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How Does the New Vehicle Efficiency Standard Affect Australian Drivers?

2026-07-17

Many Australians are asking how the New Vehicle Efficiency Standard (NVES) will affect them and their future vehicle choices.

In this video, Brett from Ken Mills Toyota explains how the NVES may influence the types of vehicles available in Australia, improvements in vehicle efficiency, and the ongoing transition toward lower-emission transport options.

The NVES is designed to encourage manufacturers to reduce the average emissions of the vehicles they sell, helping Australia align more closely with international vehicle efficiency standards. While the regulations are aimed at manufacturers rather than individual drivers, they may impact the range of vehicles available to Australian consumers over time.

Watch as Brett explains what the NVES means for Australian motorists and addresses some of the most common questions surrounding the new standards.

FAQs

  • Will the NVES change the way I buy my next vehicle?

    The NVES won't change the buying process, but over time it may influence the range of vehicles manufacturers make available in Australia as they work towards emissions targets.

  • Will the NVES increase vehicle choice?

    Potentially, yes. Many manufacturers are expected to introduce additional hybrid, plug-in hybrid and electric vehicle options to help meet emissions targets.

  • Does the NVES apply to used vehicles?

    No. The NVES applies to new vehicles supplied by manufacturers and importers. It does not affect used vehicles already on Australian roads.

  • Will fuel-efficient vehicles become more common?

    Yes. One of the aims of the NVES is to encourage manufacturers to offer more fuel-efficient vehicles across a wider range of model types.

  • Is the NVES designed to phase out petrol vehicles?

    No. The NVES does not ban petrol or diesel vehicles. Instead, it encourages manufacturers to reduce the average emissions of the vehicles they sell.

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