The CEFC has committed up to $60 million to help reduce the upfront cost of EV ownership to enable more Australian businesses, fleets and households to make the switch to an electric vehicle.
The investment with Hyundai Motor Group's finance arm, Hyundai Capital Australia (HCAU), will make finance for eligible EVs more affordable for households and small businesses, supporting the transition towards cleaner transport and reducing emissions.
Electric vehicles are an important part of Australia's mobility future, but cost can be a barrier for many customers. Working with the CEFC allows us to offer discounted finance on eligible Hyundai Motor Group EVs, making electric vehicle ownership more achievable for Australian customers.Donglim Shin
Hyundai Capital Australia Chief Executive Officer
Under the program, eligible customers could save a minimum of 0.5 per cent up to 1.0 per cent on their finance rate across Hyundai and Kia. For example, on a loan of $70,000, a 1.0 per cent interest rate discount over five years could save customers more than $1,900 in interest costs.
The CEFC will support a discounted rate through HCAU to provide financial savings for customers purchasing new, fully electric vehicles priced below the luxury car tax threshold. The investment also supports the future integration of EVs into the electricity grid. Vehicle-to-grid (V2G) enabled EV models can act as mobile batteries, with the ability to charge or discharge to the grid, offering more ways to save and support clean energy.
CEFC Executive Director - Debt Markets, Richard Lovell said: "Hyundai Motor Group is bringing a growing range of innovative EVs with advanced technology to the Australian market, and can help more households and small businesses get behind the wheel of an EV sooner.
"By cutting finance costs, we're not only making these vehicles more accessible, we're also supporting Hyundai's leadership in technologies like vehicle-to-grid, which can turn EVs into mobile batteries and strengthen our energy system. This investment is working to drive down emissions while giving Australians smarter, more thoughtfully designed transport options."
Hyundai Capital Australia Chief Executive Officer, Donglim Shin said: "Electric vehicles are an important part of Australia's mobility future, but cost can be a barrier for many customers. Working with the CEFC allows us to offer discounted finance on eligible Hyundai Motor Group EVs, making electric vehicle ownership more achievable for Australian customers."
The Climate Change Authority estimates that realising the lower end of the 62-70 per cent emissions reduction pathway requires putting more than 20 times the number of battery electric passenger vehicles on the road than there are today - over 5 million EVs that would otherwise have been petrol and diesel vehicles. Around half of all light vehicles sold between now and 2035 would need to be electric.1
Since its inception, the CEFC has helped finance more than 17,000 EVs, exceeding $1 billion in value, including third-party capital. CEFC finance has supported discount finance to put essential workers in the EV driving seat, supported electric fleet trucks with Zenobē , and backed Australia's first electrified bus fleet to make clean transport accessible.
1 Climate Change Authority, 2035 Targets Advice
