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 first National 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’s $500 million Driving the Nation Fund is making an initial investment of $39.3 million (matched) to deliver a National electric vehicle (EV) Charging Network.
Another $70 million will be made available by the Australian Renewable Energy Agency (ARENA) for projects that will support innovation in EV charging solutions across Australia.
We are working with governments and industry to maximise outcomes and help Australians make the switch to cleaner and cheaper to run transport.
In 2022 our transport sector made up 19% 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.
Without intervention, the transport sector is projected to be Australia’s largest source of emissions by 2030.
More EVs on our roads means lower emissions. Yet Australia lags behind other countries in EV sales. In 2022 EVs represented less than 4% of new car sales in Australia.
But we are gaining ground. Already EV sales are 8.4% of all new light vehicle sales in the first three-quarters of 2023, compared to 3.8% for all of 2022.
Time for change
By 2030 we aim to generate 82% of Australia’s electricity from renewable energy.
EVs powered by this electricity will contribute to achieving our economy-wide emissions reduction target of 43% below 2005 levels by 2030 – and net 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
- 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 first National 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 our Powering 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.
To further support the uptake of EVs, the Australian Government is implementing a New Vehicle Efficiency Standard (NVES). For more information, visit cleanercars.gov.au.
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 about regulating Australian fuel quality
Fuel quality legislation review
The Fuel Quality Standards Act 2000 was independently reviewed by Ernst & Young. The purpose of the review was to assess whether the legislation was achieving its policy objectives and to identify areas of improvement.
Read more about the fuel quality legislation review and the government’s response.