Government announces development of new net zero sector plans

The Australian Government has announced it is developing a new Net Zero Plan to articulate how Australia will transition to a net zero economy by 2050. The plan will set out government priorities, policies and measures to drive down emissions and support investment in low emissions and renewable activities.

The Department of Climate Change, Energy, the Environment and Water (DCCEEW) is leading the work in coordination with relevant departments. Six sectoral emissions reduction plans will support the Net Zero Plan to capture the full breadth of the economy. DCCEEW is focusing on three of these plans: for the industrial, resources and built environment sectors.

DCCEEW says the sector plans will consider any cross-cutting and sector-specific issues, including:

• valuing emissions reduction
• removing blocks to action
• growing social equity through the transition
• working internationally.
   

The sectoral plans will also consider key enabling technologies to support emissions reductions or removals.

Industrial sector plan

The industrial sector plan is focused on subsectors that represent the greatest opportunity and need for decarbonisation, and that will be most impacted by the economy’s transition to net zero.

The plan will cover:

• alumina and aluminium
• waste and resource recovery
• chemicals and plastics
• iron and steel
• cement and concrete
• food and beverages
• pulp and paper
• manufacturing
• metals refining and smelting
• synthetic greenhouse gases.
   

The Minister for Industry and Science is responsible for developing the plan with the Minister for Climate Change and Energy in consultation with the Minister for Environment and Water.

DCCEEW will be consulting throughout 2024 to support the plan’s development. Consultation on the green metals industry opened on 5 May 2024 and will help inform the Net Zero Plan.

Resources sector plan

The resources sector plan will identify opportunities to reduce emissions within the resources sector, support Australia’s economic growth and support our trading partners on their own path to net zero.

The plan will cover:

• oil and gas extraction and processing
• liquefied natural gas (LNG) liquefaction
• coalmining
• mining of metals and non-metal minerals
• on-site processing of ores
• resource exploration and support services.
   

The Minister for Resources and Northern Australia is responsible for developing the plan with the Minister for Climate Change and Energy. Consultation will occur throughout 2024 to support the plan’s development.

Image credit: iStock.com/Boy Wirat