Across all industrial sectors, including those covered by the mechanism, annual carbon emissions increased from 130 million tonnes in 2005 to 162 million tonnes in 2019.
“While an economy-wide carbon price is more effective, the political reality is that Australia is unlikely to reinstate such a price anytime soon,” Wood and colleagues conclude.
“Outside of electricity, there is very little emission reduction expected in Australia over the next decade.
“If progress is insufficient by 2030, very disruptive economic restructuring will be necessary in the 2030s and 2040s.”
A key objective of the report is to highlight the benefit of making progress in every sector of the economy, from agriculture to manufacturing and electricity, to build confidence that the economy can achieve net zero emissions. by 2050.
Energy Minister Angus Taylor has warned of adding new costs to industry and other sectors of the economy, saying the government will instead spend $ 20 billion in the coming years to promote technologies in areas such as hydropower and solar energy, land use change, hydrogen as a source energy and storing emissions underground.
“Clean steel, clean aluminum. Change is happening. Investments happen, ”Taylor said this month, while ruling out a carbon price or tax.
Federal Labor leader Anthony Albanese has also spoken out against a carbon price because emissions can be reduced in other ways.
The Morning Edition newsletter is our guide to the most important and interesting stories, analysis and ideas of the day. register here.