Sales data released by the New Zealand Transport Agency showed 3,108 electric vehicle registrations in March, up from 921 in February.

The sales were driven by increased fuel prices as a result of the war in the Middle East.

During the same period, the average petrol price had risen by more than 30%, and diesel prices were up 74%.

Transport minister Chris Bishop said year-to-date registrations were “nearly 2,000 higher” than the same time last year.

“It’s not surprising that there’s a bit of a run on electric vehicles because people are looking at the fuel price and the diesel price and thinking maybe now is the time to make a switch to a cleaner car, and I suspect that will continue,” Bishop said.

Electric vehicle sales had dropped in New Zealand after the right-wing coalition government came to power in November 2023, scrapping the “clean car subsidy”.

The abandoned policy gave people up to about NZ$7,000 (US$4,000) off an electric vehicle at purchase, while buyers of higher-emitting petrol or diesel vehicles paid extra.

Bishop said New Zealand would not be returning to a similar subsidy in light of petrol concerns.

“It was a regressive wealth transfer policy,” he said.

“It is not a prudent use of taxpayer money to subsidise high-income earners to buy Teslas. That is not a good use of public money.”