You will have more choice of new fuel-efficient, low or zero emission vehicles. The New Vehicle Efficiency Standard (NVES) encourages car manufacturers and suppliers (known as regulated entities) to bring in more fuel-efficient vehicles, including petrol, diesel, hybrid, electric and other emerging fuel types.
The NVES applies only to some new vehicles being sold in Australia from 1 July 2025. These are, light passenger vehicles such as sport utility vehicles (SUVs) and sedans and light commercial vehicles, such as utility vehicles (utes) and vans under 4.5 tonnes gross vehicle mass (GVM).
Over time, these vehicles will also become available in the second-hand market, where 70% of Australians buy their cars. This means a growing number of Australians will have access to cheaper-to-run cars and savings at the petrol pump.
The NVES will not stop you from buying a ute or four-wheel drive (4WD) capable of towing trailers and boats. In other countries with similar standards, utes and 4WDs remain popular and widely available. As technology improves, these types of vehicles will become even more fuel-efficient and environmentally friendly.
