Australia's fuel crisis is driving a surge in demand for electric vehicles, causing used EV prices to rise even as petrol and diesel car prices fall. Data from MotorMetrics shows that secondhand dealers have increased prices for models like the Tesla Model Y by over 6% in late March, with the Tesla Model 3, MG4, and Polestar 2 also seeing upticks.
“That’s an early indication that dealers are confident to put the price up,” said Jake Sale, founder of MotorMetrics. Used EV stock is running low, while petrol and diesel vehicles have had their sticker prices cut by up to 20%.
The enthusiasm for EVs has surprised even supporters, with rental marketplace Turo Australia reporting a 70% increase in bookings for EVs and hybrids compared to last year. Managing director Rob Chan said, “This is one of those waves of consumer interest changes that is very unique.” He compared it to the “revenge travel” period after pandemic borders reopened.
Commonwealth Bank data shows a 161% lift in weekly loan volumes for new battery electric vehicles in March compared to February. Australia’s EV market share has climbed to about 13% of new purchases, with more than 454,000 battery and plug-in hybrid vehicles on roads by end of 2025.
Sydney motorist Har Rai Singh rented EVs to test them before buying, saying, “It doesn’t make sense to me any more to hold on to a combustion engine.” Economist Peter Esho noted that while this isn’t the first oil shock, “it could very well be one of the last,” as EVs become a credible option for many.
