Australia Sets A 62%-70% Emissions Reduction Target By 2035

 

 

Australia sets a 62%-70% emissions reduction target by 2035, with a AU$5 billion Net Zero Fund supporting renewable energy and energy storage deployment.

 

The Australian government announced its 2035 climate change target, aiming to achieve a 62% to 70% reduction in emissions compared to 2005 levels. Its core strategy is to fully decarbonize the economy through clean electricity. This goal will be supported by expanding renewable energy generation capacity, a new transmission network, and energy storage systems (including home batteries). A AU$5 billion Net Zero Fund will also accelerate the development of low-emission manufacturing and the decarbonization of industrial facilities.

 

To achieve this goal, the government will streamline the renewable energy project approval process, focus on reforming the Environment Protection and Biodiversity Conservation Act, and publish a Net Zero Plan to outline a path forward by 2035. The plan will promote long-term investment in large-scale renewable energy and energy storage projects through a review of the National Electricity Market's wholesale mechanisms. It will also renew the investment authority of the Clean Energy Finance Corporation (CEFC) and add AU$2 billion in general account funds to accelerate renewable energy deployment and lower electricity prices. Furthermore, the plan emphasizes the development of user energy resources and virtual power plants (covering community and commercial and industrial scenarios) to alleviate pressure on the grid.

 

Industry experts responded, pointing out that while the target range meets the lower limit of scientific research, efforts should still be made to reach the higher end. Monash University's Energy Institute emphasized the need for matching R&D investment to make up for the halving of public energy research funding over the past decade. EcoJoule Energy warned that the rapid expansion of rooftop PV requires adaptive distribution network planning to avoid a techno-economic crisis caused by insufficient grid support. Climate Working Group praised the plan's emphasis on energy production efficiency and demand management. The Institute for Sustainable Futures at the University of Technology Sydney called for increased decarbonization in industry, transportation, and agriculture, and for the use of distributed energy resources to alleviate the pressure on large projects delayed by social license issues.