FOR GOVERNMENT
Effective solutions to Climate Change and Peak Oil – Actions by Government
To be effective, solutions to climate change and peak oil need to:
- quickly reduce further growth in Australia’s greenhouse gas emissions before 2015;
- progressively reduce Australia’s consumptions of oil and gas; and
- foster and facilitate a ‘new’ lower consumption, lower emission economy
Climate change
Background
Governments at national, state and local level need to set a policy framework to reduce greenhouse gas emissions from the current high levels. However if we are to avoid dangerous climate change, we must avoid reaching a tipping point in average global temperature (see http://pubs.giss.nasa.gov/docs/2007/2007_Hansen_etal_1.pdf).
Climate modelling by the IPCC suggests that atmospheric levels of greenhouse gases need to be stabilised below 450 ppm CO2-e. If current trends continue, this threshold could be reached by 2015.
While a longer-term reduction in greenhouse gas emissions is needed, there is a vital need in the short term to rapidly reduce the rate of increase in greenhouse gas emissions (currently about 2ppm CO2-e per year). Government policy should be focussed on stabilising global emissions below 450 ppm CO2-e.
The required approach has been demonstrated in California - putting energy efficiency first, renewable electricity supplies second, and new coal-fired power plants last.
Effective solutions for governments
#1 Put in place a progressively reducing ‘cap’ on carbon emissions
If greenhouse gas emissions are to be reduced, a cap on such emissions will need to be enforced by government legislation. Total emissions allowed under the cap will need to be progressively reduced each year to prevent atmospheric levels of greenhouse gases exceeding 450 ppm CO2-e.
#2 Prevent the construction of new coal-fired power stations
As James Hansen puts it ‘Because widescale use of power plants with CO2 sequestration is at least a decade away, near-term emphasis on energy efficiency and renewable energy is needed to minimise construction of previous generation pulverised-coal power plants’ (see http://pubs.giss.nasa.gov/docs/2007/2007_Hansen_etal_1.pdf).
As well as imposing a cap on total emissions, governments will need to ensure that any new fossil fuel power stations without full CO2 sequestration are gas-fired.
#3 Set a national mandatory target of 20% electricity from renewable sources by 2015
The Commonwealth government’s election pledge was to reach this 20% target by 2020. However to reduce the risk of dangerous climate change we need to do better. Again California is taking a leading role with a renewable energy target of 20% by 2017.
#4 Require a climate change impact assessment for government actions
From 1 July 2008, the Queensland government will require all relevant Cabinet and budget submissions to include a ‘climate change impact assessment’ that estimates the greenhouse gas emissions (and any measures required to minimise impacts of climate change e.g. extra flooding/storm surge) for each proposal. This approach could result in Cabinet decisions being more ‘climate friendly.’
#5 Implement world’s best practice energy efficiency and conservation standards
Energy efficiency has proved to be a cost-effective strategy for reducing the rate of increase in greenhouse emissions. Since the mid-1970s, Calfornia has shown the way forward by implementing energy-efficiency measures, including building code and appliance standards. Over that period, Calfornia has maintained a relatively constant per capita energy consumption while the national U.S. per capita consumption doubled.
#6 Participate constructively in international negotiations to reduce greenhouse gas emissions
The Australian government should participate constructively in the UN process to build a post-Kyoto framework to effectively reduce greenhouse gas emissions globally.
#7 Review and reduce government subsidies to greenhouse gas producing activities
The value of government subsidies for the production and consumption of fossil fuels in Australia in 2001-02 has been estimated at more than $8 billion (see http://www.isf.uts.au/publications/riedy2007subsidies.pdf ). Examples include the Queensland motor vehicle fuel subsidy scheme and incentives under the Fringe Benefits Tax to encourage motor vehicle use.
More than 90% of this subsidy encourages extra greenhouse gas emissions, with half also economically inefficient (that is, removal of the subsidy would improve economic efficiency).
#8 Increase government subsidies to greenhouse gas reducing activities
Federal and State governments should increase subsidies/rebates for activities and products that reduce greenhouse emissions e.g. solar hot water systems.
Peak Oil
Background
An effective response to peak oil requires government policy to guide investment decisions. It will take decades to address peak oil and require trillions of dollars of investment. (However, the future costs of not taking action now are likely to be much greater).
Effective solutions for governments
#1 Use land use planning to reduce the need to travel
In conjunction with travel costs that more closely reflect the true cost of travel, relocalising land use activities will reduce the need to travel.
#2 Mandate improved vehicle fuel efficiency
Currently Australian fuel efficiency standards are below world’s best practice. The Federal government should move rapidly to increase the standards for new vehicles.
#3 Lower vehicle speed limits
Fuel consumption per kilometre increases noticeably over about 90 km/hr. Reducing the highway speed limit from 100 km/hr to 90 km/hr would reduce fuel consumption per kilometre by around 5% (and also reduce the road toll).
#4 Support fuel efficient modes of transport
Government transport expenditure should be directed primarily to public transport, rail freight and walking and cycling infrastructure and services. Tax incentives should be introduced to encourage consumers to walk, cycle or use public transport. Tax penalties should be imposed on private vehicles that are less fuel-efficient.
#5 Introduce charges that reflect the real costs of travel
Travel by car, bus or train is underpriced in many situations and this encourages more travel. Charges should aim to switch travel to more fuel-efficient modes (eg train, bicycle). Higher user charges will help to change travel behaviour
#6 Encourage the selective use of alternative liquid fuels
As part of a comprehensive response to peak oil, there is a role for increased use of LPG, CNG, electric cars (powered from renewable sources) and locally produced biodiesel. More greenhouse intensive alternative fuels such as coal-to-liquids, oil shale, oil sands and gas-to-liquids should not be favoured.
