Slow approvals barrier to Australia’s net zero targets
Slow and complicated development approval processes are among the barriers hampering Australia’s transition to net zero emissions by 2050, according to the national Climate Change Authority.
The authority’s Sector Pathway Review report prepared for the Federal Government assesses the potential technology transition and emissions pathways to reach the 2050 decarbonisation target.
The review considers the pathways for six sectors – agriculture and land; built environment; electricity and energy; industry and waste; transport and resources – to decarbonise. It identifies barriers and proposes strategies and actions to address them.
“Good progress is being made on decarbonising the energy sector and rolling out firmed renewables. But to achieve a rapid and orderly transition to net zero, all sectors of the economy, along with all levels of government, must plan and act together,” authority chair Matt Kean said.
The authority’s review found there are many pathways to achieving emissions reductions with existing, mature technologies, such as solar and wind for electricity generation and batteries for energy storage getting Australia much of the way to net zero.
But barriers existed to the timely deployment of technologies, including:
- Lack of willingness to pay the ‘green premium’ – the higher cost of low and zero emissions technologies relative to the high emissions technologies they must replace, which often face no penalty for the harm caused by
the greenhouse gas emissions they generate. - Slow and complicated development approval processes for renewable energy and enabling infrastructure projects.
- A lack of community support (referred to as ‘social licence’) for changes such as deployment of key clean energy infrastructure like wind farms and transmission lines.
- Constraints in supply chains for important low emissions technologies including renewable energy generation, electric mining and haulage equipment
and low emissions liquid fuels. - Workforce shortages, particularly in regional areas and highly skilled new industries.
- Information and data gaps that impede planning for decarbonisation, the workforce it will require, and the investment decisions that could finance it.
In an assessment of the electricity and energy sector – which did not include nuclear power generation – the report said renewable electricity generation
and storage capacity must substantially increase through to 2050 if Australia is to meet its emissions reduction targets, and even more so if it is to contribute
to global goals through clean energy intensive exports.
“The sector’s decarbonisation technologies are well established: wind, solar PV, batteries, pumped hydro, with most of that generation capacity
interconnected with transmission infrastructure,” it said.
“These technologies are commercial, but they will now need to be deployed at much greater scale.
“Uncertainty or delays in deployment will put emissions reduction ambitions at real risk.
“The necessary infrastructure roll-out in this sector is complex, resource intensive and requires considerable planning and coordination.
“To ensure electricity is available when needed and is stored when demand is lower, firming and storage technologies that complement renewable
generation must be deployed at pace and at scale.
“The reliability and security services provided by retiring coal-fired power generation must be replaced by new system security technologies, including some
that have not yet been tested at grid-scale.
“Natural gas will be required for some time for firming and back-up supply.
“There are persistent barriers to progressing this transformation at sufficient scale and pace. Global demand for transition materials will grow enormously
over the long term, at times placing great pressure on supply chains.
“Government and industry must earn social licence from electricity consumers and from communities impacted by infrastructure.
“Planning and approvals processes must become better resourced, more efficient and transparent and strike an appropriate balance between
climate and broader environmental objectives.
“Traditional Owners must be included as partners in the deployment of infrastructure on their land.
“The skilled clean energy workforce will need to grow substantially, and soon. The sector’s pathway requires government intervention to stimulate,
broker and convene investment in technologies, update rules that govern Australia’s energy markets, acquire social licence and support the stability
of grids that will be under pressure from new demands.”
The full report is available here.