Australia signs methane pledge, but no new taxes

The federal government has assured farmers the US-led pledge is not binding and there would be no new taxes.

Australia is the latest country to sign up to a US-led pledge to reduce methane emissions this decade.

Climate Change Minister Chris Bowen this week ended weeks of speculation by confirming Australia would become a signatory to the global methane pledge.

The agreement commits signatories to voluntary actions to reduce emissions by 30 per cent from 2020 levels by 2030 in an effort to keep global warming to 1.5C.

Australia will be among 122 nations including agricultural powerhouses Argentina, France, Canada and the UK in signing up to the pledge spearheaded by US President Joe Biden.

US President Joe Biden and the European Union have challenged the world to meet their global methane pledge. Picture: Oliver Contreras

Australia’s livestock industry is responsible for 10.5 per cent of the nation’s total greenhouse gas emissions owing to the burps and farts of its 30 million beef and dairy cattle.

Agriculture Minister Murray Watt moved quickly on Monday to assure the farming community the federal government would not introduce taxes or levies to ensure compliance.

National Farmers’ Federation chief executive Tony Mahar said Australia’s signing of the pledge reinforced the industry’s commitment to sustainability.

He acknowledged concerns within the industry about government interventions such as New Zealand’s farm levy on greenhouse gases produced by cattle and sheep.

But Mr Mahar said the federal government had given strong assurances that signing up to the pledge would not negatively affect the agricultural sector.

“Farmers have been given assurances there will be no new taxes or regulation on livestock methane, and no reduction to agricultural production nor livestock numbers,” he said.

“This commitment recognises agriculture’s existing achievement, future plans and dedication to ongoing partnership with the government to develop technology-led solutions and associated innovation.”

Australia’s livestock industry is the country’s biggest producer of methane emissions at 48 per cent of the total. Picture: Zoe Phillips

Farmers for Climate Action chief executive Fiona Davis said reductions in methane should come from the gas and oil industry.

She said the federal government has provided assurance the target would not be legislated or binding, and that it would work with the oil and gas sectors on opportunities to reduce methane.

“The gas industry should not be allowed to unbalance the climate and threaten our food supply. Gas industry lobbyists cannot be allowed to continue pretending farming is the problem. Having a local food supply is not optional,” Dr Davis said.

Dr Davis also urged for federal government support to continued research and development in asparagopsis, the red seaweed supplement that could help reduce methane emissions in ruminant livestock.

AgriFutures Australia research has found that if the diet of livestock included just 0.4 per cent asparagopsis, methane emissions could be reduced by up to 98 per cent.

A new AgriFutures and Commonwealth Bank report, released last month, estimates the capital required to establish an asparagopsis supply chain at 100 per cent adoption would be between $132 million and $1.62 billion.

Meat and Livestock Australia has committed to carbon neutrality by 2030. That aim relies heavily on broad industry take-up of methane-reducing feed supplements such as asparagopsis.