2035 emissions target: New tech, electrification, carbon control key to lower emissions in resource sector
New technology, electrification and carbon management solutions in Australia’s resource sector will be central to the Federal Government’s plans to cut emissions by between 62 and 70 per cent by 2035.
In one of six sector plans released on Thursday, alongside the Government’s emissions reduction target, outlined how the high-emissions resource sector will contribute to the transition.
It said the targets would be achievable but only through electrification, methane abatement and switching to low-carbon fuels where available.
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By continuing you agree to our Terms and Privacy Policy.Australia has so far reached a 29 per cent emission reduction rate but is projected to fall just below the 2030 target of 43pc.
Prime Minister Anthony Albanese, Energy Minister Chris Bowen and Treasurer Jim Chalmers told a press conference in Sydney on Thursday that Australia would only achieve its “orderly” transition with the help of miners and gas and oil producers.
The resource sector accounts for 22pc of national emissions.
The dedicated sector plan said the industry’s pathway to lower emissions would be anchored by the Government’s safeguard mechanism — which legally forces heavy industry to curb emissions to help meet targets.
In a layered priority approach, the plan to 2030 encourages the sector to scale up carbon capture and storage, cut venting and flaring from oil and gas projects, electrify heavy equipment and improve energy efficiency.
The next phase to 2035 focuses on supercharging electrification, swapping to low-carbon fuels, cutting coalmine methane, and ramping up carbon capture and storage.
Treasury base-line modelling estimates that, if done “orderly”, gas and LNG would drop 27pc by 2035 and iron ore by 11pc.
By 2050, it states there should be widespread use of coal-abatement technology, methane pre-drainage, carbon capture and storage and low carbon fuels.
By then, Treasury’s modelling anticipates there would be a decline in gas trade due to a global shift to clean energy but maintained it would remain critical as a transition fuel to reach net zero.
It also labels Australia’s resource sector as pivotal for trading partners who rely on Australia’s exports for energy security and critical minerals for technology development.
Dr Chalmers warned Australia’s failure to act would harm the economy, as would a “disorderly” transition.
Mr Bowen said the target range was well calculated and comparable to like-minded nations.
The targets walk a tightrope of what scientists warn them needs to occur and what business says is achievable.
And the Government needs business on its side, with Mr Albanese acknowledging that private sector investment would be critical in aiding the transition.
Several resource companies have already trialled new technology and equipment that reduces diesel consumption and minimises venting and flaring.
The sector is also investing in multibillion-dollar carbon capture and storage projects and expanding their renewable energy generation.
