The 2026–27 Federal Budget has seen $143.2 million go towards maximising “consumer and community benefits of the energy transition”.
This will see $97.2 million allocated to implementing a National Consumer Energy Resources Roadmap, and $15.9 million directed to a range of energy reforms, such as implementing the ‘Nelson Review’ for the National Electricity Market (NEM), which prioritises investment in renewable, firming and storage capacity to help address price volatility. The Australian Energy Regulator has also received a $10 million boost to expand electricity market monitoring and reporting activities.
The Budget will also invest $14.6 million in battery system inspections to ensure the integrity of the Cheaper Home Batteries program.
At the same time, the Federal Government reaffirmed its commitment to establishing a national Environment Protection Authority (EPA) to expedite approvals of nationally significant projects including utility-scale clean-energy assets.
Such measures have been praised by industry, however there has been criticism for other “missteps” and missed opportunities.
Amidst the fuel crisis, the Climate Council said the Federal Government missed the opportunity to invest in truck and heavy-machinery electrification which “use most of Australia’s diesel”.
“A $3 billion investment over 5 years could have deployed 30,000–50,000 new electric trucks and displaced up to 1 billion litres of diesel annually,” the Climate Council said.
Daniel Bleakley, co-founder and co-chief executive officer of New Energy Transport, which recently oversaw Australia’s first end-to-end all-electric freight delivery, believes electric trucks have a critical role to play in Australia’s clean-energy future.
He believes electric truck charging hubs, such as what New Energy Transport is developing at its Wilton project, should be seen as “critical infrastructure” by governments to enable rapid deployment.
“What are the major constraints to accelerating electrification of heavy transport?” Bleakley told Energy.
“One is securing the trucks and charging infrastructure, which is going to become increasingly competitive worldwide as demand increases amidst the fuel crisis.
“The next constraint is gaining access to power. The truck industry has much higher power requirements than passenger vehicles – the trucks we’re using have 10 times the battery capacity of a Tesla, which means gaining access to grid connections is critical.
“So being recognised as ‘critical infrastructure’ means having the ability to fast-track approvals and get projects operational sooner.”
New Energy Transport was recently chosen to participate in the Federal Government’s Investor Front Door initiative, with a dedicated engagement manager assigned to the company to help navigate regulations and identify government financing opportunities.
The endorsement will be centred on the Wilton project, set to be Australia’s largest heavy-BEV charging depot, and one that could support up to 50 heavy-electric trucks travelling between Sydney, Wollongong, Newcastle and Canberra.
EV tax changes announced
The Budget also confirmed the Fringe Benefits Tax (FBT) exemption for electric vehicles (EVs) will be restructured over time.
From April 2027, higher-value EVs will transition out of full FBT exemption arrangements, while eligible vehicles will continue to receive concessional treatment. From April 2029, the policy will move to a permanent 25 per cent FBT discount.
The government said the changes are designed to ensure “fairer tax treatment” while continuing to encourage more affordable EV uptake and support transport electrification.
The Budget will also see $40 million released over four years to accelerate the rollout of kerbside EV charging infrastructure.
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