The $10,000 green apprentice scheme has had its criteria changed with the aim of attracting more automotive apprentices to be EV ready.
The scheme, promised at the last federal election was aimed at training apprentices in areas of new and renewable energy but the overwhelming number of the 2,200 sign ups were taken by the energy sector.
The uptake in automotive industries was small as old criteria required the majority of their work be with new energy vehicles.
While the industry is readying for more than two million EV’s on the road by 2030, EVs and Hybrids make up about one in five new cars sold.
They have been growing steadily since 2022, with full EVs making up 7.2 per cent of sales in 2023 but still only amount to less than two per cent of the total carpark and the proportionate number of new energy vehicles that come through a repair workshop.
Skills and Training Minister Brendan O’Connor says the change to the program will now incorporate traditional trades, including automotive repair trades, if they incorporate some element of clean energy training like EVs.
“Electric Vehicles are a rapidly increasing part of our automotive market, so we’ve made sure that apprentice mechanics learning to work on EVs can access the program as the industry changes,” Mr O’ Connor said in a statement on Friday.
“This will directly support Australia’s retail automotive sector, building on transition support including charging infrastructure investment through Driving the Nation.”
The New Energy Apprenticeships Program gives apprentices up to $10,000 in support over apprenticeship, helping to offset cost-of-living challenges particularly during the modest ages and equipping expenses apprentices can experience in their first years.
The MTAA has welcomed changes made to the New Energy Apprenticeship Program and says the financial boost has the potential to encourage more apprentices to consider the dynamic automotive sector, particularly as it shifts to a clean energy future.
MTAA CEO, Matt Hobbs has frequently referred to the transition the shift away from fossil fuels towards electric powertrains as the biggest shift for the sector in a century, so he said it made sense for the government to listen to the industry’s needs.
“Securing Government support for our members and their workforces has been a top priority of the MTAA this year. We are pleased the government is listening but note there is more to be done.”
Hobbs would like to see the next focus of funding on ensuring more government support materialises for whole-of-industry training not just its future recruits.
“There is a great need for training, and we all know that the other key area is in upskilling those already within the industry,” he says.
The other win for the MTAA and the automotive sector is a $60 million program for EV charging infrastructure that he hopes will open up opportunities for individual workshops to install chargers for both customer vehicles and potentially the general public.
“We are still working out the criteria for this program but we think there needs to be more a program that looks at the whole industry instead of just one section, but this is a good start and we will continue advocating for more funding for that.”
MTAA has previously called for a wide-ranging package of support for automotive businesses and their workforces to transition to an increasingly electrified future, which has implications for training, tooling and facilities as well as the need for charging infrastructure.
“While automotive electricians and technicians are eligible for the incentive, MTAA calls on the government to include motorcycle technicians, and panel beaters who are already significantly immersed in supporting electric vehicles.”
The impending New Vehicle Efficiency Standard (NVES), which will see Australia implement a light vehicle fuel efficiency standard for the first time, beginning in 2025. is expected to broaden the range of zero and low emission vehicles available in Australia, resulting in a changing mix of vehicles automotive businesses service and repair.
It also comes as the sector struggles with a widespread skills shortage.
Australian Automotive Aftermarket Association CEO Stuart Charity believes the program extension will encourage new automotive apprenticeships across the country.
“The broadening of the New Energy Apprenticeships Program to include automotive apprentices is a welcome and important addition to support the future of Australia’s service and repair industry,” Charity said.
“Whilst in the midst of a skills shortage, our industry is also going through a period of unprecedented change as the car parc begins a transition to EV and Hybrid vehicles, as part of the Government’s Net Zero Plan.
“Extending the scope of the New Energy Apprenticeships Program aligns with the requirements of new automotive apprentices, who need to be trained on the latest EV and Hybrids to be future ready, but are also able to ensure the safety and reliability of our current ICE fleet.”
FCAI Chief Executive Tony Weber supports the government’s commitment to fostering skill development and supports increased funding towards recharging infrastructure.
“These steps are crucial for supporting the integration of electric vehicles into the Australian market and will drive consumer confidence and other target areas needed to support a strong and reliable transport sector.”
He says the FCAI recognises the critical role this expanded program plays in equipping apprentices with both traditional and new technology skills, necessary for the transition towards a more sustainable automotive market. By including a broader scope of eligible apprenticeships and removing the exclusive focus on clean energy, the program aligns with the practical realities of the industry’s evolution.