FOR THE NAGA REGION

EXECUTIVE SUMMARY 2009 The members of NAGA are the Cities of Banyule, Darebin, , Manningham, , Moreland, Whittlesea, Yarra, Nillumbik Shire Council and the Moreland Energy Foundation Limited (MEFL). approximately 25 per cent of the population of Melbourne LIVES IN THE NAGA REGION.

OVERVIEW Towards Zero Net Emissions for the NAGA Region (TZNE) outlines a new approach to regional cooperation to achieve significant reductions in greenhouse gas emissions across northern metropolitan Melbourne. This strategic blueprint outlines a comprehensive set of strategies and actions spanning key sectors in the region. By harnessing the combined capabilities of its members, and their connection with local communities, the TZNE plan demonstrates how members of the Northern Alliance for Greenhouse Action (NAGA) can effect greater change than any one member could achieve alone.

Since its inception in 2002 NAGA has been at the forefront of a regional approach to reduction of greenhouse gas emissions. NAGA began operating as an informal network to share information, coordinate community emission reduction activities and cooperate on the research and development of innovative corporate emissions projects. The members of NAGA are the Cities of Banyule, Darebin, Hume, Manningham, Melbourne, Moreland, Whittlesea, Yarra, Nillumbik Shire Council and the Moreland Energy Foundation Limited Figure 1. (MEFL). Approximately 25 per cent of the population of Melbourne lives in the NAGA NAGA Region and Recommended Region. The geographic extent of the NAGA region in relation to the greater Melbourne Urban Growth Boundary metropolitan area and the recommended urban growth boundary is provided in Figure 1.

Legend. CITY OF CICITY OF HUME WHWHITTLITTLEESSEEAA Urban Growth Boundary NAGA Members Area Highways / Main Roads SHSHIRIREE OF OF NILLLLUMBIKUMBIK

CITY OF MORELAND

CITY OF DAREBIN

CITY OF MELBOURNE

2 Towards Zero Net Emissions for the NAGA Region: Executive Summary 2009 The goal of NAGA is to achieve significant The focus of TZNE is based on the The identification of lead NAGA members greenhouse reduction by delivering effective 2005/2006 and projected 2020 emissions has been designed to build on the existing programs and leveraging council, community profile of each NAGA municipality and the approach to collaborate within the NAGA and business action. With continued growth region as a whole. This understanding of membership, provide a clear role for in the level of anthropogenic greenhouse the emissions profile has been overlaid with members and deliver benefits to all with gas emissions in both Victoria and Australia, an assessment of current best practice at the most efficient investment of funding there is general consensus around the need an international, national and regional level and time. A key benefit is the economies for NAGA to rapidly scale up its approach and tested through a series of industry of scale that can be achieved through and effort to reduce emissions and workshops. The resulting direction reflects scaling up action to enable regional delivery. transition to a low carbon future. an approach that is currently feasible, TZNE also provides an overview of relevant and central to the role of NAGA TZNE responds to this urgent need by the contribution the Federal and State as an agent of change. providing for the first time in Australia a governments can provide to achieving zero comprehensive and evidence-based regional TZNE provides a pathway for action with net emissions within the NAGA region. strategic direction for reducing greenhouse multiple strategies reflecting key emission Indicative costs and the NAGA governance gas emissions to 2020 and providing the sectors within the region. For each strategy structure have been considered. There is framework by which zero net emissions a series of sub-strategies are defined for an expectation that the strategy will require can be realised. Implementation of TZNE the initial three years and then outlined for updating in 3 years, given rapid changes in will provide a significant contribution to 2012-2015 and 2015-2020. Each sub- community expectations, technology, policy, driving emissions reduction within Australia, strategy specifies the pathway to reduction, administrative and governance approaches and will drive innovation and research in delivery mechanism, implementation steps, to mitigation. relation to technological, governance and potential barriers, modelled reduction in policy approaches to mitigation. As such it greenhouse gas emissions by 2020 and TZNE provides is expected to provide a template by which NAGA member or members proposed to regional action can be implemented, both lead its implementation over the initial three a pathway for within Victoria and across Australia. For year period. The final component of the action with multiple NAGA as an organisation, implementation mitigation approach details an approach strategies reflecting will create a new era of collaboration and to offsetting residual emissions. ensure it remains a leader in regional key emission sectors approaches to emissions reduction. within the region.

3 EMISSIONS PROFILE The NAGA region represents a diverse range of urban forms from inner city to rural fringe and this is reflected in the regional emissions profile, with no one sector dominating. The largest contributors to regional emissions are the industrial, commercial and residential sectors. Private vehicle use provides the fourth largest contribution to emissions within the NAGA region. Figure 2 illustrates the relative contribution of each sector to emissions across the region and the predicted change to 2020 under a business as usual scenario. Over this period there is expected to be a relative decline in the contribution to emissions from the manufacturing sector and an increase from the residential and commercial sectors, reflecting the changing nature of employment and continued population and residential growth within the NAGA region.

The total greenhouse gas emissions of the NAGA region for 2005/2006 were 21,051 kilotonnes of carbon dioxide equivalents (kt CO2-e) and this is projected to grow by 18.8 per cent to 25,012 kt CO2-e in 2020 without the implementation of TZNE. Growth in emissions is primarily attributed to the growth in the number of households and population predicted over the period from 2005/2006 to 2020.

The NAGA region represents a diverse range of urban forms from inner city, to residential and rural fringe and this is reflected in the regional emissions profile, with no one sector dominating.

kt CO2-e 7,000

6,000 Figure 2. NAGA region emissions profile 5,000 by sector (2005/2006 to 2020)

4,000

3,000

2,000

1,000

0 reigh t ste Wa st e Wa hang e Sector ransport Agricultural Rail F reight Road reight Road te r ste Wa Wa F blic T Pu st e Municipal Wa Land-use c ter (stationary) Wa Non-F ransport (stationary) Agriculture (stationary) Residential (stationary) Commercial (stationary) Construction (stationary) Manufacturing (stationary) Non-energy mining (stationary) Commercial and Industrial Services to T

Construction and Demolition 2005/2006 2020

4 Towards Zero Net Emissions for the NAGA Region: Executive Summary 2009 STRATEGY METHODOLOGY Industrial, The emissions profile for the NAGA region Each sub-strategy is described in terms commercial, provided a basis on which strategies of the rationale and supporting emission to mitigate emissions were developed. profile for its recommended initiative, the residential and Industrial, commercial, residential and mechanism for delivery, next measures to transport were transport were the sectors identified be undertaken and potential barriers to the sectors identified as generating the largest emissions implementation. A lead NAGA member contribution. A fifth strategy, decarbonising or members has been proposed to build as generating the the energy supply, was also identified to on existing expertise, achieve greater largest emissions reduce the carbon intensity of electricity benefit through distributing and sharing contribution. supply to all sectors. responsibility and ensuring accountability. The modelled emissions reduction for each Within each of these strategy areas, specific sub-strategy has also been determined. actions or sub-strategies were developed This contributes to an overall emissions through a two stage process. A paper reduction associated with implementation was produced highlighting international, of each strategy. national and local approaches to mitigating emissions within each sector, considering both technological as well as governance and administrative structures. The paper was then used to provide context to a series of NAGA and industry sector workshops to refine the sub-strategies. The workshop sessions considered the ease of implementation, potential emission reductions and applicability in terms of governance, geography, and regional and individual member emissions profiles.

5 SECTOR STRATEGIES

INDUSTRIAL STRATEGY Emissions from the industrial sector comprised 28 per cent of overall emissions and 38 per cent of all stationary energy emissions for the period 2005/2006, representing the largest source of emissions in the NAGA region. By 2020, annual industrial emissions are projected to rise by 6,150 kt CO2-e, representing 24 per cent of overall emissions. Modelling of the sub-strategies contained in the industrial strategy indicate that by 2020 these emissions can be reduced by 1,873 kt CO2-e through implementation of the strategy contained in Table 1. Table 1. Industrial Strategy

SUB-STRATEGIES PROPOSED LEAD NAGA MEMBER/S

Implementation of an industrial efficiency program and Hume

Implementation of an industrial ecology program for key industrial areas within Cities of Hume and Whittlesea the NAGA region

Development of a central services hub/s for electricity, waste and water for key MEFL and industrial areas

COMMERCIAL STRATEGY The commercial sector within NAGA represented 26.2 per cent of total emissions in 2005/2006 and by 2020 is expected to represent 27.5 per cent, or 6,877 kt CO2-e. Implementation of the sub-strategies contained within the commercial strategy as outlined in Table 2 is projected to decrease these emissions by 1,159 kt CO2-e per annum by 2020. Table 2. Commercial Strategy

SUB-STRATEGIES PROPOSED LEAD NAGA MEMBER/S

Existing commercial office buildings

Wholesale and retail, and health and education sectors efficiency program ƒƒ Wholesale and retail sector Cities of Hume and Yarra ƒƒ Health and education sector City of Melbourne

Information provision, training and advocacy of existing voluntary programs to wholesale MEFL and City of Yarra and retail sector

Health and education and large wholesale and retail cogeneration MEFL

6 Towards Zero Net Emissions for the NAGA Region: Executive Summary 2009 RESIDENTIAL STRATEGY Residential sector emissions in the NAGA region in 2005/2006 were 17.1 per cent of total emissions. Due to the projected increase in population within the NAGA region to 2020, the overall proportion of emissions from this sector is anticipated to increase to 19.5 per cent, or 4,893 kt CO2-e. The approach to mitigating emissions within the residential sector is provided in Table 3 and is modelled to provide an annual reduction of 1,317 kt CO2-e of emissions by 2020. Table 3. Residential Strategy

SUB-STRATEGIES PROPOSED LEAD NAGA MEMBER/S

Existing residential built form ƒƒ Expansion of existing programs for low-income segment MEFL and City of Moreland ƒƒ Homeowner energy efficiency program City of Manningham ƒƒ Establish program for efficiency upgrades to rentals through real-estates agents City of Yarra and landlords

Influencing future built form ƒƒ Individual residences Cities of Moreland and Whittlesea ƒƒ Estate guidance Cities of Moreland and Whittlesea

DECARBONISING ENERGY SUPPLY A significant portion of Victoria’s energy is supplied through brown coal, the most greenhouse gas intense form of energy generation. In addition up to 3.5% of energy is lost to the network through the generation of heat during transmission from remote locations and subsequent distribution to urban areas. While demand reduction and efficiency measures can reduce the need for energy, underlying pressures from population and subsequent increases in housing stock and commercial and industrial facilities will, to a degree, nullify the effect of these measures without a strategy that addresses the need to decarbonise the energy supply. Table 4 outlines the approach to decarbonising the energy supply within the NAGA region. When implemented, it is expected to contribute to a reduction of 1,579 kt CO2-e per annum by 2020. Table 4. Decarbonising Energy Supply

SUB-STRATEGIES PROPOSED LEAD NAGA MEMBER/S

Addressing institutional barriers to installation of low emission and renewable technologies City of Melbourne

Facilitation of low emission and renewable technologies: Cities of Melbourne, City of Yarra, ƒƒ within commercial, residential and industrial built form City of Darebin and Shire Nillumbik ƒƒ as stand alone generators

TRANSPORT STRATEGY The transport sector was calculated as comprising 20.9 per cent of emissions for the NAGA region, representing 4,420 kt CO2-e for 2005/2006 and increasing to 5,231 kt CO2-e by 2020. Within the transport sector, private vehicle use provides the largest contribution to emissions. Implementation of the sub-strategies contained in Table 5 is predicted to reduce annual emissions by 158 kt CO2-e by 2020. Table 5. Transport Strategy

SUB-STRATEGIES PROPOSED LEAD NAGA MEMBER/S

Transport advocacy Cities of Melbourne and Whittlesea

The development of a regional Cycling and Walking Strategy City of Manningham and Melbourne

Development of Community Transport Programs and Plans City of Darebin

Establishment of electric vehicle network Cities of Melbourne, Whittlesea and MEFL

7 EMISSIONS REDUCTION Each of the five mitigation strategies provides a contribution to emissions reduction and represents a balance between our current understanding of what can be practically achieved by 2020, the need for significant emissions reduction and the capability of NAGA members to progress mitigation actions.

Through the implementation of each strategy it is predicted that an annual emissions reduction of 6,086 kt CO2-e, or 24.3 per cent, can be achieved by 2020. The proportion of emissions reduction in comparison with a business-as-usual scenario is provided in Figure 3.

Through the implementation of each strategy it is predicted that an annual emissionS reduction of 6,086 kt CO2-e can be achieved by 2020.

Figure 3. NAGA region emissions profile (Business as Usual and TZNE scenarios) TZNE emissions reduction NAGA regional emissions

kt CO2-e 30,000

25,000

6086 20,000

15,000 21,051 18,926 10,000

5,000

0 Year 2005/2006 2020

8 Towards Zero Net Emissions for the NAGA Region: Executive Summary 2009 RESIDUAL EMISSIONS

FEDERAL, STATE AND Offset strategy multiple INDIVIDUAL COUNCIL The final element is to offset the residual contributions CONTRIBUTION emissions, whereby emission reductions TZNE represents a regional approach to are carried out by a third-party. Within the are required to greenhouse gas reduction. It demonstrates existing Federal Government policy context achieve significantly what can be achieved to move towards zero of a proposed Carbon Pollution Reduction greater reductions net emissions by 2020 through leadership, Scheme (CPRS), the strategy outlines the advocacy and driving innovation. A range three options for NAGA members to offset demanded by the of issues that will influence the future emissions, namely: climate science. emissions profile of the NAGA region, ƒƒ Purchase of international offsets including a reduction target under an ƒƒ Establishment of biosequestration emissions trading scheme, the density and ƒƒ Purchasing units from within the CPRS. energy efficiency of new development, and To finance the offset program it is proposed public transport provision, rest with other that NAGA establish an offset fund to assist levels of Government. They, in turn are member Councils and community members influenced by the demands and pressures to reach a zero net position. A centralised placed on them by business and the fund will reduce transaction costs and community. ensure the purchase of high quality offsets. To achieve zero net emissions there will The proportion of emissions to be offset will need to be alignment and concerted effort be dependent on the contribution of Federal in regards to policies and actions by the and State policies on emissions reduction. Federal and State Governments, individual Local Governments’ mitigation strategies and the contribution of businesses and individuals. These multiple contributions are required to achieve significantly greater reductions demanded by the climate science. TZNE represents a realistic step in the process.

9 Towards Zero Net Emissions for the NAGA Region is an initiative of the *Northern Alliance for Greenhouse Action, developed by Arup, in consultation with the NAGA membership. The project was funded under the Victorian Government’s Sustainability Fund through the Victorian Local Sustainability Accord.

Copies of the full version of the Towards Zero Net Emissions for the NAGA Region are available electronically on the Northern Alliance for Greenhouse Action website, www.naga.org.au

Printed on recycled paper made from 100% post consumer waste.

REGIONAL COLLABORATION TZNE presents a new approach to TZNE outlines the collaboration at a regional level. Based enabling role that on analysis of local and regional emissions profiles, it provides a comprehensive local governments pathway to achieve greenhouse gas can play in driving reductions in northern metropolitan change, made stronger Melbourne. TZNE outlines the enabling role that local governments can play in driving by combining efforts change, made stronger by combining efforts and leveraging their and leveraging their connection to local connection to local communities. communities. A summary of the applicability of each strategy and the supporting sub-strategies to each NAGA municipality is provided in Table 6. The full TZNE report (accessible from www.naga.org.au) provides detailed actions and timeframes for each of the strategic areas and defined sub-strategies and in doing so provides clear direction for NAGA members to 2020.

TZNE will guide a new era of collaborative action for NAGA and will provide a significant contribution to driving emissions reduction within Australia.

10 Towards Zero Net Emissions for the NAGA Region: Executive Summary 2009

PP PP PP PP PP PP PP PP PP PP PP PP PP PP Yarra PP PP PP PP PP PP PP PP PP PP PP PP PP PP Whittlesea – – – P P P P PP PP PP PP PP PP PP Nillumbik VERNMENT AREAS O PP PP PP PP PP PP PP PP PP PP PP PP PP PP Moreland CAL G CAL O N–L P P PP PP PP PP PP PP PP PP PP PP PP PP Melbourne

Largest Source Largest Source of Emissions L owest Source of Emissons – – – OUIOSE ACT PP PP PP PP PP PP PP PP PP PP PP Manningham R GREENH PP PP PP PP PP PP PP PP PP PP PP PP PP PP Hume I ANCE F O PP PP PP PP PP PP PP PP PP PP PP PP PP PP Darebin

High Application Potential Application Limited Application RTHERN ALL P P P P P P P PP PP PP PP PP PP PP O Banyule N PP P – NS IO (%) 7.5% 0.1% 0.2% 0.3% 0.0% 0.0% 6.3% 3.4% 1.9% 0.4% 0.0% 1.5% 2.7% 4.6% 0.2% 2.8% 0.6% 6.3% 5.3% 4.6% SS 24.3% I ER N P - e ) 2 – – 3 M BY 2020 M BY 71 O IOCT 32 55 95 42 678 158 U 849 383 468 688 U JECTEDEM 6,036 1,579 1,579 1,317 1,873 1,142 1,159 O kt C R ( RED ANN P

romotion of embedded renewables otal ransport T STRATEGY Community travel plan Electrical car network based on renewables Regional cycling and walking strategy P T advocacy Transport D ecarbonising E nergy Address institutional barriers to renewables Future built form Future R esidential Existing built form Wholesale & retail and education health Wholesale cogeneration retail scale large and education Health, Existing commercial office buildings efficiency program programs participation & retail existing Wholesale C ommercial Central services hubs I ndustrial ecology I ndustrial I ndustrial efficiency Table 6. Table Summary of strategy application across NAGA Local Government Areas

11 NAGA - NORTHERN ALLIANCE FOR GREENHOUSE ACTION c/- Moreland Energy Foundation Limited Level One 233 Sydney Road Brunswick

PO Box 276 Brunswick 3056 Telephone 03 9385 8504 Facsimile 03 9385 8586 www.naga.org.au

MEMBER ORGANISATIONS

SUPPORTING PARTNER Victorian Local Sustainability Accord