Australia's transport sector, a major contributor to emissions, aims to reduce CO₂ output significantly by focusing on decarbonization strategies. The government is actively promoting the adoption of electric vehicles (EVs) through various initiatives such as rebates, investments in charging infrastructure, and the introduction of a New Vehicle Efficiency Standard. While EVs are well-received in the market, hydrogen faces challenges due to limited infrastructure and reliance on fossil fuels, hindering its widespread adoption despite cost advantages. Battery-electric trucks offer a promising solution, with potential for substantial emission reductions over their lifecycle. Government grants and investments in battery manufacturing further support the transition towards cleaner transport options. Challenges such as battery weight and charging infrastructure remain obstacles for a full switch to EVs, especially in remote areas. The article highlights the potential of hydrogen as a superior fuel for heavy-duty trucks, given its rapid fuelling time and comparable range to fossil fuels. The government's investment in hydrogen refuelling networks on key freight routes aims to facilitate a seamless transition. Despite challenges, Australia's efforts in infrastructure development, investment incentives, and battery technology advancements signal a positive shift towards a more sustainable and efficient transport sector.