Oct 31, 2008 - 12:33pm
Business voices calling for soft starts on emissions trading are
recklessly misrepresenting Treasury modelling and putting self interest
above the national interest, the Climate Institute said today.
Climate Change Minister confirmed on ABC’s Lateline last night that the
Government is still considering all reduction scenarios up to 25 per
cent off 1990 levels by 2020 – all of which come with strong economic
and income growth,” said Climate Institute CEO John Connor
voices who point to percentage reductions in industry growth from
business as usual are wilfully and recklessly ignoring the reality of
what the Treasury modelling indicates.
“It seems business groups
such as the Minerals Council and AIG are prioritising short-term profits
over long-term sustainability.”
Unless decisive action is taken
Australia faces severe climate change impacts from increasing droughts,
water shortages and the loss of natural systems such as the Great
Barrier Reef which support the jobs of tens of thousands of Australians.
decisive action, we can also take advantage of the currently booming
global clean energy market and create new industries and jobs for the
long-term benefit of Australia,” Mr Connor said.
“There is only a
whisker of difference between the ongoing economic growth in all
Treasury scenarios, but only the 25% reduction target has a whisker of
international and scientific credibility – and a whisker of a chance of
saving our reefs, water quality and farm productivity in the Murray
Analysis by the Climate Institute of Treasury
Modelling shows that key sectors maintain strong economic growth if
targets are set to reduce Australia’s pollution by credible levels of at
least 25 per cent off 2000 levels (which because of land clearing
reductions were very close to 1990 levels) by 2020 and 90 percent by
2050. (see download below)
The analysis shows that:
- Non hydro renewable energy sector would grow by around 30-fold by 2050
- Forestry would increase by nearly 23-fold by 2050
- Iron Ore mining and agriculture would triple in output by 2050
- Even industries such as coal mining continue to expand
“Many businesses have been delaying action on climate change for decades, which means there is no time left for a soft start.
time business stopped recklessly distorting economic analysis and we
got on with the job of growing a low carbon economy starting with a
reduction of at least 25 per cent off 1990 levels by 2020,” concluded Mr