The Department of Environment and Energy released a review into federal climate change policies in March 2017.
With the announcement of the 2030 emissions reduction targets, the review aims to ensure policies remain effective in achieving Australia’s 2030 target and Paris Agreement commitments.
The review focuses on the following:
- The opportunities and challenges of reducing emissions on a sector‑by‑sector basis;
- the impact of policies on jobs, investment, trade competitiveness, households and regional Australia;
- the integration of climate change and energy policy, including the impact of state‑based policies on achieving an effective national approach;
- the role and operation of the Emissions Reduction Fund and its Safeguard Mechanism;
- complementary policies, including the National Energy Productivity Plan;
- the role of research and development and innovation;
- the potential role of credible international units in meeting Australia’s emissions targets; and
- a potential long‑term emissions reduction goal post‑2030
SACOME strongly favours market mechanisms for the pricing of carbon.
Such policies, particularly where they apply to electricity generation, should be assessed against reliability and affordability of energy, and implications for system strength in the National Electricity Market.
SACOME members operate in trade exposed industries, competing in globalised markets, and global competitiveness is critical for these operations to remain economically viable.
Appropriate protections should be given to trade exposed industries, especially those that compete with companies from jurisdictions without similar emission reduction policy arrangements.
Read the full submission here.