Transport

A Cleaner Future for Australian Vehicles

DRIVING THE FUTURE OF AUSTRALIAN TRANSPORT

Australia’s transition to cleaner transport is accelerating. With more than 300,000 electric vehicles on the road and growing demand for low-emissions options, change is happening fast. But real progress requires robust systems, strategic infrastructure, and strong industrial capability built for Australian conditions.

At Powering Australia, our teams work across the transport ecosystem to build national manufacturing capability in clean mobility, supporting the adoption of battery-electric and hydrogen-powered vehicles, as well as low-carbon fuels.

We are connecting industry, government and innovators, unlocking local manufacturing and supply chain strength. We’re enabling innovation that’s built for Australian conditions and designed to power the nation’s next era of movement.

10M t

cut in transport emissions by 2035

3^rd

largest source of emissions in Australia and expected to be the largest by 2030

77%

growth rate expected in Australia’s road freight by 2050

SECTOR OVERVIEW

The global shift to low-emissions transport is reshaping economies worldwide. For Australia to remain competitive, it must keep pace through innovation, localisation, and leadership. As major economies move to phase out high-emission vehicles, the pressure is growing to innovate, localise, and lead in clean mobility.

Electric vehicles, hydrogen-powered transport and alternative fuels are reshaping how the world moves. For Australia, this shift represents more than a decarbonisation opportunity, but one to develop new industries, build smarter supply chains, and design transport solutions that are cleaner, more efficient and suited to Australia’s unique geography and industries.

By leveraging abundant renewable energy, critical mineral reserves, and growing manufacturing capabilities, Australia is well placed to expand low-carbon liquid fuels and heavy-duty battery electric vehicles, especially for hard-to-decarbonise sectors like mining and defence.

MAKING IT HAPPEN

We are on the ground, listening closely and fostering collaboration across the transport ecosystem. Our focus is on creating the right environment that strengthens Australia’s expertise in clean transport technologies, across all modes of transport.

We are supporting the growth of charging and refuelling infrastructure and helping unlock resilient supply chains by advocating for enabling policy, robust compliance standards, and local manufacturing, all needed for a resilient, renewable-powered transport system.

Australia holds significant clean technology manufacturing opportunities in the transport sector, especially in heavy vehicles and low carbon liquid fuels. Powering Australia is connecting key participants across these sectors to commercialise innovative technologies and capitalise on the growing opportunity.

We are advancing ideas that encourage industry collaboration and resource sharing to boost local innovation and competitiveness. That will help shape a cleaner, smarter, and more competitive transport future for the nation.