{{Short description|2024 Australian legislation}} {{Use Australian English |date=January 2026}} {{Use dmy dates |date=January 2026}} {{italic title}} {{Infobox legislation | short_title = ''New Vehicle Efficiency Standard Act 2024'' | image = File:Coat of arms of the Commonwealth of Australia.svg | legislature = Parliament of Australia | territorial_extent = Australia | date_assented = 31 May 2024 | assented_by = Governor-General<br />David Hurley | date_commenced = 1 January 2025 | bill = New Vehicle Efficiency Standard Bill 2024 | introduced_by = Catherine King | passed = | enacted_by = House of Representatives | enacted_by2 = Senate | bill_history_url = https://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/Bills_Search_Results/Result?bId=r7182 | date_amendments_considered = | amends = ''Clean Energy Regular Act 2011''<br />''Road Vehicle Standards Act 2018'' | long_title = An Act to establish a vehicle efficiency standard, and for related purposes | bill_citation = | citation = | status = current | date_final_passage = 16 May 2024 | summary = sets CO<sub>2</sub> emission limits for vehicles }}

The '''''New Vehicle Efficiency Standard Act 2024''''' ('''''NVES''''') is an Australian act of parliament that imposes emissions limits on vehicles.

The law was implemented on 1 January 2025, with it coming into effect on 1 July 2025.<ref name=whichcar/>

Manufactures are fined A$100 for every gram of carbon dioxide per kilometre (g/km of CO<sub>2</sub>) average over the limit, and credits for every g/km of CO<sub>2</sub> under the limit. Credits can be sold to other manufactures or be banked for future years.<ref name=region>{{cite web|last=Coleman |first=James |url=https://region.com.au/australias-car-industry-is-facing-a-major-shake-up-whats-it-mean-for-buyers/883698/ |title=Australia's car industry is facing a major shake-up: What does that mean for buyers? |date=5 July 2025 |access-date=1 January 2026 |website=Region Canberra}}</ref> Vehicles with a gross vehicle mass over 4.5&nbsp;tonnes are exempt from the bill.<ref name=carexpert/>

Fines will be first issued in 2028, for the 2025 reporting period, called interim emissions value (IEV) which ran from 1 July to 31 December 2025. The results of the 2025 IEV will be publicised in February 2026.<ref name=whichcar>{{cite web|last=Margeit |first=Rob |url=https://www.whichcar.com.au/news/federal-government-name-shame-car-makers-failing-meet-co2-targets |title=Federal Government to name and shame car makers failing to meet CO2 targets |date=31 December 2025 |access-date=6 January 2026 |website=Whichcar?}}</ref>

The bill has two classifications of vehicles with emission targets. Type 1 vehicles: passenger cars and SUVs. Type 2 vehicles: light commercial vehicles, such as utes and vans.<ref name=drive>{{cite web|last=Misoyannis |first=Alex |url=https://www.drive.com.au/news/ford-everest-isuzu-mu-x-first-victims-of-nves/ |title=Ford Everest, Isuzu MU-X variants the first victims of Australia’s new vehicle emissions rules – UPDATE |date=1 August 2025 |access-date=1 January 2026 |website=Drive}}</ref>

SUVs can count as a Type 2 vehicle if they are built with four wheel drive on a body on frame and have three tonnes braked towing capacity.<ref name=carexpert>{{cite web|last=Nevett |first=Josh |url=https://www.carexpert.com.au/car-news/what-the-first-federal-emission-standard-means-for-aussie-car-buyers |title=What the first federal emission standard means for Aussie car buyers |date=12 January 2025 |access-date=1 January 2026 |website=CarExpert}}</ref>

== Emissions limits == {| class=wikitable |+ NVES g/km of CO<sub>2</sub> ! Year ! Type 1 vehicles ! Type 2 vehicles |- |2025 |141 |210 |- |2026 |117 |180 |- |2027 |92 |150 |- |2028 |68 |122 |- |2029 |58 |110 |- !colspan=3 | '''Source''':<ref name=carexpert/> |}

== Reactions == In 2025, Ford Australia and Isuzu dropped their 4×2 variants of their Ford Everest and Isuzu MU-X SUVs in Australia due to not meeting emissions requirements for passenger vehicles.<ref name=drive/> In 2026, Kia discontinued the 3.5 liter V6 petrol engine powered versions of the Kia Carnival MPV and Kia Sorento SUV models in Australia as the engine is unable to be modified to meet 2024 NVES regulations mandated on all new passenger vehicles sold in Australia from 2026.<ref>{{cite web|last=Hickey |first=Jordan |url=https://www.drive.com.au/news/kia-sorento-and-carnival-petrol-v6-axed-in-australia/ |title=Kia Sorento and Carnival petrol V6 axed in Australia |date=9 January 2026 |access-date=9 January 2026 |website=Drive}}</ref>

== See also == * ADR27A

== References == {{reflist}}

{{Climate change in Australia}}

Category:2024 in Australian law Category:Acts of the Parliament of Australia Category:Albanese government Category:Road transport in Australia Category:Vehicle law

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