The economic impact of a 60% reduction of emissions by 2050 was modeled in 2006 in a study commissioned by the Australian Business Roundtable on Climate Change. The World Resources Institute identifies policy uncertainty and over-reliance on international markets as the top threats to Australia's GHG mitigation.
Domestic After contributing to the development of, then signing but not ratifying the
Kyoto Protocol, action to address climate change was coordinated through the Australian Greenhouse Office. The Australian Greenhouse Office released the
National Greenhouse Strategy in 1998. The report recognized climate change was of global significance and that Australia had an international obligation to address the problem. In 2000 the Senate Environment, Communications, Information Technology and the Arts References Committee conducted an inquiry that produced ''The Heat is On: Australia's Greenhouse Future''. One of Australia's first national attempt to reduce emissions was the voluntary-based initiative called the Greenhouse Challenge Program which began in 1995. A collection of measures which focused on reducing the environmental impacts of the energy sector were released by Prime Minister
John Howard on 20 November 1997 in a policy statement called ''Safeguarding Our Future: Australia's Response to Climate Change''. One measure was the establishment of the
Australian Greenhouse Office, which was set up as the world's first dedicated greenhouse office in April 1998. Domestically, the Clean Energy Act 2011 addresses GHG with an emissions cap, carbon price, and subsidies. On 13 November 2025, The
Liberal Party of Australia abandoned its support for
net zero by 2050.
Prime Ministerial Task Group Former policy Carbon taxation Another method of
mitigation of global warming considered by the Australian Government is a
carbon tax. This method would involve imposing an additional tax on the use of
fossil fuels to generate energy. Compared to the CPRS and CTS/ETS, a carbon tax would set the cost for all carbon emissions, while the cap itself would be left unattended, allowing
free market movements. This tax would primarily be aimed to reduce the use of fossil fuels for energy generation, and also look to increase
efficient energy use and increase demand for
alternative energies. A carbon tax was introduced by the government of
Julia Gillard on 1 July 2012. It requires businesses emitting over 25,000 tonnes of
carbon dioxide equivalent emissions annually to purchase emissions permits, which initially cost
A$23 for one
tonne of CO2 equivalent. The tax was repealed by the Australian senate on 17 July 2014. The reason given for the repeal by Australia's 2014 prime minister Tony Abbot was that the tax cost jobs and increased energy prices. Opponents to the repeal say that there has been an increase in Australian pollution since the tax's repeal. Since the repeal there has been several calls to re-implement the tax from multiple public figures, including Woodside Petroleum CEO Peter Coleman.
Carbon Trading and Emission Trading Scheme In June 2007, former Australian Prime Minister,
John Howard, announced that Australia would adopt a Carbon Trading Scheme by 2012. The scheme was expected to be the same as the counterpart in United States and European Union using carbon credits, where businesses must purchase a license in order to generate pollution. The scheme received broad criticism from both the
ALP and
Greens. The ALP believed that the scheme was too weak as well as a bad political move by the government. The lack of clear target by the government for this scheme before the
2007 federal election produced a high degree of skepticism on the willingness of the government on mitigation of global warming in Australia. In March 2008, the newly elected Labor government of Prime Minister
Kevin Rudd announced that the
Carbon Pollution Reduction Scheme (a cap-and-trade emissions trading system) would be introduced in 2010, however this scheme was initially delayed by a year to mid-2011, and subsequently delayed further until 2013. In April 2010, Kevin Rudd announced the delay the CPRS until after the commitment period of the
Kyoto Protocol, which ends in 2012. Reasons given were the lack of
bipartisan support for the CPRS and slow international progress on climate action for the delay. The Federal Opposition strongly criticised the delay as did community and grassroots action groups such as
GetUp.
Pathways for climate change mitigation Greenpeace energy revolution Greenpeace calls for a complete energy revolution. There are some fundamental aspects to this revolution, aimed as changing the way that energy is produced, distributed and consumed. The report sites ultra-efficient technologies and synergies, and wind power as ways in which to tackle the climate change problem within Australia. Climate Code Red also has an outline for a rapid transition to a safe-climate economy. This plan includes: • having the building capacity to plan, coordinate and allocate resources for high priority infrastructure projects and to invest sufficiently in the means to make safe-climate producer and consumer goods; • fostering research and innovation to produce, develop and scale up the necessary technologies, products and processes; • national building and industry energy efficiency programmes, including mandatory and enforceable minimum standards for domestic and commercial buildings, and the allocation of public resources to help householders, especially those with limited financial capacity, to reduce energy use; • the rapid construction of capacity across a range of renewable technologies at both a national and micro level to produce sufficient electricity to allow the closure of the fossil fuel-fired generating industry; • the conversion and expansion of Australia's car industry to manufacture zero-emission vehicles for public and
private transport; • the renewal and electrification of national and regional train networks to provide the capacity to shift all long-distance freight from road and air to rail; Further information:
High-speed rail in Australia • providing safe-climate expertise, technologies, goods and services to less developed nations to support their transition to the post-carbon world; • adjustment and reskilling programmes for workers, communities and industries affected by the impacts of global warming and by the transition to the new economy. In 2017, the Commonwealth government commissioned an effectiveness' assessment of emissions reductions policies to meet its Paris Agreement obligations by 2030. To meet the 2030 Paris Agreements 2 °C limit of global median temperature rise a five-year review and adjustment cycle will commence beginning in 2023.
Timeline of major Australian climate and mitigation policy developments (1992–2025) Solutions There are a number of ways to achieve the goals outlined above. This includes implementing clean, renewable solutions and decentralizing energy systems. The city of Melbourne is working with the wider Australian government to make Melbourne
carbon neutral by the year 2050. The name of the plan is Melbourne Together for 1.5°C. The plan includes ways for Melbourne to reduce the impact of waste, and models for how to reduce transport and building emissions to zero. This is a continuation off of a plan created in 2003 to have Melbourne carbon neutral by 2020, but this did not succeed.
Federal Government action Howard government The Howard government was resistant to taking action to prevent global warming that would harm Australia's economy, a policy continued from the prior Keating government. In 1996 in the lead up to the Kyoto treaty this slow going attitude caused conflict with the US and EU who at that time were proposing legally binding emissions targets as part of Kyoto. Australia was unwilling to accept stricter timeframes and emissions reductions targets, such as the 20% cut (from 1990 to 2005) proposed by smaller pacific island states, because of its
carbon-intensive economy. And, also in 1998, Australia signed but did not ratify the Kyoto protocols. The Australian Greenhouse Office put forward proposals for emissions reductions in 2000 (rejected in cabinet), 2003 (vetoed by Howard) and 2006 which was accepted by Howard and became the basis for his pre election emissions trading scheme proposal. The government cited the lack of bipartisan support for the CPRS and the withdrawal of support by the
Greens, and slow international progress on climate action after the
Copenhagen Summit, as the reasons for the decision. The delay of the implementation of the CPRS was strongly criticised by the Federal Opposition under Abbott and by community and grassroots action groups such as
GetUp.
Gillard (and second Rudd) government To reduce Australia's carbon emissions, the
government of Julia Gillard introduced a
carbon tax on 1 July 2012, which required large businesses, defined as those emitting over 25,000 tons of
carbon dioxide equivalent annually, to purchase emissions permits. The Carbon Tax reduced Australia's carbon dioxide emissions, with coal generation down 11% since 2008–09. Abbott became known for his anti-climate change positions as was evident in a number of policies adopted by his administration. In a global warming meeting held in the
United Kingdom, he reportedly said that proponents of climate change are alarmists, underscoring a need for "evidence-based" policymaking. The Abbott government repealed the carbon tax on 17 July 2014 in a heavily criticised move. Australia's Clean Energy Target (CET) came under threat in October 2017 from former Prime Minister
Tony Abbott. This could lead to the
Australian Labor Party withdrawing support from the
Turnbull government's new
energy policy. Climate policy continues to be controversial. Following the repeal of the carbon price in the last parliament, the Emissions Reduction Fund (ERF) is now Australia's main mechanism to reduce greenhouse gas emissions. However, two-thirds of the ERF's allocated $2.5 billion funding has now been spent. The ERF, and other policies, will need further funding to achieve our climate targets.
Morrison government Under the
Morrison government, Australia experienced some criticism as it plans to use a carbon accounting
loophole from the expiring Kyoto Protocol agreement to fulfill its (already modest) Paris commitments. According to Climate Analytics, Australia pledged in Paris to cut its emissions between 26% and 28% below 2005 levels by 2030 but it is currently on track for a 7% cut. The Coalition government repeatedly claimed in 2019 that it turned around Australia's greenhouse gas emissions that it inherited from the Labor government. Scott Morrison,
Angus Taylor and other senior Coalition figures repeated this claim. The Coalition actually inherited a strong position from the Labor government which had enacted the carbon tax. There are suggestions that disinformation is spread about the cause of Australia bushfires. On 1 November 2019, Scott Morrison outlined in a speech of mining delegates at the Queensland Resources Council that he planned to legislate to outlaw climate boycotts.
State government actions Per person emissions vary considerably by state.
Victoria in Victoria The state of Victoria, in particular, has been proactive in pursuing reductions in GHG through a range of initiatives. In 1989 it produced the first state climate change strategy, "The Greenhouse Challenge". Other states have also taken a more proactive stance than the federal government. One such initiative undertaken by the Victorian Government is the 2002 Greenhouse Challenge for Energy Policy package, which aims to reduce Victorian emissions through a mandated renewable energy target. Initially, it aimed to have a 10 per cent share of Victoria's energy consumption being produced by renewable technologies by 2010, with 1000 MW of wind power under construction by 2006. The government legislated to ensure that by 2016 electricity retailers in Victoria purchase 10 per cent of their energy from renewables. This was ultimately overtaken by the national Renewable Energy Target (RET). By providing a market incentive for the development of renewables, the government helps foster the development of the renewable energy sector. A Green Paper and White Paper on Climate Change was produced in 2010, including funding for a number of programs. A Climate Change Act was passed including targets for 50% reduction in emissions. A recent review of this Act has recommended further changes. The supreme court of Australia stopped a logging project in Victoria because it will be particularly destructive after the bushfires. The premier of Victoria
Daniel Andrews announced that by 2030
logging in the state will be banned.
South Australia Former Premier
Mike Rann (2002–2011) was Australia's first Climate Change Minister and passed legislation committing South Australia to renewable energy and emissions reduction targets. Announced in March 2006, this was the first legislation passed anywhere in Australia committed to cutting emissions. By the end of 2011, 26% of South Australia's electricity generation derived from wind power, edging out coal-fired power for the first time. Although only 7.2% of Australia's population live in South Australia, in 2011, it had 54% of Australia's installed wind capacity. Following the introduction of solar feed-in tariff legislation South Australia also had the highest per-capita take-up of household rooftop photo-voltaic installations in Australia. In an educative program, the Rann government invested in installing rooftop solar arrays on the major public buildings including the Parliament, Museum, Adelaide Airport, Adelaide Showgrounds pavilion and public schools. About 31% of South Australia's total power is derived from renewables. In the five years to the end of 2011, South Australia experienced a 15% drop in emissions, despite strong employment and economic growth during this period. In 2010, the
Solar Art Prize was created by Pip Fletcher, and has run annually since, inviting artists from South Australia to reflect subjects of climate change and environmentalism in their work. Some winning artists receive renewable energy service prizes which can be redeemed as solar panels, solar hot water or battery storage systems. == See also ==