Delaying emissions reduction in areas such as the Hunter's mining and heavy industrial sectors threatened to derail Australia's efforts to reach net zero by 2050, the government's newly appointed chief climate advisor Matt Kean has warned.
Mr Kean, who is also chair of the Climate Change Authority, released a long-awaited review on Thursday that identified what the top six emitting sectors of the economy must do to achieve net zero, including the "mature, demonstrated and early stage" technologies that should be used.
"Good progress is being made on decarbonising the energy sector and rolling out firmed renewables. But to achieve a rapid and orderly transition to net zero, all sectors of the economy, along with all levels of government, must plan and act together," he said.
"By overcoming the barriers to reducing emissions we can make the Australian economy more prosperous while creating new industries and jobs, improving our energy security, protecting the environment, and reducing the cost of living."
The report references CSIRO modelling of two climate outcomes - the first is consistent with Australia achieving its current 2030 and 2050 emissions reduction targets in a less than 2 degree world, while the second is consistent with the world cooperating to limit warming to 1.5 degrees.
"Under both scenarios and both analytical approaches, sector pathways are heavily reliant on the electricity sector decarbonising quickly, and more than doubling its output to support increased electricity demand from electrification across the economy," the report said.
Mr Kean's review downplayed the potential of nuclear energy on the basis of coast and construction time.
Rather, it suggested efforts focus on Australia's "abundance" of wind and solar to decarbonise the electricity network.
"Working to reduce emissions now, using existing technologies, is far more efficient and effective than waiting and hoping that bigger breakthroughs will do all the work," the report said. "Waiting for new, better, cheaper technologies is tantamount to choosing to continue to emit."
However, the report acknowledged that if costs and timeframes improved significantly it could be necessary to reevaluate the viability of nuclear power.
Mr Kean said the developers of clean energy projects should make a greater effort to engage with regional communities about infrastructure's role in the energy transition and better explain the sharing of benefits from the rollout.
The authority's review proposes six strategies that can be incorporated in the Net Zero Plan for addressing the challenges and enabling Australia's transition to a prosperous, net zero economy.
Suggested actions for the Australian Government include working with local, state and territory governments, businesses, communities and households to build on existing climate change policies, reform development approval processes and address mounting workforce shortages.
Mr Kean said technology uptake, investment and cooperation were crucial success factors.
"We need to seize this once-in-a-generation opportunity to ensure Australia's rapid and orderly transition as the world transforms to avert the worst impacts of climate change.
"This requires a major reorganisation of supply chains, production systems, industrial zones, energy sources, public and private finance, infrastructure and workforces," Mr Kean said.
