Yesterday, the Government published the first round of performance results for the New Vehicle Efficiency Standard (NVES). The first performance period started on 1 July 2025 and ended on 31 December 2025. Going forward, the Government will report on a full calendar year.
The 2025 NVES performance results show that two-thirds of regulated entities/OEMs have met their targets, generating a net surplus of 15.9 million NVES units. The OEMs may now choose to trade these units with another regulated entity under a commercial agreement or hold them for up to three years to help meet stricter future emissions targets.
While the initial results paint a positive picture of the industry, with brands like Toyota, Kia, Ford, and Isuzu meeting their targets, they are based on vehicles imported into Australia rather than those registered or sold.
The AADA notes that the initial period of the NVES, marked by lower targets, is relatively manageable, but the scheme is expected to become more challenging in the later years unless compliance mechanisms are improved.
The AADA has been monitoring market trends and tracking brand performance at the point of sale. In the coming weeks, we will be providing further analysis and comparing the Government results with sales data.
To view full 2025 performance results, click below: