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Australia Post Accelerates Electrification with $40.5 Million Federal Funding to Expand Nation’s Largest Green Fleet

Australia Post has announced it will use $40.5 million in federal government funding to accelerate the expansion of its electric delivery fleet, expected to save around one million litres of diesel annually while strengthening the resilience of its transport network and advancing sustainability goals.

Editorial Team7/23/2026Updated 7/23/2026

Federal Funding Boosts Expansion of Electric Fleet

On July 21, Australia Post announced it will utilize $40.5 million in federal government funding to accelerate the electrification of its delivery fleet, further expanding the nation’s largest electric transport network. The funds will be used to procure electric vans, light and heavy rigid trucks, and prime movers, while also upgrading charging infrastructure to meet 2030 sustainability targets.

Australia Post currently operates over 5,000 electric vehicles, including electric motorbikes, small delivery vehicles, and last-mile delivery vehicles, making it the largest electric transport fleet in the country. Late last year, the company began trials of its first heavy-duty electric truck, a Mercedes-Benz eActros, in Melbourne’s eastern suburbs to validate the feasibility of large electric vehicles in real-world transport scenarios.

Shane Plant, Australia Post’s executive general manager for network operations, stated that the company has been a leader in electric vehicle adoption for over a decade. He noted that the federal funding will accelerate the electrification of heavy vehicles. Plant added that early trials of electric trucks and the existing electric van fleet have shown promising results, and the company plans to further expand the use of electric vehicles to reduce reliance on diesel and enhance the resilience of its transport network.

Annual Savings of One Million Litres of Diesel to Stabilize Fuel Supply

Australia Post estimates that the new electric vehicles will reduce diesel consumption by approximately one million litres annually. This reduction will not only help lower carbon emissions but also free up fuel for industries that cannot easily transition to electrification. Federal Minister for Communications Anika Wells said the funding will strengthen the future of the national transport network, reduce dependence on diesel, and improve resilience against external supply chain disruptions.

Wells emphasized that as online shopping demand continues to grow, this investment will help Australia Post meet increasing delivery needs while working toward a lower-emissions future. The company plans to use the funds to purchase additional electric vehicles and upgrade infrastructure, including charging stations, switchboards, and load management systems, to ensure the stable operation of its electric fleet.

Australia Post has begun planning for new vehicle procurement and charging infrastructure upgrades but has not yet released a specific deployment timeline or the exact number of additional vehicles. Beyond vehicle updates, the company will continue to promote solar power generation and low-carbon fuels to further solidify its sustainable transport network, providing more reliable delivery services for businesses and communities.

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