Here's why AGL wants to help Tesla sell more cars in Australia

AGL, one of Australia’s largest energy companies, has lined up next to Tesla to help push the federal government for new tax incentives and emissions regulations around electric cars and renewable energy.

An 18-member consortium of green energy advocates, including some not-for-profit organisations and car maker Renault, is pushing for more encouragement for buyers to take up electric cars.

A new report by the group contains recommendations in response to the federal government’s vehicle emissions discussion paper, released in February. It was found that by exempting electric cars from the fringe benefits tax could save owners more than $8000.

The group also suggested rebates on vehicle registration and other up-front purchase incentives, such as a reduced vehicle tax or exemption of the luxury car tax and even lower CBD parking fees and priority driving lanes.

Electric vehicle uptake has been relatively slow in Australia compared to parts of North America and Europe, where states and countries offer big incentives for buyers to go green.

While it might seem odd for a company like AGL to advocate so strongly about this, they are the largest private holder of renewable energy plants in the country.

An estimated 2500 electric cars were sold in Australia last year, compared to 1.1 million new petrol or diesel-powered vehicles.

NOW WATCH: Tech Insider videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.