Carbon Price Response: A Small Step Forward, But Hard Yards Remain

Climate and energy security think tank Beyond Zero Emissions welcome the Labor government’s carbon price package negotiated with The Greens and lower house independents Rob Oakeshott and Tony Windsor. The proposed legislation will start the process of transitioning Australia from a 19th Century fossil fuel economy to a 21st Century renewable-powered cleantech economy.

Beyond Zero Emissions Executive Director Matthew Wright said the government’s decision to plan for a 100 percent electricity sector is an important step toward Australia’s zero-carbon future:

“The government has accepted the challenge layed down by Beyond Zero Emissions less than 12 months ago with the release of our Zero Carbon Australia Stationary Energy Plan, which is still Australia’s only feasibility study for a renewable energy powered economy. Tasking the Australian Energy Market Operator with planning for a 100 percent renewable energy sector will encourage a rigorous public debate about the best mix of renewables to achieving that goal.”

While the carbon price package is a step forward, hard yards remain. Matthew Wright said:

“The proposed ‘clean energy future’ legislation reflects the politics of climate change but not the science. The world’s carbon emissions are continuing to grow rapidly, so it’s important for the government to strengthen its initial climate change offering where possible.”

Beyond Zero Emissions has identified key areas where the Gillard government, The Greens and independents can strengthen Australia’s ‘clean energy future’ legislation:

1. Ensure that the 2000 MWe worth of retired coal electricity generation is replaced with 100 percent renewable energy sources—wind, rooftop solar, and baseload solar thermal.
2. Amend the Clean Energy Finance Corporation’s mandate to prohibit scarce investment dollars flowing to hybrid gas/solar developments (which are unnecessary and polluting) and rule out ‘bolt-on’ renewable technologies onto existing fossil fuel plants.
3. Commit to sector- and technology- specific renewable energy and energy efficiency targets (as is the norm in Europe and China).

Matthew Wright said:

“To avoid dangerous climate change Australia should be moving to a 100 percent renewable energy economy as fast as possible. Australia should be setting the pace along with our European peers, but unfortunately the nation still lacks a coherent renewable energy and energy efficiency policy. By adopting the improvement measures identified by Beyond Zero Emissions, the government can improve the environmental effectiveness of its initial climate policy.”

The Gillard government can secure its climate change credibility by: 

1. Committing to implement a national Feed-in Tariff for renewable energy as the next step in climate legislation.
2. Develop and fund high-speed rail between Australian capital cities.
3. Spearhead the delivery of efficient metro systems in all major Australian cities.
4. Legislating the phase out of climate-change causing refrigerants R134a and R410a (which can be replaced by clean R744).