EVs Just Hit 20% of Australian Car Sales — What It Means for Your Novated Lease
Australia's EV market hit a record 20% share in June 2026, with Tesla leading the charge. Here's what that milestone means for novated lease buyers.
Australia's new car market just crossed a threshold that most industry watchers weren't expecting this soon. According to The Driven ([Source 1]), EVs accounted for 20% of new vehicle sales in the most recent monthly figures — the biggest EV month Australia has ever recorded. Tesla led the charge, topping the sales charts outright.
That's not a niche result. One in five new cars sold in Australia is now electric. For anyone sitting on the fence about an EV novated lease, the market is sending a pretty clear signal.
What this means for novated lease customers
The 20% milestone matters for novated lease customers for a few practical reasons. First, supply has genuinely improved. A broader range of EVs at more price points means you're less likely to face the long wait times that plagued orders in 2022–2024. More competition between brands also tends to keep drive-away prices honest.
Second, and more directly relevant to your pay packet — the Australian Government's FBT exemption for eligible battery electric vehicles is still in place for cars below the luxury car tax threshold. A higher-volume EV market means more eligible models to choose from, and more dealers familiar with novated lease paperwork.
Third, resale values on EVs are stabilising as the second-hand market deepens. That matters because your novated lease residual is calculated against future value — a more liquid used-EV market is generally good news for end-of-lease outcomes. None of this replaces getting a proper quote, but the macro conditions for EV novated leasing in mid-2026 are meaningfully better than they were 18 months ago.
Common questions
Is the FBT exemption still available for EVs in 2026?
As of mid-2026 the FBT exemption for eligible battery electric vehicles under the luxury car tax threshold remains in place. You should confirm your specific vehicle's eligibility with a licensed adviser — that's exactly what millarX does before quoting.
Does Tesla topping the sales charts mean it's the best novated lease choice?
Not necessarily. Sales volume reflects consumer demand, not necessarily the best lease economics for your situation. The right EV depends on your salary, kilometres, charging setup, and which models fall under the FBT exemption threshold.
Will higher EV sales volumes affect novated lease costs?
Indirectly, yes — greater supply tends to reduce dealer premiums and improve residual value certainty, both of which can benefit your lease terms. But pricing is model-specific, so a quote is the only way to know.
Can I novated lease a new EV brand like Cadillac that's just entering the market?
Generally yes, provided the vehicle is a new or demo car sold by an authorised dealer and meets FBT exemption criteria. Newer brands sometimes have less established residual value data, which lenders factor into rates.
What if I'm interested in an EV but not sure which model yet?
That's the most common starting point. millarX can model costs across multiple eligible models side-by-side so you can compare before committing to anything.