Victoria makes pledge to halve carbon emissions by 2030

Victoria aims to cut its greenhouse gas emissions in half by 2030 and all government operations – including metro trains, schools and hospitals – will be powered by renewable energy by 2025.

The government announced its long-delayed carbon emissions reduction targets on Sunday, saying it will cut greenhouse pollution by 28 to 33 per cent of 2005 levels by 2025, and 45 to 50 per cent by 2030.

The Yallourn power station will now close in 2028.Credit: Vince Caligiuri

These targets bring Victoria into line with jurisdictions such as South Australia, which recently announced its own plan to cut emissions by 50 per cent of 2005 levels by 2030. The (much smaller) ACT will reduce its emissions by 65 to 75 per cent in the same period and NSW has a target of 35 per cent cuts by 2030.

The Morrison government’s pledge to cut 2005-level emissions by 26 to 28 per cent by 2030 remained unchanged after US President Joe Biden’s recent climate summit.

Environment Minister Lily D’Ambrosio took a swipe at the federal government, saying it could not rely on states alone to reduce emissions.

“The Commonwealth government cannot continue to abrogate its responsibilities on a global stage when it comes to climate change,” Ms D’Ambrosio said. “Nothing was more embarrassing than the display from the Prime Minister at Joe Biden’s climate summit.”

Half of the cars sold in Victoria will be zero-emissions vehicles by 2030, the government announced. As part of a $100 million government emissions package, 20,000 new car owners in Victoria will get a $3000 government subsidy if they buy a vehicle with zero emissions under a new plan.

Victoria’s greenhouse gas emissions have declined owing to considerable cuts in the electricity sector and the strong rise of renewables but emissions from transport remain the second-largest and fastest-growing source in the state.

About $20 million will also be spent to reduce emissions in the agricultural sector and about $15 million in a “carbon farming” program, where carbon is stored in shelterbelt trees. Agriculture is the third-most emissions-intensive sector in the state.

Environment Victoria head Jono La Nauze said the new targets would put even more pressure on the Morrison government to increase its “pathetic” pledges but still fell far short of what was needed.

“Victoria has almost matched the recent US pledge of 50 to 52 per cent but the science is clear – we need to act much faster,” he said.

“The federal coalition’s decade of sabotage and delay on climate has limited what can be achieved in the next decade here in Victoria and for that they must be held accountable.”

Climate Council councillor Will Steffen, also an emeritus professor at the Australian National University, agreed Victoria’s targets were “a step in the right direction” but said scientific research showed countries needed to hit net zero earlier.

Acting Premier James Merlino with Environment Minister Lily D’Ambrosio and former federal climate change minister Greg Combet.Credit: Wayne Taylor

“Victoria achieved its 2020 target two years early and that tells me there is an opportunity to go harder and faster,” Professor Steffen said. “Most states have net-zero by 2050. In general, it’s safe to say that’s too late.“

The response to the targets from energy producers was mixed. Last month Energy Australia, the owners of the Yallourn brown coal-fired power station, announced it would close four years early, in mid-2028.

On Sunday energy executive Liz Westcott welcomed the Victorian emissions targets.

”In Victoria, we are leading the way with a managed transition to cleaner energy by retiring the Yallourn power station ... and building a large utility-scale battery in the Latrobe Valley,” Ms Westcott said.

But the Australian Energy Council, representing the nation’s biggest power suppliers, warned state-specific targets risked fragmenting the national energy market and causing bill spikes for consumers.

“Go-it-alone approaches are less efficient and less likely to achieve reductions at lowest cost to households and the economy given we are part of an interconnected national energy market,” chief executive Sarah McNamara said.

Victoria’s emissions targets for 2025 and 2030 were to have been announced in 2020 but were delayed by the pandemic.

The Andrews government commissioned an independent panel, headed by Labor’s former federal climate change minister Greg Combet, which recommended a 2025 target of between a 32 per cent and 39 per cent reduction in emissions (on 2005 levels), and 2030 targets of between 45 per cent and 60 per cent. On Sunday Mr Combet said he “heartily endorsed” the new targets.

Recent research by high-profile Australian climate scientists found that Victoria needs to set emissions reductions targets of 75 per cent by 2030 to meet the Paris objectives.

Victoria met its 2020 targets, with Ms D’Ambrosio saying the state had reduced emissions by 25 per cent. This was largely because of the closure of the Hazelwood coal-fired power plant.

During Mr Biden’s recent world leaders climate summit, many countries updated their 2030 targets. The US announced a 50 to 52 per cent target below 2005 levels, the EU announced a similar target and the UK pledged to drop 63 per cent below 2005 levels.

But the Australian target remained unchanged at 26 per cent to 28 per cent by 2030, and is significantly lower than many comparable countries.

A spokesperson for Energy Minister Angus Taylor said: “Labor has surrendered to the growing activist class in our big cities, putting forward policies that will see the taxes of hardworking men and women handed over to wealthy Australians in the form of EV subsidies.”

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