Reducing transport emissions
We are working to reduce greenhouse gas and noxious transport emissions.
As part of our Powering Australia plan to improve affordability, create jobs and reduce emissions, the government has developed Australia’s firstNational Electric Vehicle Strategy.
The strategy provides a nationally consistent, comprehensive framework to consider supply, demand, and infrastructure needs for cleaner and cheaper vehicles in Australia.
Also, the Australian Government’sDriving the Nation Fund is making an initial investment of $39.3 million (matched) to deliver a national electric vehicle (EV) charging network.
The Australian Renewable Energy Agency (ARENA) is making up to $100 million available for projects that will support thedemonstration and deployment of heavy battery electric vehicles (BEVs) and charging solutions for heavy BEVs, as well as other innovations to accelerate the uptake of EVs.
A further $60 million is being made available to supportthe installation of EV charging infrastructure at Australian automotive dealerships and EV repairers across the country.
TheElectric Vehicle Charging Infrastructure Mapping Tool (EVCI Mapping Tool) is designed to guide optimal investment in charging infrastructure across Australia and support improved coordination and planning of the deployment of charging infrastructure by industry and governments.
We are working with governments and industry to maximise outcomes and help Australians make the switch to cleaner and cheaper to run transport.
ev.gov.au helps Australians with buying, owning, and maintaining an EV. The website includes information on:
- EV basics such as types of vehicles, benefits, and EVs and the environment
- charging at home and on the road
- installing EV chargers in homes and in strata buildings
- government assistance for buying an EV
- getting the most from your EV including long trip planning.
The transport sector is currently our third largest emitter, accounting for around 22% of Australia’s emissions.
Passenger cars and light commercial vehicles alone contributed 60% of our transport emissions and over 10% of Australia’s total emissions.
Under current policies, transport emissions are projected to start to decline around 2028.
More EVs on our roads means lower emissions. Australia lags behind other countries in EV sales but we are gaining ground. In 2022 EVs represented less than 4% of new car sales in Australia. This increased to 9.6% of total sales in 2024.
TheNew Vehicle Efficiency Standard is improving things further by:
- giving Australians more choice of new cars that are fuel-efficient, low or zero emissions
- saving Australians money at the bowser
- reducing transport emissions and improving air quality.
Time for change
By 2030 we aim to generate82% of Australia’s electricity from renewable energy.
EVs powered by this electricity will contribute to achieving our economy-wide emissions reduction target of 62 to 70% by 2035 – andnet zero emissions by 2050.
The shift to EVs presents a significant opportunity to develop new green jobs and skills in Australia. Across the supply chain, from manufacturing through to maintenance, new skills will be needed to support the rollout of EVs. We have the mineral resources, capital and capability to maximise this opportunity.
Switching to EVs:
- can reduce Australia’s emissions
- can help reduce air pollution
- can save drivers money on fuel
- has wide ranging health and environmental benefits.
National Electric Vehicle Strategy
To deliver on our commitment to increase the uptake of EVs, we have developed Australia’s firstNational Electric Vehicle Strategy. It’s a nationally consistent framework to get Australia’s road transport sector on the path to net zero emissions.
The Strategy is part of the government’sPowering Australia plan to improve affordability, create jobs and reduce emissions.
It builds on the progress already made to support EV uptake:
- Electric Car Discount legislation is already making EVs cheaper.
- Driving The Nation Fund is supporting transformational infrastructure. This includes Australia’s first National Electric Vehicle Charging Network, to roll out chargers on average every 150 kilometres on our major highways.
- Green Vehicle Guide helps Australian consumers who want to choose a less emissions intensive vehicle, and to save on vehicle running costs.
Each year, wemeasure how the government is progressing towards the outcomes of the strategy. We also highlight governments’ progress towards new and existing initiatives and any notable highlights over the last year. A comprehensive and in-depth review of the Strategy will be undertaken in 2026.
Fuel quality
The Australian Government is making two changes to fuel quality from December 2025.
The changes will:
- reduce the level of aromatic hydrocarbons (aromatics) to a maximum of 35% in 95 Research Octane Number (RON) petrol
- align the previously announced reduction of sulfur allowed in all petrol grades (91 RON, 95 RON and 98 RON) with the start date of the new aromatics limit.
These improvements will benefit our health, air quality, environment and vehicles. The changes also allow Australia to adopt Euro 6d noxious emissions standards for light vehicles.
Read more aboutregulating Australian fuel quality.
Fuel quality legislation review
TheFuel Quality Standards Act 2000was independently reviewed by Ernst & Young.The purpose of the review wasto assess whether the legislation was achieving its policy objectives and to identify areas of improvement.
Read more aboutthe fuel quality legislation review and the government’s response.
Next steps
The Australian Government is implementing a New Vehicle Efficiency Standard (the Standard) from 1 January 2025.
The Standard is improving the efficiency of new light vehicles and ensuring motorists have greater choice of more efficient combustion engine vehicles, hybrids and EVs.
For more information, visitNew Vehicle Efficiency Standard.
Contact us
Email nevs@dcceew.gov.au.