EUAA Submission: Exposure Draft Safeguard Mechanism (Crediting) Amendment Bill & The Carbon Credits (Carbon Farming) Amendment Rules 2022
Emily Wood | October 28, 2022
‘…The EUAA work closely with other industry peak bodies, including the Australian Aluminium Council (AAC). We have viewed the AAC submission and are supportive of it.
The proposed Safeguard reforms come at a time of significant disruption and uncertainty for business, governments and the broader community. Energy users face escalating costs in both electricity and gas which look set to continue for the foreseeable future. In particular, international gas prices are having a significant impact on domestic business, their supply chains and consumers.
That said, we reiterate that the EUAA support the pursuit of net zero targets by 2050 with many member companies putting in place their own net zero or ESG targets. We are also supportive of the new Federal emissions reduction target of 43% reduction below 2005 levels by 2030. However, given many EUAA members can be classified as operating in “hard to abate“ sectors, it must be recognised there are technological limitations in terms of what can be achieved in the period to 2030 and beyond.
The challenge of meeting the new 2030 targets in less than seven years is at best extremely challenging. It is also misaligned with the long-cycle nature of investments that underpin our commercial and industrial base. It is for these reasons that the EUAA support and encourage that a high degree of flexibility be afforded to hard to abate industries to help manage risks and costs associated with their decarbonisation journey…’
Please download attachment to read full submission.
