DRIVEN Rebate Stream Guidelines Updated – Round 2 Opening Soon

Round 2 of the Dealership and Repairer Initiative for Vehicle Electrification Nationally (DRIVEN) Rebate Stream is opening on Monday 22 September 2025.

The DRIVEN Program provides funding towards the purchase and/or installation of eligible DC EV chargers at dealerships to support the transition to lower emission vehicles across Australia.

Some key changes to the grant guidelines for Round 2 include:

  • Easier application process.
  • Increased number of rebate claims per site.
  • EV chargers no longer need to meet the 7kW minimum to qualify for the grant.
  • Increased rebate amount up to $3,000 per EV charger plug.
  • If a third party, such as a Charge Point Operator, helped with preparing your application, you can now claim up to $200 to cover their fees.
  • Applicants who successfully applied in Round 1 and received a rebate of less than $3,000 per plug may be eligible for a supplementary rebate to bring their total rebate per plug to the current maximum of $3,000. This will require an application to be made under this round.

Who is this fund for?

  • Licensed motor dealers/traders
  • Service centres associated with a licensed motor dealer/trader
  • EV Repairers

The Department will be holding an information session for dealers in the coming weeks to discuss the key changes and respond to any queries.

Secure your spot by completing the registration form, and submit your questions in advance to be covered in the information session.

VIEW GRANT GUIDELINES

VIEW SAMPLE APPLICATION FORM

NSW Motor Dealers and Repairers Regulation 2025

NSW Fair Trading has confirmed that the new Motor Dealers and Repairers Regulation 2025 will commence on 1 September 2025, following an extended period of consultation with industry stakeholders.

The AADA notes the limited notice regarding the release of these regulations. We were advised of the changes by NSW Fair Trading late on Friday and are sharing this update with members at the earliest opportunity.

Importantly, the Regulation does not proceed with the previously proposed introduction of a separate electric vehicle (EV) technician repair class or additional mandatory EV training requirements.

Key Information – Summary of Changes

The Regulation introduces a range of new requirements for licensed motor dealers, repairers, and recyclers. Dealers should be aware of the following key changes.

Online Sales Framework

  • Dealers must notify NSW Fair Trading if they sell wholly or partly online (using a prescribed form).
  • Online dealers must:
    • Use an “.au” domain name.
    • Display their dealer licence number on websites and advertising.
    • Allow buyers to inspect vehicles prior to delivery/collection.
    • Limit deposits to 10% of the vehicle price before possession.
    • Observe a cooling-off period until 5pm the next day.
  • Compliance with these changes is required by 1 December 2025, with Fair Trading taking an ‘educational’ compliance approach in the interim.

Retention of Dealer Notices

  • Licensed motor dealers must retain dealer notices for 6 years from sale. This is an increase from the previous 3-year requirement.

Compensation Fund

  • Coverage expanded to:
    • Vehicles over 35 years old.
    • Motorcycles over 10 years old or not used mainly for private purposes.
    • Trailers and towable vehicles.
  • Maximum claim amount increased from $40,000 to $100,000.

Other Relevant Changes

  • Trade shows: motor vehicle dealers who do not hold a licence in NSW may be able to participate in a NSW trade show, provided the show is a ‘declared trade show’.
  • Qualifications: motor vehicle tradesperson certificate requirements now set administratively, rather than prescribed in the Regulation, to reflect VET system changes.
  • Motor vehicle recyclers: banned from using cash payments and from trading vehicles/parts with removed or defaced identifiers.
  • Penalties increased for odometer tampering and unlicensed trading.
  • From 1 September 2026, the dealer guarantee will extend to trailers and towable vehicles.

The Regulation commences 1 September 2025, with a grace period for online sales requirements until 1 December 2025. Dealers should review their online sales arrangements, recordkeeping systems, and compliance processes ahead of the deadline.

The AADA is working closely with NSW Fair Trading to provide further guidance and ensure the rollout of the new Regulation is practical for dealers.

CHANGES TO MDRA 2025

STATEMENT OF REGULATORY INTENT

Industry Association Update – NSW and National

Yesterday the Motor Traders’ Association of New South Wales (MTA NSW) announced that they would be withdrawing from the Motor Trades Association of Australia (MTAA) in response to proposed governance changes and shift in strategic direction.

The announcement by the MTA NSW has no effect on the close cooperation AADA has been pursuing with the various Motor Trades Associations (MTAs) and Chambers. We are fully committed to the Memorandum of Understanding agreed to with the Victorian Automotive Chamber of Commerce (VACC), the Tasmanian Automotive Chamber of Commerce (TACC), the Motor Trade Association of Western Australia (MTA WA), and the Motor Trades Association of Queensland (MTAQ). AADA is also in conversation with the Motor Trades Association of South Australia (MTA SA) for the benefit of our mutual dealer members.

These agreements are vital because they enshrine the demand dealers have made of us – close cooperation so that their interests are safeguarded at the national and state/territory level.

While MTA NSW is the only one of the MTAs and Chambers that the AADA has failed to progress an MoU with, we are very closely connected to the membership in NSW and the ACT. Working with our members we have secured a number of achievements in recent years, including:

  • Deferral of mandatory dealer EV training in NSW that would have duplicated training already undertaken by OEMs
  • Reversal of the proposal to ban the sale of used cars online in NSW
  • Reversal of proposals to enact consumer requirements in NSW which would have exceeded those found in the ACL
  • Special consideration for dealers to trade and service vehicles during COVID lockdowns

AADA will bolster our efforts and continue to represent our NSW and ACT dealer members on issues of importance at both the state, territory and federal level.

Our industry is undergoing significant changes and it’s never been more important for the bodies representing dealers in Australia to be aligned.

Ministerial Announcement – No New EV Repair Class in NSW

The AADA is pleased to advise that proposed reforms to electric vehicle (EV) repairs in NSW, set to be introduced as part of the Motor Dealers and Repairers Regulation 2025 (the Regulation), will not be proceeding at this stage.

NSW Minister for Better Regulation and Fair Trading, the Hon Anoulack Chanthivong MP, wrote to the AADA advising that these proposed reforms will not be introduced in this Regulation until further consultation has been undertaken on the appropriate transitional arrangements for the automotive industry.

The AADA extensively engaged with the NSW Government and regulators to emphasise the comprehensive training undertaken by franchised new car dealers and to highlight the significant impact this proposed policy in its current form would have on the industry.

While the AADA supports ongoing improvements in training in the automotive service and repair industry, any new regulations must be carefully considered and implemented with appropriate arrangements to ensure a smooth transition.

The Regulation will still introduce a number of changes put forward in the Regulatory Impact Statement, intended to commence on 1 September 2025.

Key changes that will be introduced in the Regulation include:

  • An online selling framework to permit and regulate online sales of motor vehicles by motor dealers.
  • Changes to the Motor Dealers and Repairers Compensation Fund and introduction of higher claim limits.
  • Simplifying record keeping requirements to reduce administrative burdens on licensees.
  • Expanding dealer guarantees for trailers and caravans based on the age of vehicles, with a 12- month commencement date.
  • Increased penalty infringement notice amounts, and new penalty notice offences to ensure better deterrence and compliance.

The AADA will provide further detail on these in the coming days.

We would like to sincerely thank all dealers who engaged with the AADA on this issue, whether through our statewide survey or through direct meetings to help inform our response. Your feedback was instrumental in shaping our engagements and submission that strongly reflected the interests of NSW franchised new car and truck dealers.

REGULATION NOTICE

AIR: July Used Car Sales Figures

The July 2025 edition of the Automotive Insights Report (AIR), produced by the AADA in collaboration with AutoGrab, shows a slight slowdown in used vehicle sales activity following June’s end-of-financial-year peak, alongside continued softening in retained values across most segments.

The Automotive Insights Report is the only comprehensive national reporting of used car sales covering both dealer and private transactions. This national, all-channel view helps dealers, industry, and policy makers understand real demand, track emerging trends, and make better-informed decisions.

Key insights from July include:

  • Sales ease after EOFY surge: National used car sales fell to 206,216 in July, down 2.8 per cent month-on-month. WA, TAS, ACT and NT recorded modest increases, while all other states saw declines.
  • Dealer inventory remains strong: Dealers accounted for 47.5 per cent of sales and 55.5 per cent of listings. Total active listings rose 2.9 per cent to 339,742 nationally, the highest level so far in 2025.
  • Hybrid and EV sales slow: Hybrid sales fell 8.5 per cent month-on-month, while EVs dropped 20.3 per cent. However, hybrid listings increased 13.6 per cent and EV listings rose 4.9 per cent, indicating ongoing supply growth in these segments.
  • Days to sell dropped: Average days to sell across all used vehicles fell to 44.6 days in July, down from 47.0 in June, indicating a quicker turnover for vehicles that matched buyer demand.

The results are in line with seasonal patterns, with July often seeing a cooling in sales after EOFY. Stock levels are building, which is positive for consumer choice, but the ongoing softening in retained values is something dealers will be watching.

Dealers seeking more granular and local data can contact AutoGrab directly for a tailored solution.

If you are a dealer of a contributing brand and would like access to the monthly report please email Communications Manager Ashleigh Sykes on asykes@aada.asn.au.

AIR: 2025 Mid-Year Automotive Insights Report

The AADA and AutoGrab are pleased to release the 2025 Mid-Year Automotive Insights Report (AIR), providing insightful data about the dynamic Australian used car market in the first half of the year.

Used car inventory is surging, with 1,589,491 vehicles listed for sale in the first six months of 2025 which represents an over 30 per cent increase compared to the same period in 2024.

This uplift in supply is matched by stable demand, with 1,133,990 used cars sold so far this year, a slight increase on 2024. Notably, the market is experiencing a continued shift back toward dealership sales, with dealer transactions now representing 46.7 per cent of total sales, up from 36.5 per cent last year.

After a year of constrained supply and strong retained values, there appears to be balance returning to the used car market. AutoGrab predicts that the growing inventory surplus is likely to place downward pressure on prices and could result in extended selling times during the second half of 2025. The surge in supply is primarily driven by passenger vehicles and SUVs. While SUVs continue to underpin sales growth and utes are stable, demand for passenger vehicles has shown a noticeable decline.

Low emission vehicle adoption continues to gain momentum. Battery electric vehicle (BEV) sales nearly doubled year-on-year, rising 92 per cent, while plug-in hybrid sales grew by 96 per cent. Hybrids also performed strongly, up 42 per cent on the same period last year.

Other highlights from the 2025 mid-year AIR include:

  • BEVs now account for 1.1 per cent of all used car sales, up from 0.8 per cent last year.
  • Private sales dropped significantly, now making up 53.3 per cent of all transactions (down from 63.5 per cent).
  • Retained values are lower in 2025 compared to last year, but the rate of decline month-to-month is more gradual, indicating a more stable market.
  • The Ford Ranger maintained its position as the top selling used model, followed by the Toyota Hilux and Toyota Corolla.
  • The average number of days to sell a used vehicle remained steady for dealers, though private sellers are taking longer to sell compared to the same period in 2024.

View the full Mid-Year 2025 Automotive Insights Report here.

Dealers seeking more granular and local data can contact AutoGrab directly for a tailored solution.

RevenueSA 2025-26 Guide to Legislation – Payroll Tax Released Today

South Australian new car and truck franchise dealers are advised that RevenueSA have released its 2025-26 Guide to Legislation-Payroll Tax (the Guide).

RevenueSA advise that the Guide provides a general guide for employers of their South Australian payroll tax responsibilities under the Payroll Tax Act 2009 (SA), but it does not constitute a Revenue Ruling.

This document should not be read in isolation to the legislation and does not in any way override the Payroll Tax Act 2009 (SA).

More information
For previous versions of the RevenueSA Guide to Legislation you should visit the RevenueSA Resources and Publications page.

For any matters relating to the Acts and Regulations mentioned in this Guide, SA Dealers should contact RevenueSA on (08) 8226 3750 or visit their website.

AIR: June Used Car Sales Figures

The June 2025 edition of the Automotive Insights Report (AIR), produced by the AADA in collaboration with AutoGrab, shows a strong end of financial year lift in used vehicle sales activity even as retained values begin to soften across most segments.

Key insights from June include:

  • EOFY drives strong sales growth: National used car sales surged to 212,136, up 10.1 per cent month-on-month. Significant increases were recorded in NSW (12.5 per cent), QLD (11.7 per cent), and VIC (9.1 per cent).
  • Dealer activity remains strong: Dealers accounted for 49 per cent of sales and 53.6 per cent of listings. The dealer share of inventory continues to lead, reflecting strategic stock positioning and ongoing consumer confidence in dealer-backed purchases.
  • Hybrid and EV momentum continues: Hybrid sales climbed 21.7 per cent month-on-month, PHEVs increased 29.3 per cent, and EVs rose 7.6 per cent, despite a 6 per cent drop in EV listings. The shift reflects increasing consumer demand for fuel-efficient vehicles.
  • Days to sell remains stable: Average days to sell across all used vehicles held steady at 47.0 days, consistent with May, suggesting sustained consumer engagement, as stock levels increased slightly by 1.2 per cent to 330,278 listings nationally.

End of financial year activity once again contributed to strong sales performance in June, with motivated buyers and competitive selling driving results. As seen in previous years, this EOFY momentum also placed downward pressure on retained values, with sellers looking to finalise transactions before the close of financial reporting.

Dealers seeking more granular and local data can contact AutoGrab directly for a tailored solution.

If you are a dealer of a contributing brand and would like access to the monthly report please email Communications Manager Ashleigh Sykes on asykes@aada.asn.au.

LCT Thresholds from 1 July – Dealers Urged to Seek Tax Advice

Dealers were advised in May that the Australian Taxation Office (ATO) had announced the Luxury Car Tax (LCT) thresholds for the financial year 2025-26. In addition, due to an amendment to A New Tax System (Luxury car tax) Act 1999, from 1 July 2025, the definition of a fuel-efficient vehicle will change from a fuel consumption rate that does not exceed 7 litres per 100km to 3.5 litres per 100km.

This bulletin is a reminder for dealerships and their staff to familiarise themselves with the implications of the 2025-26 LCT thresholds and the new definition for a fuel-efficient vehicle, which take effect from 1 July 2025. Dealers are encouraged to consider seeking appropriate professional taxation advice from their preferred taxation and/or professional services firm.

The bulletin in May advised that the vehicle consumer price index (CPI) indexation factor for the 2025-26 financial year is 0.997. Therefore, the car limit and the luxury car tax threshold for both fuel-efficient vehicles and other vehicles remain unchanged.

LCT Thresholds
Financial year Fuel efficient vehicles Other vehicles
2025-26 $91,387 $80,567
2024-25 $91,387 $80,567
2023-24 $89,332 $76,950

 

More information on the LCT thresholds and calculation of the LCT can be found on the ATO website.

2025-26 NSW Budget Briefing

Yesterday, the NSW Government released its 2025-26 Budget, focused on ‘restoring essential services, rebalancing public finances, and laying the foundation for long-term growth’.

The key priority areas in 2025-26 for NSW include, working across the Federation on the Productivity Commission’s review of the 2018 amendments to GST legislation, road user charging and disaster recovery and resilience funding.

The AADA continues to have strong concerns with the implementation of a state-based road user charge as announced by NSW. Following the invalidation of Victoria’s Road User Charge on EVs, the AADA will continue to advocate for a national approach to road user charging to ensure national consistency.

Key budget announcements for dealers include:

Road User Charges
Announced in 2021, NSW continues to prepare for the introduction of a Road User Charge (RUC) of 2.5c/km for electric vehicles and a 2.0c/km for plug-in hybrid electric vehicles. This RUC will be applied from 1 July 2027 or when EVs make up at least 30 per cent of new car sales.

In the 2025-26 Budget, the Government has revised up its expected revenue from this charge. This upgrade largely reflects a change in the forecast to accurately reflect the annual indexation of the RUC rate from the 2022-23 financial year.

Skills and Training

  • $2.8 billion investment in 2025-26 for TAFE to grow the skilled workforce.
  • $40.2 million to continue fee-free apprenticeships and traineeships for priority qualifications.
  • 44,995 fee-free training places for the formal training component of apprenticeships and traineeships.
  • $100 rebate to registered first and second year apprentices through the Apprentice Vehicle Registration Rebate.
  • The Vocational Training Assistance Scheme travel and accommodation allowance for apprentices or new entrant trainees who are required to travel more than 120 km round trip to attend day or block-release training.

EV Infrastructure

  • A 30 per cent discount on the upfront cost of installing small-scale battery systems through the Cheaper Home Batteries Program (administered by the Australian Government) for eligible households and small businesses from 1 July 2025.
  • Increased battery discount from 1 July 2025 through the Cheaper Home Batteries Program.