Steep hike in EV recharge fees proposed for South Gippsland
South Gippsland Shire Council has a proposed a whopping 30 per cent hike in EV recharge fees from $0.57 per kWh to $0.74 per kWh as part of next year's draft budget.
WITH scant regard to spiralling fuel costs and the need to encourage greater use of electric vehicles South Gippsland Shire Council has bucked the trend towards making EV’s more affordable by proposing a whopping 30 per cent hike in recharge fees.
Faced with a significant jump in the cost of managing fast chargers South Gippsland Shire has proposed a lift in recharge fees from $0.57 per kWh to $0.74 per kWh.
Council has justified the move by citing a cost-recovery model. Under this framework, the fees collected from users are designed to cover the direct cost of electricity used, alongside the ongoing technical operation and maintenance of the hardware.
According to the draft budget proposal the new rate of $0.74 per kWh was determined following a benchmarking exercise to bring the shire’s pricing in line with rates currently charged by several private providers operating within the Gippsland region.
The proposal comes at a pivotal time for the region’s tourism and infrastructure strategy.
The shire currently manages six fast-charging stations which were strategically installed to capture the rapidly growing EV market and encourage EV tourism in small townships.
The chargers were funded through a mix of state and federal support, including the Victorian Government’s Destination Chargers Across Victoria program and the Federal Government’s Local Roads and Community Infrastructure program.
Drivers can currently access a rate of $0.57 per kWh rate at key locations.
Fast chargers are available in Smith Street Leongatha between the council offices and Woolworths, Korumburra Railway Precinct car park off Bridge Street, the car park behind the Uniting Church off Station Road Foster, Baromi Park car park in Mirboo North, Tompkins Road car park behind the main shops in Meeniyan and the Yanakie road reserve near the public toilets and playground.
The council network is supplemented by private infrastructure. Evie Networks has recently expanded the local footprint with 50kW chargers in Korumburra beside the Austral Hotel, McCartin Street in Leongatha and Foster Road in Fish Creek.
While the entry of private players provides more options for drivers, council’s proposed rate increase could suggest the era of subsidised or lower-cost public charging may be ending as local governments move toward commercial parity.
The timing of the increase may spark debate among local EV owners and business operators. While the chargers were initially pitched as a way to increase visitation to the region, there are concerns that higher costs might deter travellers from stopping in South Gippsland towns compared to regions with more competitive rates.
Conversely supporters of the budget argue that ratepayers should not have to subsidise the maintenance of infrastructure used primarily by visitors. The community now has a narrow window to voice their opinions on the price hike and the broader draft budget.
Following a consultation period, council will review public feedback before making a final decision on the fee structure. Residents who wish to view the full budget breakdown or submit their thoughts can do so via the shire’s engagement portal.
