Key Points
- BEV consideration has risen from 20% to 31% among Australians since 2024.
- Millennials are the most interested generation, with 63% wanting to learn more about EVs.
- Battery health, charging, servicing and resale value remain key barriers to wider EV adoption.
Australians are becoming increasingly open to switching to electric vehicles, with new research showing a sharp rise in the number of people considering both battery electric vehicles and plug in hybrids.
The latest Changing Gears report from NRMA Insurance, based on research by Ipsos, found that consideration of battery electric vehicles has increased from 20% in 2024 to 31%, while consideration of plug in hybrids has climbed from 41% to 58%.
Just 17% of Australians now say they would not consider buying an EV.
Millennials appear particularly receptive to the shift. Almost 90% of millennials intend to purchase an EV as their next car, according to ROLLiN', while 63% say they are interested in learning more about EVs.
The research also points to a growing gap between interest and confidence. While Australians are increasingly comfortable with the idea of driving an EV, concerns around battery health, charging, servicing and resale value continue to influence purchasing decisions.
ROLLiN' and NRMA Insurance are both brands owned by IAG, Australia's largest general insurance group.
Millennials are leading the shift
Millennials are emerging as the generation most interested in making the switch to an electric vehicle, according to the latest research.
The report found that millennials are particularly focused on the financial benefits of EV ownership and want more information before making the transition.
Among millennials:
- 63% believe EVs can protect motorists from future fuel price increases.
- 63% are interested in learning more about EVs.
- 80% support a way to monitor and test EV battery health.
That compares with 54% of Gen Z and 35% of Baby Boomers who are interested in learning more about EVs.
ROLLiN' Executive Manager Brendan Griffiths said the next challenge for the market is turning this growing interest into actual ownership.
He said younger Australians are looking for affordable vehicles, convenient charging and a trusted second hand market before making the switch.
Battery health remains a concern
Battery confidence is another major issue for Australians considering an EV.
Among Australians who would not consider buying an EV:
- 60% cite battery life as a barrier.
- 56% have confidence in EV resale value, down from 76%.
- 82% support battery health monitoring and testing.
The research also suggests familiarity can influence buying decisions. Australians familiar with EVs are more than twice as likely to consider purchasing one, at 63% compared with 24% among those less familiar.
Other perceptions are also changing. The proportion of Australians who believe EVs cannot meet everyday driving needs has fallen from 45% to 38%, although 56% remain concerned about EV fire risk.
Charging and servicing still matter
For many Australians, practical ownership concerns remain more important than the technology itself.
The main concerns include:
- 49% cite a lack of public charging infrastructure.
- 35% say they cannot charge an EV at home.
- 57% are concerned about a lack of trained mechanics.
- 69% are concerned about EV battery disposal and end of life management.
- 74% support a clear process for battery disposal, reuse and recycling.
These concerns come as EV prices continue to fall and the number of models available to Australian buyers expands.
Used EVs could drive growth
The used EV market could become an important part of Australia's next stage of adoption, particularly as buyers look for more affordable ways to enter the market.
The research found:
- 54% of prospective EV buyers would consider a used EV.
- 7% would only purchase a used EV.
- 82% support battery health monitoring and testing.
That makes battery certification particularly relevant to the second hand market. Buyers need confidence that an older EV battery still has enough usable capacity before committing to a purchase.
There are also signs that EV ownership is becoming more established. ROLLiN' said its EV motor insurance policies nearly doubled in the year to August 2026, reaching 10% of its policies.
Tesla accounted for 54% of ROLLiN' EV customers, followed by BYD at 16%, Zeekr at 8%, Geely at 3% and Polestar at 2%.
