Australia’s New Vehicle Efficiency Standards (NVES), set to begin in 2025, represent a significant step toward achieving net zero emissions and supporting the sustainability goals of local government councils.
Presented at the recent IPWEA Fleet Management Training Days by Marc Sibbald, Director – Fleet at IPWEA, the NVES framework provides fleet managers with a clear pathway to reduce CO2 emissions across council-operated fleets without immediate reliance on electric vehicles (EVs). These standards offer practical solutions for fleet managers striving to meet ambitious net zero targets, and they pave the way for a cleaner, more efficient fleet landscape.
Reducing CO2 Emissions in Council Fleets
Under the NVES, each vehicle manufacturer must meet set CO2 emissions targets for the vehicles they bring to the Australian market. This will effectively phase out high-emission vehicles over time and ensure that only fuel-efficient or low-emission options are available for purchase. For council fleet managers, this means access to a growing number of vehicles that are optimised for lower fuel consumption and reduced emissions, making it easier to align fleet acquisitions with council sustainability targets.
During his IPWEA presentation, Marc Sibbald noted that “as more fuel-efficient vehicles become available due to NVES, fleet managers can achieve emissions reductions without overhauling the fleet to fully electric.” This is a crucial advantage for councils working with limited budgets or without sufficient charging infrastructure to support a rapid switch to EVs.
Fuel Savings Through Greater Efficiency
One of the main benefits of the NVES for local government fleets is the financial savings associated with improved fuel efficiency. By mandating that new vehicles meet progressively lower CO2 emissions targets, the NVES ensures that fuel consumption across fleets will decrease over time. Given that fuel is one of the most significant expenses for council-operated vehicles, these savings directly impact council budgets and can be reinvested into other areas of sustainable development.
For example, new hybrid models from Kia and other manufacturers are expected to remain widely available and are already equipped with low CO2 emissions profiles. These vehicles provide an immediate reduction in fuel costs and emissions for councils aiming to meet interim emissions reduction targets, as highlighted by Sibbald in his presentation at the Fleet Management Training Days.
Supporting Fleet Planning and Net Zero Targets
A key challenge in achieving net zero targets for local government fleets lies in planning and awareness of the evolving emissions standards. The NVES will establish a baseline for CO2 emissions in fleet vehicles, making it easier for fleet managers to measure progress and report on sustainability initiatives to their councils. By selecting vehicles with the lowest CO2 in the category, fleet managers can demonstrate their commitment to emissions reduction and supporting council’s net zero targets.
Long-Term Transition to Electric Vehicles
While NVES provides immediate pathways to reduce emissions, it also supports a long-term transition to EVs. As Marc Sibbald highlighted, “the NVES helps fleets reduce emissions today while setting up the infrastructure and planning required for a larger EV presence in the future.” This incremental approach aligns with council budgets and resources, allowing a gradual EV rollout as infrastructure and funding become available.
With NVES, local government fleet managers have a clear framework for reducing CO2 emissions and aligning fleet operations with council sustainability goals. NVES is not only about reducing emissions but also about making meaningful strides towards net zero through efficiency, compliance, and planning. For councils committed to achieving net zero, NVES is an essential tool in their sustainability toolkit, offering immediate impact and a roadmap for future fleet transformation.
