The Albanese Government is welcoming the independent Climate Change Authority's 2024 Sector Pathways Review, which provides governments, investors, industry and communities with a comprehensive analysis of the challenges and opportunities we face as we decarbonise our economy.
The Pathways Review was commissioned by Parliament last year, to provide independent and technical advice on how major sectors of Australia's economy can move towards decarbonisation. It examines the potential transition and emissions pathways in six sectors: energy and electricity; transport; industry and waste; agriculture and land; resources; and built environment.
Vitally this review is not recommendations to the Government, but rather information and analysis to inform the community, businesses, policy makers, investors and governments at all levels on what's needed for a robust but responsible transition.
Ultimately the CCA finds that Australia can seize the opportunities before it, ensuring not only ongoing economic growth but securing a better future for the next generation.
"Australia's transition to a net zero economy is necessary, inevitable and urgent. Among developed countries, Australia is one of the most vulnerable to the impacts of climate change… Australia can prosper in a world with lower emissions, and not only because it would deliver a more hospitable climate. With its plentiful solar and wind resources, Australia can generate large amounts of renewable energy relative to the size of its population. An abundance of clean energy and critical minerals, combined with a skilled, highly educated workforce, innovative companies and strong institutions, will give Australia advantages in the global low emissions economy".
Unsurprisingly, the independent pathways review finds that central to Australia's 2050 ambitions is the ongoing rollout of reliable renewables and storage in order to reduce emissions in the electricity sector and unlock decarbonisation across the economy through wider take up of electrification.
The review warns that: "Uncertainty or delays in deployment (of renewables) will put emissions reduction ambitions at real risk."
Critically the review stresses the need to deploy available and well-established technologies, like solar and wind, rather than wait for technologies which either don't exist or haven't been used in Australia yet. It says:
"Working to reduce emissions now, using existing technologies, is far more efficient and effective than waiting and hoping that bigger breakthroughs will do all the work. Waiting for new, better, cheaper technologies is tantamount to choosing to continue to emit."
It also pours cold water over the possibility of Australia using nuclear energy to meet our 2050 targets, saying:
"Australia's lack of experience in building and managing nuclear power stations may reasonably lead to additional costs for a first-of-a-kind unit deployed in Australia. The estimated lead time of 15 to 20 years before operation (Graham et al., 2024) suggests this technology cannot make a timely contribution to replacing the generation capacity of retiring coal-fired power stations or to helping Australia achieve its carbon budget targets to 2050."
The Government will take this independent advice into account as it continues to develop its national Net Zero by 2050 plan and six sectoral plans.
We thank the CCA for the intellectual rigour and expertise they have applied to this task, with a reinvigorated and independent CCA a central part of our Powering Australia plan.
Attributable to Minister for Climate Change and Energy Chris Bowen:
"The Albanese Government is working to bring down energy prices and emissions after a decade of delay, dysfunction and denial. Any delay risks not just our energy reliability and security but our ability to act on emissions reduction and secure the future for the next generation.
"The Climate Change Authority has examined the opportunities and challenges before Australian industries and businesses as they decarbonise. Encouragingly the Climate Change Authority sees the deployment of existing technologies, like solar and wind, as well as the potential of emerging technologies, like hydrogen, will support an orderly and prosperous transition.
"The Climate Change Authority also confirms today that in its independent, expert view, nuclear could not replace aging coal capacity fast enough to support Australia's ability to reach its 2050 target.
"Peter Dutton doesn't have a target for 2030, let alone a plan for 2050."
