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Future mobility and services

Future Transport Strategy

Transport powered by alternative fuels

Leading the transition towards clean and quiet mobility

Low- and zero-emission vehicles include hybrid, plug-in hybrid, battery electric and hydrogen fuel cell vehicles. These vehicles offer major benefits compared to conventional internal combustion engine vehicles. For motorists and fleet operators, there are significantly lower fuel and maintenance costs, and benefits to the community include reduced pollutants and greenhouse gas emissions. 

Electric vehicle (EV) charging also has the potential to contribute to wider environmental sustainability benefits in cases where it is feasible to charge using excess power generated from renewables during the day. As battery technology develops, EVs may also provide stored electricity back into homes, businesses or the grid.

Electric vehicles can currently cost more to purchase than a comparable vehicle with an internal combustion engine. However, parity on total costs – purchasing and operating – is close to being achieved for smaller cars and purchase price parity is expected to be reached by 2027. As EVs become more affordable and within reach for more members of the community, we anticipate a much higher take up rate. This is particularly the case if the availability of charging points and customer information continues to grow.

The business sector has started transitioning to EVs. Many companies have commenced trialling of electric trucks (such as Woolworths, DHL, and Australia Post), Ikea have committed to a shift to all electric fleet by 2025, and Qube will be using electric driverless straddle carriers at Moorebank.

Transport for NSW supports the NSW Government’s plan towards achieving a target of net-zero emissions by 2050. The recently published Net Zero Plan Stage 1: 2020 – 2030 restates the NSW Government's commitment to a net-zero emission future and the first major step in meeting this goal. Two of the four priorities under the plan are to drive uptake of proven emissions reduction technologies, and to ensuring the NSW Government is leading by example. 

Transport for NSW is already paving the way for an industry-led and government partnership approach to the development and take up of more fuel efficient vehicles through the NSW Electric and Hybrid Vehicles Plan, including such measures such as:

  • The Zero Emissions Bus Trial to be delivered in Greater Sydney and outer metropolitan areas, and a strategy to transition the entire bus fleet to zero emissions.
  • Trialling automated, electric smart shuttles in Sydney, Armidale and Coffs Harbour in partnership with industry.
  • Trialling five fully-electric buses on a regular bus route service in Sydney’s Inner West and East.
  • Partnering with NRMA to deliver additional EV charging stations in regional and outer metropolitan NSW, including at least 20 EV fast chargers, as part of a $3 million co-investment.
  • Investing $2 million to install EV chargers at a number of commuter car parks in Greater Sydney.
  • An online Electric Vehicle Guide tool to make it easier for consumers to access information about electric vehicles and the location of charging infrastructure, to encourage EV take-up.
  • Providing a lower rate of motor vehicle tax for hybrid and electric vehicles in line with the Commonwealth’s Green Vehicle Guide.
  • Including a recommendation for ‘conveniently located charging stations’ in the Department of Planning, Industry and Environment’s Apartment Design Guide.
  • Setting a 10 per cent government fleet target for new passenger fleet vehicles to be electric or hybrid from 2020-21 – now increased to 30 per cent by 2023 under the NSW Net Zero Plan Stage 1: 2020-2030.
  • Collaborating with other jurisdictions to explore the potential of alternative fuels, such as hydrogen, as a power source for transport, including through the National Federation Reform Council’s Energy Council work, which has led to Australia’s National Hydrogen Strategy.

For more about how Transport for NSW is planning to promote environmental sustainability for the transport sector, see Delivering Sustainability.

Six principles for Future Transport

The Future Transport 2056 Strategy is focused on six key principles for the future of mobility in the state, which together aim to positively impact the economy, communities and environment of NSW.

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