Robyn Briese

Presentation structure

Commonwealth Carbon Pollution Reduction Scheme (CPRS)

Other state/territory and federal measures

The CPRS and complementary measures

Issues for Copenhagen

Australia’s path to an ETS2004-2007 Various National Emissions Trading

Taskforce reports2006 Stern Review, changed level of

public and media interest2007 Prime Ministerial Task Group on

Emissions Trading2008 Garnaut Climate Change Review and

Commonwealth Green Paper2010 CPRS start up

Australia’s proposed CPRS – selected aspects

Covers all 6 Kyoto GHGs & emissions from stationary energy, transport, fugitive emissions, industrial processes, waste and forestry on an ‘opt-in’ basis

Majority of permits to be auctioned Transitional ‘price-cap’ for at least first 4

years At start up - no offsets without liability

Other climate change mitigation measures in Australia Baseline and credit ETS (NSW, ACT) Energy efficiency/low emissions and renewable energy targets Subsidies for the deployment of low emissions or renewable

energy and energy efficiency measures Mandatory performance standards Voluntary abatement schemes Information based interventions (mandatory labelling, provision of

best practice information, emissions awareness) Support for research and development (low emissions

technologies and energy efficiency) Emissions related conditions on development approvals Regulation of native vegetation clearing

Measures complementary to an ETS should:

Reduce the cost of emissions abatement by addressing non-price market failures

Be an interim/transitional measure implemented before the ‘carbon price’ is established

Ensure that the impact of the ETS is equitable

Assist in achieving other policy objectives Target non covered sectors of the economy

Issues for Copenhagen

Binding targets covering a significant proportion of GHG emissions necessary for stringent emissions cuts required

Complementary measures analysis can usefully inform multi-track approach

International system should avoid offsets without liabilities

Investment in renewables & energy efficiency is a win-win for developed & developing countries & can lower the cost of developing countries entering into binding agreements in the medium to long term

There are times in the history of humanity when fateful decisions are made. The decision this year and next on whether to enter a comprehensive global agreement for strong action on climate change is one of them…. If there is no such agreement, the outlook is an unhappy one. On a balance of probabilities, the failure of our generation would lead to consequences that would haunt humanity until the end of time.

(Garnaut Climate Change Review, 2008 at 591, 597)