NVES changes in 2026 and what it means for fleets
WORDS BY ANBY ALCOMENDAS
The 2026 performance period for Australia’ s New Vehicle Efficiency Standard( NVES) began on 1 January 2026 and runs until 31 December 2026. It is the first full year of operation under the New Vehicle Efficiency Standard Act 2024 and introduces updated emissions values that vehicle suppliers must meet.
While the compliance obligation sits with manufacturers and importers, the impact will be felt across the fleet sector.
How the 2026 NVES Works
Each regulated entity is assessed on the total emissions performance of the vehicles it supplies to the Australian market over the year. This is measured through an Interim Emissions Value( IEV).
To comply:
• The entity must record an IEV of zero or less for the performance period.
• If the IEV is below zero, the entity earns NVES units( credits).
• If the IEV is above zero, it will need to manage the shortfall under the scheme’ s compliance framework.
IEVs and associated NVES units for the 2025 period will be issued through the NVES Portal and NVES Unit Registry in February 2026. Results for the 2026 performance period will be available in February 2027.
What This Means for Fleet Buyers
Although fleets are not directly regulated under the NVES, the standard will influence vehicle supply, model mix and, potentially, pricing.
• Greater availability of low-emission vehicles To achieve compliance, suppliers are increasing the share of low- and zeroemission vehicles in their line-ups. Fleets can expect more electric and hybrid options across passenger and light commercial segments.
• Changes in model allocation Higher-emitting models may become less attractive for suppliers if they affect overall fleet emissions performance. This may influence which variants are prioritised for the Australian market.
6 ISSUE 57 FEBRUARY 2026 / WWW. AFMA. ORG. AU