Western Australian Greenhouse Strategy

Western Australian Greenhouse Strategy

www.greenhouse.wa.gov.au

Rosh IrelandDirectorEnvironmental Policy DPC

UNITED NATIONS FRAMEWORK CONVENTION ON CLIMATE CHANGE (UNFCCC)

ARTICLE 2 OBJECTIVE

The ultimate objective of this Convention and any related legal instruments that the Conference of the Parties may adopt is to achieve, in accordance with

the relevant provisions of the Convention, stabilization of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system. Such a level should be

achieved within a time-frame sufficient to allow ecosystems to adapt naturally to climate change, to ensure that food production is not threatened and to

enable economic development to proceed in a sustainable manner.

Greenhouse Task Force

Policy Position on Kyoto Protocol

The State Government: Supports ratifying the Kyoto Protocol Recognises weaknesses and limitations of

the Kyoto Protocol, yet believes Australia must be part of international action to reduce climate change

We have not faced an issue like climate change before

We have strong protective institutions in place for familiar large scale threats – wars, epidemics,

natural disasters

We have no equivalent to respond to climate change

We need to build capacity to assess, mitigate and adapt.

PROPOSITIONS

1. THERE IS SOLID WORLDWIDE SCIENTIFIC AGREEMENT THAT GREENHOUSE GAS EMISSIONS ARE DRIVING ACCELERATING CLIMATE CHANGE

2. CHANGES IN TEMPERATURE AND RAINFALL ARE ALREADY EVIDENT IN WESTERN AUSTRALIA AND ARE EXPECTED TO BECOME WORSE

3. THE RISK OF SEVERE IMPACTS IS SUFFICIENT TO JUSTIFY STRONGER ACTION TO REDUCE EMISSIONS AND TO ADAPT

4. THE COSTS AND RISKS ASSOCIATED WITH GRADUAL TRANSITION TO A LOW CARBON ECONOMY ARE LESS THAN THE COSTS AND RISKS OF NOT MAKING THE TRANSITION

5. THE LOWEST COSTS AND GREATEST OPPORTUNITIES CAN BE REALISED BY ACTING NOW

What targets?•2 degrees maximum average warming

(European Union and many scientists)

• several countries (eg France, UK) have adopted targets to cut by 50% or more

•EU aims to raise renewable energy to 12% by 2010 and reduce energy consumption by 20% by 2020.

California: Governor's Executive Order

•By 2010 emissions will be reduced to 2000 levels, or by 11%

•By 2020, emissions will be reduced to 1990 levels, or by 25%

•By 2050, emissions will be reduced to 80% below current levels

Australian Chief Scientist, Dr Robin Batterham:

“80% by the end of the century. 50% by 2050, I think is realistic”

Australian Climate Group

“60% by 2050”

Premier of NSW 60% by 2050

City of Melbourne Zero net emissions by 2020

How solid is science basis of targets?

“BUSINESS AS USUAL” SCENARIO TO 2100

•World population increases from 6.1 billion in 2000 to 9.8 billion in 2050, stabilizing by 2100 at about 11 billion.

•Economic growth averages 2.8% per year from 2000 to 2020 and 2.5% per year over the whole century, in real terms. World economic product grows from ~$45 trillion in 2000 to ~$180 trillion in 2050 and ~$500 trillion in 2100.

•Energy intensity of economic activity falls at the historical rate of 1%/yr. Energy use increases about 2.5 fold by 2050 and quadruples by 2100.

•Carbon intensity of energy supply falls at 0.2%/yr. Carbon emissions from fossil-fuel burning go from just over 6 billion tonnes/yr in 2000 to some 20 billion tonnes/yr in 2100

GDP per capita increases in the developed world at over 2% per annum

World Electricity Generation

Source IEA 2000

TWh

0

5000

10000

15000

20000

25000

30000

1971 1997 2010 2020

Renew.

Hydro

Nuclear

Gas

Oil

Coal

TWH IEA 2000


WA’s Emissions Profile

Western Australia’s emissions: are about the highest in the world on a per

capita basis increased by 2.8% per year (1990-2002) are projected to rise 39% from 57.2 MT (1990)

to 82 MT (2008)

Growth has been masked by one off land clearing savings

There are huge opportunities to save money and reduce emissions

‘50-75% of annual resource inputs to industrial economies are returned to the environment as wastes within a year.’

US EPA

A US Energy Policy Coalition reported that US energy consumers could save $22 billion by 2030 if recommendations for higher efficiency in just three sectors were adopted (residential furnaces and boilers, commercial air conditioning and transformers).


GREENHOUSE POLICY ELEMENTS

– Greenhouse Unit established

– Western Australian Greenhouse Strategy launched September 2004

– Plan for Renewable Energy

– renewable energy for desalination plant

– solar hot water and LPG vehicle subsidies

– Perth to Mandurah railway

– Carbon Rights Act


Abatement - Government Leadership

Government is committed to 12% reduction in its own stationary energy use over 5 years

Agencies to report their energy consumption, energy costs, GHG emissions.

Government to purchase 5% renewable electricity by 2006-07

reducing emissions from vehicle fleets and introducing an offset scheme for vehicle emissions

energy efficient new Government homes


Wider Abatement

Major emitters to report to WA Greenhouse Gas Inventory annually, and prepare strategies to minimise anticipated emissions

Development of Greenhouse Registry and Greenhouse Abatement Fund

Support development of national and international trading markets

EPA assessment of projects with significant greenhouse emissions


Process

Greenhouse Interdepartmental Committee– Sub group on carbon rights and offsets– Sub group on adaptation (cooperative project with

AGO) High level stakeholders group Public Seminars http://www.greenhouse.wa.gov.au/ Report on first year of the strategy in prep


PLAN FOR RENEWABLE ENERGY

a renewable energy target of 6 per cent by 2010 for the South West Interconnected System

powering the desalinisation plant with renewable energy

implementing a solar schools program, involving installation of solar power systems for up to 100 schools

up to $2.5 million for Kalgoorlie-Boulder Sun Farm project

$6 million subsidy for new renewable energy projects

support for the Research Institute for Sustainable Energy (RISE)

SEDO grants and information programs

Source: Working for the Environment, Worldwatch Institute, Working Paper 152, September 2000.

GenerationSource

GenerationMarket Share

JobsSupported

Jobs per 1%Market Share

Wind 1.2% 15,000 12,500 Nuclear 33% 38,000 1,152 Coal 26% 80,000 3,077

Germany, Electricity Market Share, 1998

Employment & Energy Supply:Renewables Favor Environment AND Jobs


GREENHOUSE AND ENERGY TASKFORCE

• Dr Roy Green will chair a new Taskforce to advise the Government on practical and economically feasible ways to manage greenhouse gas emissions from the stationary energy sector.

• Develop proposals for energy conservation initiatives similar to the water conservation measures developed through the State Water Strategy

• Develop policy proposals on greenhouse offsets that will provide clear ground rules

• the Chief Scientist to co-ordinate a far-sighted energy technology innovation strategy, in partnership with the energy industry and energy

technology researchers

ENABLING A LOW-CARBON FUTURE SHOULD BE A STRATEGIC BUSINESS OBJECTIVE (UK Corporate Leaders Group)

SCIENCE IS SUFFICIENTLY COMPELLING TO WARRANT ACTION. WE URGE GOVERNMENTS TO:

•MOVE EXPEDITIOUSLY TO ADOPT CLIMATE STABILISATION TARGETS THAT WILL DEFINE THE SCOPE AND SCALE OF MITIGATION NEEDED IN THE YEARS AHEAD.

•ESTABLISH A LONG TERM MARKET-BASED POLICY FRAMEWORK EXTENDING TO 2030.

•DEFINE GREENHOUSE GAS EMISSION RIGHTS THROUGH A CAP AND TRADE SYSTEM.

(World Economic Forum June 2005)

USE OF ECONOMIC INSTRUMENTS PROVIDES THE MOST COST EFFECTIVE ROUTE (Royal Society)


Interjurisdictional Emissions Trading Working Group

All jurisdictions except the Commonwealth

Premiers and Chief Ministers’ communique March 05

Next report to Premiers due end 2005

Wide consultation when ideas sufficiently developed


as the basis for further investigation and analysis of the model for a national emissions trading scheme

A cap and trade approach be used as the basis for scheme design;

The scheme be national and sector based;

In setting the cap, consideration be given to the overall national emissions abatement target, and how the abatement responsibility is allocated between sectors covered by the scheme and those outside the scheme;

The scheme initially cover the stationary energy sector (including electricity, gas and coal);

KEY DESIGN ELEMENTS


The scheme cover all six greenhouse gases under the Kyoto Protocol;

Permit allocation be made on the basis of a mix of administratively allocated and auctioned permits, with both long and short term (annual) permits;

A penalty should be set to encourage compliance and to establish a price ceiling for the permit market;

Offsets be allowed;

Mechanisms be included to address any adverse effects and structural adjustments; and

Mechanisms be included to allow a transition for participants who have taken early abatement action and new entrants.

KEY DESIGN ELEMENTS II


COAG Climate Change Policy Working Group

Charged to examine the scope for national cooperation on climate change policy, focussing on areas of

common ground between jurisdictions where practical progress can be made.

This would include consideration of the scope to improve investment certainty for business, encourage

renewable energy (including ethanol) and enhance cooperation in areas such as technology development,

energy efficiency and adaptation

“Achieving sustainability does not meaning slowing down our economy. It means speeding it up, and directing its energy toward the redesign and redevelopment of the systems that are the cause of our dilemma”.

Alan AtKisson, Believing Cassandra (1999) p204

Greenhouse Task Forcewww.greenhouse.wa.gov.au

Western Australian Greenhouse Strategy

www.greenhouse.wa.gov.au

"If we move now we can seize new business and employment

opportunities in the emerging global economy that is growing in

response to climate change.“ Tony Coleman – Chief Risk Officer

Insurance Group Australia

Western Australian Greenhouse Strategy

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Transcript of Western Australian Greenhouse Strategy