Australia is intensifying its efforts to cut greenhouse gas emissions as part of a global push to combat climate change. Reducing emissions is essential to achieving a low-carbon future and meeting international commitments under the Paris Agreement, including a target of 43% emissions reduction by 2030 based on 2005 levels. Here, we examine the key strategies driving emissions reductions and their impact on the nation’s energy landscape.
New Technologies
Innovation is playing a crucial role in helping Australia lower its carbon footprint.
Energy efficiency is a key factor. Upgrading infrastructure, retrofitting buildings, and adopting energy-efficient practices in both residential and commercial sectors can significantly reduce emissions while lowering energy costs.
Another promising area is the rise of green hydrogen. Produced using renewable energy sources, green hydrogen has the potential to replace fossil fuels in various sectors, including heavy transport and industrial processes. Projects like the Hydrogen Energy Supply Chain (HESC) are already underway, positioning Australia as a future leader in hydrogen exports.
Additionally, pumped hydropower is gaining traction as a reliable energy storage solution. By storing excess renewable energy in the form of potential energy, these systems can release power during peak demand periods. It helps to stabilise the grid and complement variable renewable sources like wind and solar.
Policy and Regulation: Setting the Framework for Success
Government policies are pivotal in driving emissions reductions. Australia’s Safeguard Mechanism is one such policy that requires large industrial emitters to keep their emissions below a baseline level. Recent reforms aim to tighten these baselines further and ensure industries contribute effectively to national emissions reduction targets.
The Clean Energy Regulator oversees programs such as the Australian Carbon Credit Unit (ACCU) Scheme, which incentivises businesses to adopt practices that reduce emissions through initiatives like reforestation, soil carbon sequestration, and methane capture from waste. However, the effectiveness of the ACCU Scheme has been questioned due to its reliance on voluntary participation and concerns about the actual impact of funded projects.
At the state level, initiatives like Victoria’s climate action targets and New South Wales’ Net Zero Plan are further accelerating the transition to a low-carbon economy. These policies provide incentives for renewable energy adoption and promote sustainable practices across industries, though their ambition and implementation effectiveness can vary significantly between states.
Looking ahead, emissions reductions will require a combination of technological innovation, policy support, and community engagement. As Australia continues to decarbonise our energy sector, there will be a growing need for skilled workers to support this transition.
Jobs in renewable energy, energy efficiency, and sustainable infrastructure are expected to rise. However, it is essential to recognise that there may be transitional challenges for workers in fossil fuel industries. Reskilling programs will be crucial in supporting these workers during this transition.
