Boating Business

Australian Electric Outboards for Export

Ron Kelly and Lynelle Johnson are the partners behind E Class Outboards, which was in development for 10 years.

A decision by Australia to ban the sale of two-stroke outboards in the country in 2018 has prompted consumers to look for alternative power sources. Homegrown E Class Outboards offers electric outboards from 5 to 40 horsepower with the aim of retrofitting smaller two-stroke boats. While electric outboards aren’t for all consumers, the Australian company wants to make electric outboards affordable option for conventional gas-powered outboards.

An upstart Australian electric outboard builder has opened a new showroom and started exporting its products thanks to growing demand for its environmentally friendly outboards.

E Class Outboards, which builds electric outboards from 5 to 40 hp, is finding success as boaters are replacing older conventional 2- and 4-stroke outboards. That’s good news for the Kiama-based company, which exported its first outboards to New Zealand and the Netherlands a few months ago.

The new showroom on Brown Street in Kiama opened over the winter (U.S. summer) and is currently open by appointment only. The company plans to hold a formal grand opening.

Electric Outboard Offerings

The 30kW outboard, which is approximately 40 hp, is the largest offering from E Class Outboards.

E Class Outboards offers five outboards for the recreational market including the 4kW outboard (5 hp), 6kW outboard (8 hp), 10kW outboard (13 hp), 20kW outboard (27 hp) and 30kW outboard (40 hp).

The company offers its outboards individually or with a battery package. Lithium-ion battery offerings include 3kWh, 4kWh and 5 kWh.

The company told a local newspaper that its outboard and battery package can run a minimum of 30 minutes at wide open throttle. Operating varying speeds, and the outboards have about 90 minutes of run time before needing to be recharged.

Australian electric outboard manufacturer E-Class Boats has started exporting its products to New Zealand and Netherlands.

Unlikely Founders

Launched this year after 10 years in development, E Class Outboards has two founders that come from unusual backgrounds to the company.

Ron Kelly was originally trained as automotive engineer and went on to become a boat builder with decades of experience. Kelly began with his idea to build an electric outboard in his garage starting with taking apart a 2-stroke Yamaha gas outboard and replacing the power heads with electric motors. As Kelly improved the technology and range, friends started asking to get their 2-stroke outboard refitted. Costs have continued to drop for electric outboards, which makes it more competitively priced with its gasoline counterpart.

Lynelle Johnson comes to the company with a business background having founded several businesses prior to teaming up with Kelly for E Class Outboards. According to her company bio, Johnson is a former TV presenter and marketing consultant, who created dozens of partnerships to address social issues from education to helping youth enter the technology workforce.

E Class Outboards sees its outboards spanning from recreational to commercial applications.

Changing Regulations Benefits Company

Starting in June 2018, Australia banned the sale of new two-stroke outboards in the country, adopting international small-engine standards. The move opened the market to alternative power sources, giving consumers an option to purchase an Australian-made electric outboard.

By fitting the electric motors to standard casings that are readily available, the outboards are competitively priced with their gasoline counterparts.

“Our aim is simple: Make electric outboards affordable enough that it is a genuine choice,” Johnson told a local newspaper.

Emerging Markets

Kelly and Johnson see three distinct markets for electric outboard engines as the sales have ramped up for the E Class Outboards. There’s lots to love as the outboards have no engine maintenance, they’re light and easy to transport and they’re affordable for consumers.

Consumers recognize while there is a higher upfront cost with electric outboards, the savings come with zero maintenance and no more buying fuel for the boat. The improved performance and minimal impact on the environment are other selling points, Johnson said.

In their research, the primary customers for electric outboards are:

Working Boats and Recreational Fishers 

The company’s founder Ron Kelly spent 10 years developing the electric outboard, which can be used in a fishing boat.

Since electric outboards are ideal for rivers, lakes and inshore, it’s logical that owners of fishboats would be earlier adopters. Staying close to shore, anglers can quickly get to their fishing spot and still have plenty of power to get back to shore.

Government agencies and owners of marinas are always trying to reduce emissions and have embraced electric outboards. While the initial cost is more upfront, the annual operating costs are less than conventional outboards. Johnson told the Illawarra Mercury newspaper the company has received inquiries from port authorities, oyster and seaweed farmers.

Yacht Tenders

Carrying fuel on the boat for the tender is a hassle, especially when the yacht and generator use diesel fuel, but the tender uses 89-octane gasoline. Electric outboards are ideal for tenders with short trips to shore. People who own yachts tend to want the latest and greatest, which electric outboards fits the niche. An added benefit is a potential reduction for insurance premiums.

Younger Generations

Johnson pegs the early adopters between the ages of 30 and 50, tech savvy and own their own company. These entrepreneurs are willing to pay a premium to be one of the first to own a new product and provide much-needed revenues for the company.

New Products

The company is teasing a new electric watercraft in social media and on its website.

E Class is teasing customers with a new 100 percent electric watercraft the company is expected to debut soon. The company provided no other details other than to keep on an eye on its social media pages.

For more information: E Class Boats, eclassoutboards.com.au