 now fetch $7,015 on first registration, while used imports now fetch $3,507 (up from $8,625 and $3,450 respectively). New vehicles emitting between one and 100 grams of CO2 per kilometer (mainly plug-in hybrids) get a smaller discount than before, starting at $1,725 ​​for a 100g vehicle, plus $57.50 for each gram below of 100 g up to a limit of $4,025. Used imports will receive half of that dollar amount.

Vehicles emitting more than 100 grams but less than 150 grams now fall into the “zero band”, where they incur no charge but also receive no rebate. This used to be between 147g/km and 192g/km and covered most hybrids and some low-emission combustion.

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Finally, those above 150g/km will be taxed at a rate of $575 plus $57.50 for each gram over 150g for new vehicles, with used imports charged half. This is the same rate as before, but previously it started at 192g/km. The maximum charge rises from $5,175 to $6,900 for new cars and from $2,875 to $3,450 for used imports, resulting in an emissions cap of 260g/km before the full charge kicks in $6,900.

In addition, a special bonus will be introduced for new and used low-emission disabled vehicles: $11,500 for a battery electric vehicle and $5,750 for plug-in and hybrid electric vehicles. Vehicles for the disabled are vehicles modified to carry people in wheelchairs or that have swivel seats to facilitate entry/exit.

Things that don’t change under the new system include the $80,000 cost cap, a minimum of three safety stars and that rebates and fees only apply to a vehicle’s first registration in New Zealand. All changes take effect on July 1, 2023, meaning buyers have just under two months to get vehicles at their current rebates/commissions.

So who has been most affected by the changes? It might have been quicker to list which models are still worthy of a discount, but we’ve gone through the data to find out where the lay of the land stands now.

Suzuki

Suzuki used to have quite a few models online for discounts. The Swift Hybrid could be had for a nice return of $3160, but because it emits over 100g/km of CO2, you’re now getting nothing. It’s still reasonably priced, starting at $23,990, but not having any discounts hurts. And if the Swift sits above 100g/km, you’d better believe the rest of Suzuki’s range does too. The new changes won’t help Suzuki’s views on discounting, that’s for sure.

Toyota

Once a big winner, Toyota has not fared well with the new regulations. Corolla, Corolla Cross, Camry, CH-R, RAV4 – all of these models no longer qualify for a rebate. Particularly unfortunate for the Corolla hybrid hatch, which has 101g/km of CO2.

Interestingly, the Corolla GX wagon appears to be slightly discounted with a CO2 figure of 88g/km. Yaris hybrid models emit double-digit CO2, so they’re fine, but the combustion-only GX is now in the zero band. The same goes for the Yaris Cross family of small SUVs, although the markdown for the hybrids is lower than the Yaris hatch.

Meanwhile, the RAV4 hybrid now only exists in the zero band. Those using purely petrol power will now incur a small fee, with the maximum for the 2.5-litre all-wheel-drive RAV4 models, namely the GXL and Adventure, both emitting 177g/km. Some quick math points to a fee of $2127.50 for these two, while the 2.0-litre variants carry a fee of $690.

MG

MG is interesting. It offers the ZS EV, the cheapest electric vehicle in the country with a starting price of $49,990, although the value proposition of electric vehicles is now reduced slightly with a smaller discount of $7015. Alongside the ZS EV is the bigger HS PHEV, which gets a rebate for emitting 39g/km of CO2 (claimed), and there’s also the soon-to-arrive electric MG4.

But now that the zero band has moved, MG’s entire combustion fleet is now in tariff territory. The ZST emits 179g/km, the petrol HS emits 189g/km (both use the same 1.5-litre turbocharged four-cylinder) while the aging MG3 1.5-litre four-cylinder emits 177g / km. Then there’s the turbo 2.0 liter HS AWD which emits 221g/km…

All utes except the LDV eT60 (because it’s electric)

This was invariable, and there is no need to go into too much detail. Higher fares equal higher bus fares (but remember this applies to all high-emissions vehicles, not just utes).

Doing some quick math, the most popular Ford Ranger model at the end of March 2023 appears to be the XLT Double Cab 2×4, which uses the 2.0-liter engine. This model emits 218g/km of CO2, which is relatively low for utes.

Before these changes, the XLT would charge a fee of $1,840, which actually isn’t too bad considering the starting price of $67,490, but after the end of June 2023 that fee will increase to $4,485. The second most popular Ranger was the Wildtrak V6, which will jump from $3910 to $6555.

Applying the same math to the best-selling Hilux, the 2.8-litre 227g/km SR5 Cruiser 2×4, will see the rate rise from $2,357 to $5,002.50. Repeating the exercise a third time for the 2.4-litre 257g/km Mitsubishi Triton GSR 4WD will rise from $4,082 to $6,727.50.

Mazda got right ahead of the changes with its new 1.9-litre BT-50, which emits 205g/km. Until June 30, you will be charged a fee of $1092, but after that that number will increase to $3737.50.