Happy almost-anniversary! In a few weeks, it will be exactly 10 years since former trade & industry minister Rob Davies declared that the government was ready to propel the South African motor industry into an electric future. To hasten the sale and manufacture of electric vehicles , he promised “demand stimulation, public education, investment support and an accommodative regulatory framework”.
Patel said he hoped to have firm policy proposals ready for the cabinet by October 2021. But then, in the words of a sketch fromWell, not completely nothing. Motor industry executives say there have been lots of discussions, even joint task teams between the government and the industry. But actual policy direction? Demand stimulation? Public education?
Though not automotive-specific, finance ministry spokesperson Mfuneko Toyana said this week the R18.9bn would help the department finalise the NEV programme and its implementation. Given EV prices in South Africa, where many all-electric vehicles cost more than R2m and even hybrids are beyond the reach of most consumers, those would not be big incentives. But double them with manufacturer support, and they start to become interesting.
Patel said late last year: “Most of the work the government has been doing is seeing what is affordable and what is not.” Toyana said this week that discussions between the Treasury and the DTIC on “appropriate funding for the NEV policy specifically” were still under way.
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