George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Hansard source

Thank you very much, Senator Reynolds. That is a very important and, if I may say so, very timely question.

The Department of the Environment has released a formal national update on Australia's 2020 emission target that confirms that Australia will not only meet its target but will well and truly exceed its target by, on current projections, at least 28 million tonnes. The government is taking a strong and responsible approach to addressing climate change through policies which actually reduce Australia's emissions without a reckless carbon tax that punishes Australian families and Australian businesses.

The Emissions Reduction Fund is central to those strong and successful policies. At the first Emissions Reduction Fund auction in April 2015 the government contracted 47 million tonnes of emissions reductions at an average price of $13.95 per tonne. At the second ERF auction in November 2015, 45 million tonnes of reductions were contracted at $12.25 per tonne on average—which, as you can see, was even lower than at the first auction. At the second auction contracts were awarded to 131 projects, including 33 bushfire prevention projects which will reduce emissions by nearly seven million tonnes. Indigenous groups will play a significant part in this. Across both auctions the government has contracted 92.8 million tonnes of emissions reductions at an average price of $13.12. This is one per cent of the cost per tonne of abatement under the carbon tax. Unlike Labor's carbon tax, our policy is working.