CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy 20 November 2020 Introduction I am an Australian who wants Government to better protect my family and community from the impacts of climate change. Following the bushfire crisis earlier this year, which brought weeks of choking smoke to my home city and worse across many parts of , it was plain to see that local communities are now being directly impacted by the national climate crisis. Using laws to limit emissions to the atmosphere and so preserve human and environmental health is nothing new for Australia. The noxious emissions from the engines that power our cars, trucks and buses have been limited by law for many years. International regulatory action to limit emissions to the atmosphere has also been done before. The 1987 Montreal Protocol on Substances that Deplete the Ozone Layer was one of the first treaties to deal with a global environmental challenge. Its widespread adoption, including by Australia, is a shining example of international cooperation to limit some commonplace materials such as refrigerants and fire-fighting products. Before then, they were damaging the ozone layer when released into the atmosphere, putting human and environmental health at great risk. The control of greenhouse gases such as carbon dioxide, now known to be changing the climate and impacting human and environmental health for the worse, is much more complex, but the principle is the same. When the globally agreed science warns us that we need to take strong action, national governments must step up and work with each other to fully solve the problem. Unfortunately the issue has seemingly slipped from the world’s grasp over the last thirty years so that it is now a climate crisis, while Australia’s response has earned us a reputation as a climate change laggardi. It is time we stepped up and the Climate Change Bill offers us close to our last chance to get it right. The Climate Change Bill The Climate Change (National Framework for Adaptation and Mitigation) Bill 2020 (the CCB), as proposed by Ms Zali Steggall OAM, MP for Warringah, is the key to Australia properly dealing with climate change. The CCB will guarantee that the globally agreed science on the need to limit greenhouse gases will be followed in Australia. Legislating for net zero carbon emissions by 2050 will give confidence to Australian families and communities that we are finally tackling the climate crisis and are in line with the best of international actions. The CCB will bring the accountability that is currently missing to Government actions on climate change, while providing the certainty and opportunities that the business sector demands for Australia to become a renewable energy superpower. It will be technologically agnostic, yet able to accommodate the Government’s Technology Investment Roadmap. Overall, the CCB will enable Australia to make an immediate, positive and nationally supported response to the risks, challenges and opportunities of climate changeii. CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy My submission is to the following aspects of the CCB: Objectives and long-term emissions reduction commitment of Net Zero by 2050 (Key Points 1-3) and why legislating with regular budgets and an independent climate change commission is important (Key Points 4-5) Key Points 1. Science has set a deadline for the world of net zero carbon emissions by 2050, in order to limit the worst impacts of climate change. It is no longer an option. 2. Australia must commit to net zero carbon emissions by 2050 to be a credible part of the global task of reducing emissions. 3. Australia is well positioned to benefit from net zero carbon emissions by 2050 4. Legislative action in Australia is needed to give clarity and confidence to Australian families and communities that we are finally tackling the climate crisis. Legislative action is also needed to give certainty to business so that it can plan its transition to net zero emissions. 5. The Climate Change Bill is the best legislative framework as its design has been proven in other similar countries

2 CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy Discussion 1. Science has set a deadline for the world of net zero carbon emissions by 2050, in order to limit the worst impacts of climate change. It is no longer an option. The global target of net zero carbon emissions by 2050 is now being called for by international experts, as the minimum needed to hold the global average temperature rise near to 1.5 degrees Celsiusiii. This is consistent with the goal of the Paris Agreement as ratified by the Australian Government in 2016, in order to limit the worst impacts of climate change. Global climate science tells us that there is no longer the option for the world to continue emitting net carbon past 2050. The recent bushfires in Australia, increased extreme weather events both here and overseas along with the gradual decline and death of the Great Barrier Reef, has shown us with our own eyes what will increasingly happen (and which will soon become irreversible) if the Government continues to downplay the science (which has forecasted just such events). The latest report from the Bureau of Meteorology shows Australia’s temperature rise is now up to 1.44 degrees Celsiusiv, proving that Australia is one of the most vulnerable countries to climate change. The damage to the economy and community from the recent bushfire event alone, with the Bushfire Royal Commission identifying climate change as a leading causev, was estimated at over $4 billionvi. A new report from Deloitte Access Economics is now reporting that the Australian economy will lose more than $3 trillion over the next 50 years if climate change isn't addressedvii. 2. Australia must commit to net zero carbon emissions by 2050 to be a credible part of the global task of reducing emissions Australia is among a number of countries that each contributes between 1-5 per cent of global emissions, collectively adding to about 40 per cent of global emissions. If fossil fuel exports are included, Australia reaches around 5 per cent of global emissionsviii. This is similar to Russia, the world’s fifth biggest emitter. If all of Australia’s coal resources were developed and burnt, this alone would take the world two-thirds of the way towards a 2 degrees Celsius rise in global temperatureix. So Australia can make a real difference to the global task of reducing emissions through both its own actions and its influence on other governments around the world. Many countries have legislation and/or policies in place for net zero carbon emissions by 2050. Importantly, these now include most of our top trading partners China, Japan, Republic of Korea, New Zealand and the United Kingdom (although China has announced net zero for 2060 rather than 2050)x, with the European Union considering a carbon border taxxi. The United States (US) has

3 CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy been considering a similar proposal within its congress and this will only gather pace under a new administration next yearxii. Even under the current administration in the US, fossil fuel companies such as ExxonMobil recently argued that it is up to governments to set targets that industry can then work toxiii. Australia has no choice but to work within this new global energy market or it will quickly become an outlierxiv. The current Australian commitment under the Paris Agreement of 26-28 per cent reductions on 2005 levels by 2030 (it is not clear whether this applies equally to all energy sectorsix) is considered weak by many, including the Government’s own Climate Change Authority (CCA)xv and other independent analystsxvi. Further, it is not aimed at achieving net zero carbon emissions by 2050 and does not indicate when we will get to net zero carbon emissions. The Government says that Australia may or may not get to net zero carbon emissions by 2050xvii. The Hon Angus Taylor MP, Minister for Energy and Emissions Reduction has stated that “we’d love to be able to achieve net zero by 2050, but ultimately that will depend on the pathways of technology to deliver that without damaging the economy”xviii. Nationally, a Government commitment to net zero carbon emissions by 2050 is not quite there yet. However, all States and Territories within Australia have legislation and/or policies in place for net zero carbon emissions by 2050. There is growing support for this. Late last year a coalition of groups including the Business Council of Australia, the Australian Industry Group, the National Farmers Federation and the Australian Energy Council issued a statement saying the country should adopt policies that put it on a path to net zero national emissions.xix Other major companies are seeking clear goals to reduce emissionsxx, while some organisations such as the Australian Greens and Greenpeace advocate for an even faster transition - net zero by 2040xxi,xxii. Nationally, a policy goal of net zero carbon emissions by 2050 would provide confidence to everyday Australians that we are finally tackling the climate crisis and it would provide increased certainty and opportunities for business to plan for the future. It would also put Australia in a credible position to push for further action by all countries under the Paris Agreement. 3. Australia is well positioned to benefit from net zero carbon emissions by 2050 As we come out of the COVID-19 pandemic, Australia is in a unique position to reset its economy by becoming a world leader in renewable energy, creating thousands of new jobs. In his book Super-power, Australia's low-carbon opportunityxxiii, Ross Garnaut (former Government advisor on climate change) demonstrates how Australia is well placed to take advantage of its natural access to large amounts of renewable energy to do this. The International Renewable

4 CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy Energy Agency reports that Australia is a potential world leader with solar and wind energy 75 per cent greater than its combined coal, gas, oil and uranium resourcesxxiv. There are many practical examples of opportunities available and so they are not listed here. A number were identified by the economic consultancy Ernst and Young. It concluded that a renewables-led economic recovery would create almost three times as many jobs as a fossil-fuel-led recoveryxxv. Similarly, the new report by Deloitte Access Economics mentioned earlier found that if Australia gets to net zero carbon emissions by 2050 and warming stays below 1.5 degrees, there is almost $700 billion to be gained along with 250,000 jobs. 4. Legislative action in Australia is needed to give clarity and confidence to Australian families and communities that we are finally tackling the climate crisis. Legislative action is also needed to give certainty to business so that it can plan its transition to net zero emissions. Since establishing the United Nations Framework Convention on Climate Change (UNFCCC) in 1992, the world has had around thirty years to rein in its growing emissions. It has had limited success. Following the adoption of the UN Paris Agreement in 2015, there has been an increased sense of urgency as the net zero deadline of 2050 fast approaches. The UN has warned that current commitments under the Agreement must be increased by fivefold to get therexxvi. Given the urgency and the ease with which national targets can be frustrated by domestic political pressures, countries have increasingly turned to legislation rather than voluntary mechanismsxxvii. Within Australia, a legislated mechanism, the national carbon price scheme, was in place and working well from 2012. However, it was then repealed in 2014 by the then new Government. At the same time the Climate Commission, which had been established to provide public information on the effects of and potential solutions to global warming, was abolished. There was also an (ultimately) unsuccessful move to dismantle the CCA, which had been set up to de-politicise the process of setting greenhouse emission reduction targets in the first place. The carbon price scheme was replaced by the Direct Action Plan, a voluntary mechanism. However, this has been unable to compel enough action by the market and so emissions reductions then stalled and dramatically reversed coursexxviii Further, as the reporting and review of progress lost its independence, it devolved into what it is today, casual assurances by the Government that we are “meeting and beating” our intermediate targets, and claims that it is not possible to assess the benefits or costs of possible long-term targets. However, many experts argue that we are not in fact “meeting and beating” even our (weak) targetsxxix and while the Government has resisted any move to

5 CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy properly identify benefits and costs (In the lead up to the Paris Agreement and setting of its targets, the Government’s UNFCCC Taskforce gave only a token acknowledgement of the catastrophic costs of climate change if sufficient action was not takenxxx), various non-government bodies have been quite capable of evaluating the benefits and costs of action plans against the costs of not taking enough action. In the meantime, other countries have managed to commit to long-term targets and introduce related legislation. It is also meaningless to assert that under the voluntary Direct Action Plan, emissions are (slightly) less than when the then new Government first came into power. Like other countries, Australia has a cumulative carbon emissions budget if the world is to stay within or near to the 1.5 degrees Celsius temperature rise limit and it must track to net zero emissions by 2050. In other words, there is only a set amount of net emissions that can be allowed to escape into the atmosphere before 2050. Because of our historically weak targets, our yearly amount of emissions must now decline to zero at a much steeper rate to what we are currently meeting. It has been reported that if Australia’s emissions continue at current rates we have barely 10 years remaining of our carbon emissions budget and will completely exhaust it before 2030ix. Only legislation, which includes a regular, independent and transparent review period, can now make sure we meet what is an immovable emissions deadline and carbon emissions budget associated with the climate crisis. Only legislation can keep us immune from short term political pressures and ensure that we have honest accountability across future governments of all persuasions. Only legislation can provide the long-term market signals that give certainty to business to plan its transition to net zero emissions and to determine the viability of transitional fuels so as to avoid stranded assets. For example, gas industry representatives currently speculate that gas could be used well into the 2040s, 50s and 60sxxxi. This would make it very difficult to redefine gas as a transitional fuel anytime in the future. Finally, moving from voluntary mechanisms to legislation is in line with international trends. It will increase the credibility of the Government that for now has a reputation as a climate change laggard and enable it to join other like- minded countries to continue to push for further action under the Paris Agreement.

6 CLIMATE CHANGE BILL Submission to the House Standing Committee on the Environment and Energy 5. The Climate Change Bill (CCB) is the best legislative framework as its design has been proven in other similar countries The CCB Framework contains all the elements needed for a successful response to the climate crisis. It sets a target for transition to net zero emissions, requires a periodic determination of the risks and setting of adaptation plans for the different areas of Australia (including management of the changes in technology that will be needed over time) and places a responsibility on the Government to regularly report to the Australian Parliament on progress. Importantly, it establishes an independent advisory Climate Change Commission (the Commission). The Commission will manage and assess progress independently of and impartially to the Government of the day. This would rectify a major failing of the current arrangements whereby the existing CCA is limited in its functions and only able to review policy by referral from the Minister. This lack of authority and transparency of Government policy is why ordinary Australians are forced to accept on face value the (contested) claims that we are “meeting and beating” our targets – and may also not be aware that our current targets will not contain climate change as required by the global science, given that they are too weak by a factor of about five. In such an environment it is all the more important that the Commission be established in legislation, to make sure that Australians, through the Parliament, are provided with independent advice on a regular basis. The CCB follows the global science and trends. It is based on the successful United Kingdom (UK) Climate Change Act (2008), which in turn has been proven to have worked in other countries as well, such as France and Ireland. The UK Act was used a basis for legislation in New Zealand, so it is ideal to also be adapted for Australia. The CCB is technology agnostic, which will allow the market to be the key determinant of how, technologically, we get there, yet flexible enough to incorporate the Government’s Technology Investment Roadmap. For now, the Roadmap suffers from a lack of an overall emissions reduction target or explanation of how it will contribute to our 2030 targets. The CCB will also allow for ongoing negotiations under the Paris Agreement. As in other countries, the CCB will ensure that Australia reduces emissions, helps us adapt to climate impacts, and advance the climate change debate by taking the politics out of itxxxii.

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i Germanwatch. 2020. Climate Change Performance Index. [ONLINE]. Available at: https://www.climate- change-performance-index.org/ [Accessed 20 November 2020]. ii Zali Steggall OAM MP. 2020. Parliament Updates. Zali Steggall MP introduces the Climate Change Bill into Parliament, seconded by MP. [ONLINE]. Available at: https://www.zalisteggall.com.au/zali_steggall_mp_introduces_the_climate_change_bill_into_parliament_seco nded_by_rebekha_sharkie_mp [Accessed 10 November 2020]. iii IPCC, 2018: Summary for Policymakers. In: Global Warming of 1.5°C. An IPCC Special Report on the impacts of global warming of 1.5°C above pre-industrial levels and related global greenhouse gas emission pathways, in the context of strengthening the global response to the threat of climate change, sustainable development, and efforts to eradicate poverty [Masson-Delmotte, V., P. Zhai, H.-O. Pörtner, D. Roberts, J. Skea, P.R. Shukla, A. Pirani, W. Moufouma-Okia, C. Péan, R. Pidcock, S. Connors, J.B.R. Matthews, Y. Chen, X. Zhou, M.I. Gomis, E. Lonnoy, T. Maycock, M. Tignor, and T. Waterfield (eds.)]. World Meteorological Organization, Geneva, Switzerland, 32 pp. Available at: https://www.ipcc.ch/sr15/chapter/spm/. iv Bureau of Meteorology. 2020. State of the Climate 2020. Retrieved from http://www.bom.gov.au/state-of- the-climate/ v The ABC. 2020. Bushfire royal commission's final report issues warning to Australia over climate change. [ONLINE]. Available at: https://www.abc.net.au/news/2020-10-31/bushfire-royal-commission-final-report-a- stark-warning/12835096 . [Accessed 31 October 2020]. vi The Guardian. 2020. Australia's summer bushfire smoke killed 445 and put thousands in hospital, inquiry hears. [ONLINE]. Available at: https://www.theguardian.com/australia-news/2020/may/26/australias- summer-bushfire-smoke-killed-445-and-put-thousands-in-hospital-inquiry-hears. [Accessed 30 May 2020]. vii The ABC. 2020. Australia will lose more than $3 trillion and 880,000 jobs over 50 years if climate change is not addressed, Deloitte says. [ONLINE]. Available at: https://www.abc.net.au/news/2020-11-02/australian- economy-lose-$3-trillion-climate-change-inaction/12837244. [Accessed 30 May 2020]. viii Climate Analytics. 2019. Evaluating the significance of Australia’s global fossil fuel carbon footprint. Retrieved from https://climateanalytics.org/publications/2019/evaluating-the-significance-of--global-fossil-fuel- carbon-footprint/ ix The Climate Council. 2018. Australia’s Rising Greenhouse Gas Emissions. Retrieved from https://www.climatecouncil.org.au/resources/australias-rising-greenhouse-gas-emissions/ x Department of Foreign Affairs and Trade. 2019. Trade and Investment at a Glance 2019. Retrieved from https://www.dfat.gov.au/about-us/publications/trade-investment/trade-at-a-glance/trade-investment-at-a- glance-2019/Pages/default xi The Conversation. 2020. Vital Signs: a global carbon price could soon be a reality – Australia should prepare. [ONLINE]. Available at: https://theconversation.com/vital-signs-a-global-carbon-price-could-soon-be-a-reality- australia-should-prepare-149919 . [Accessed 18 November 2020]. xii The Conversation. 2020. Vital Signs: a global carbon price could soon be a reality – Australia should prepare. [ONLINE]. Available at: https://theconversation.com/vital-signs-a-global-carbon-price-could-soon-be-a-reality- australia-should-prepare-149919 . [Accessed 18 November 2020]. xiii The Washington Post. 2020. Powerpost. The Energy 202: ExxonMobil declines to set long-term climate goal, bucking oil industry trend. [ONLINE]. Available at: https://www.washingtonpost.com/news/powerpost/paloma/the-energy-202/2020/05/28/the-energy-202- exxonmobil-declines-to-set-long-term-climate-goal-bucking-oil-industry-trend/5ece8a9788e0fa6727006975/. [Accessed 30 May 2020]. xiv The Washington Post. 2020. Asia & Pacific. Biden’s plan to combat climate change leaves coal-loving Australia an outlier. [ONLINE]. Available at: https://www.washingtonpost.com/world/asia_pacific/australia- climate-fires-biden-murdoch/2020/11/17/25516342-2306-11eb-9c4a-0dc6242c4814_story.html xv Climate Change Authority. 2015. Final Report on Australia’s Future Emissions Reduction Targets. Retrieved from http://climatechangeauthority.gov.au/sites/prod.climatechangeauthority.gov.au/files/Final-report- Australias-future-emissions-reduction-targets.pdf xvi Parliamentary Library. 2017. Quick Guide Research Paper 2017-18, Paris climate agreement: quick guide. Climate Action Tracker https://climateactiontracker.org/countries/australia/.

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xvii The Guardian. 2020. says the government is acting on emissions. Is it true? [ONLINE]. Available at: https://www.theguardian.com/environment/2020/jan/21/scott-morrison-says-the-government- is-acting-on-emissions-is-it-true. [Accessed 30 May 2020]. xviii The Guardian. 2020. Angus Taylor says it is not Australian government policy to achieve net zero emissions by 2050. [ONLINE]. Available at: https://www.theguardian.com/environment/2020/may/19/angus-taylor-says- it-is-not-australian-government-policy-to-achieve-net-zero-emissions-by-2050. [Accessed 30 May 2020]. xix The Guardian. 2020. Scott Morrison says the government is acting on emissions. Is it true? [ONLINE]. Available at: https://www.theguardian.com/environment/2020/jan/21/scott-morrison-says-the-government- is-acting-on-emissions-is-it-true. [Accessed 30 May 2020]. xx The Conversation. 2020. Vital Signs: a 3-point plan to reach net-zero emissions by 2050. [ONLINE]. Available at: https://theconversation.com/vital-signs-a-3-point-plan-to-reach-net-zero-emissions-by-2050-132436. [Accessed 30 May 2020]. xxi The Greens. 2020. Climate Change and Energy.[ONLINE]. Available at: https://greens.org.au/policies/climate-change-and-energy. [Accessed 30 May 2020]. xxii Greenpeace. 2019. Climate action in NSW: here’s the plan. [ONLINE]. Available at: https://www.greenpeace.org.au/blog/climate-action-nsw-heres-plan/. [Accessed 25 May 2020]. xxiii Garnaut, R. 2019. Super-power, Australia's low-carbon opportunity. Melbourne, Victoria: La Trobe University Press. xxiv The ABC. 2020. The world's energy order is changing — and China is set to reap the strategic benefits. [ONLINE]. Available at: https://www.abc.net.au/news/2020-04-19/the-worlds-energy-order-is-changing-china- to-reap-benefits/12161912 [Accessed 22 November 2020]. xxv The ABC. 2020. More jobs in renewable-led COVID-19 economic recovery, EY report finds. [ONLINE]. Available at: https://www.abc.net.au/news/2020-06-07/renewable-led-covid-19-recovery-will-create-more- jobs-ey-report/12322104. [Accessed 7 June 2020]. xxvi IPCC. 2019. Emissions Gap Report 2019. Retrieved from https://www.unenvironment.org/resources/emissions-gap-report-2019). xxvii Carbon Brief. 2017. Mapped: Climate change laws around the world. Retrieved from https://www.carbonbrief.org/mapped-climate-change-laws-around-world xxviii The ABC. 2019. Will we make it? Are Australia’s efforts to curb global warming enough to meet our Paris target? [ONLINE]. Available at: https://www.abc.net.au/news/2019-04-01/is-australia-on-track-to-meet-its- paris-emissions-targets/10920500?nw=0. [Accessed 22 November 2020]. xxix The Guardian. 2020. Environmental investigation. Scott Morrison says the government is acting on emissions. Is it true? [ONLINE]. Available at: https://www.theguardian.com/environment/2020/jan/21/scott- morrison-says-the-government-is-acting-on-emissions-is-it-true. [Accessed 22 November 2020]. xxx Prime Minister and Cabinet. 2015. Final Report of the UNFCCC Task Force. Setting Australia’s Post-2020 Target for Reducing Greenhouse Gas Emissions. Retrieved from https://www.pmc.gov.au/sites/default/files/publications/150821%20UNFCCC%20Report.pdf xxxi Aedy, R. 2020. Party Lines. Hot Mess. Andrew McConville, Chief Executive of the Australian Petroleum Production & Exploration Association. [Podcast]. Available at: https://www.abc.net.au/radionational/programs/rn-presents/party-lines/12181030. [Accessed 29 May 2020]. xxxii Zali Steggall OAM MP. 2020. Questions and Answers on our Climate Change Bill. [ONLINE]. Available at: https://www.zalisteggall.com.au/questions_and_answers_on_our_climate_change_bill. [Accessed 18 November 2020].

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