EV Sector Steady in Budget 2025, Now to Watch That Election War Chest

The 2025-26 Federal Budget delivered steady hands for the EV industry - but left the real firepower for the campaign trail.

In a budget laser-focused on cost-of-living relief and economic messaging, the electric vehicle and charging infrastructure sector didn’t get any big new commitments. But key funding lines remain in place, and that sends a message of policy stability for industry players and investors.

No New EV Announcements, But Programs Stay Funded

• The Driving the Nation Fund continues to support the rollout of national fast-charging infrastructure, regional charging gaps, and heavy fleet decarbonisation.

• ARENA remains a central pillar for innovation grants - from V2G pilots to integrated charging and smart-grid tech.

• The Hydrogen Highways program, originally designed to reduce transport emissions across heavy corridors, has had $75 million clawed back from uncommitted funds. The message: hydrogen’s still in the mix, but battery-electric infrastructure is now clearly the front-runner.

General clean energy and sovereign manufacturing support via the National Reconstruction Fund (NRF) may still benefit local charging tech or component suppliers indirectly.

NVES Implementation Quietly Funded

The New Vehicle Efficiency Standard is proceeding as expected, with Budget Paper No. 2 confirming it’s been previously funded. No changes, no new allocations - but no backtracking either. The signal is clear: implementation is happening, regardless of how quiet the narrative is right now.

And the $26B+ Contingency Reserve, dare I say it, Election War Chest

Buried deep in the Contingency Reserve, the government has flagged significant future funding potentially to be allocated towards “decisions taken but not yet announced.”

While no explicit figures have been shared, the Budget Statement provides for:

- $3.5B in 2026–27
- $7.3B in 2027–28
- $15.3B in 2028–29

That’s over $26 billion quietly set aside across the forward estimates - a classic pre-election stash ready to be deployed for high-impact announcements. Expect campaign-stage policies undoubtedly targeting cost-of-living measures, but potentially also clean energy and/or infrastructure, to emerge from this reserve.

Key Takeaway

The Budget won’t move the needle overnight, but it holds the line on EV policy and investment - and leaves the door open for more ambitious action before the next election.

If you're building in the eMobility, or clean transport space, now’s the time to keep an eye on both campaign announcements and partnership opportunities with ARENA, NRF, and Net Zero-aligned programs.

Also worth watching: the Coalition’s right of reply this Thursday evening. Their position on NVES, fuel standards, or EV incentives could reshape the investment landscape heading into an election year.

Charge on, legends! ✌️

Author: James Kleine | zuup Founder / EV enthusiast (and petrol-head at heart).