Energy sector says Australia must act on climate change
05 Dec 2006
A landmark report into energy and climate change from Australia's leading energy and transport stakeholders released today removes the last barrier to a carbon price signal in Australia, says WWF, the global conservation organisation.
The report - The Heat is On: The Future of Energy In Australia - recognises that managing climate change is the biggest challenge facing the energy sector and the sector is best served by providing investor confidence through decisive policy action.
The report was two years in the making and is the result of a coalition of Australia's leading energy and transport stakeholders - including Rio Tinto, BHP Billiton, Xstrata Coal, Westpac Banking Corporation, Alcoa World Alumina Australia, Woodside Energy and the Australian Automobile Association.
"There is now clear consensus on the need to move forward on climate change. But the report warns that delaying action leads to uncertainty for investors in energy, and this could lead to higher prices or disrupted supply," said Greg Bourne, WWF-Australia CEO.
The report features modelling by CSIRO and ABARE that reveals Australia can make deep cuts to its greenhouse gas emissions in concert with the international community with little impact on the economy.
Contrary to popular belief, the report shows that overall household energy will be more affordable in 2050 than it is today.
The report also features new CSIRO research that accords with the findings of a recent report by former World Bank economist Sir Nicholas Stern that the economic benefits of avoiding climate change outweigh the global costs to GDP of managing those risks.
"This report effectively removes the last remaining obstacles for meaningful action on climate change and gives the green light to Federal and State governments to act decisively to establish a carbon price signal and to legislate the pathway for deep cuts in greenhouse gas emissions," said Mr Bourne.
"One of the key tests for the next Australian government will be how well it deals with the threat of climate change and how effectively it can implement a fully operational carbon price signal, as well as investment in new technologies, mandated energy efficiency and renewable energy targets," he said.
"Australia's energy future clearly relies on these measures being in place by 2010, the absence of which creates a very uncertain investment environment and will result in higher electricity prices and an unreliable supply."
Find out more
Charlie Stevens, Press Officer, WWF-Australia
Phone: 02 8202 1274
Mobile: 0424 649 689
Email: cstevens@wwf.org.au
