Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Hansard source

I table revised explanatory memoranda relating to the bills and move:

That these bills be now read a second time.

I seek leave to have the second reading speeches incorporated in Hansard.

Leave granted.

The speech read as follows—

Climate Change Bill 2022

It is no accident that one of the first pieces of legislation introduced by the Albanese Government in the 47th Parliament responds to one of the most urgent and pressing issues of our time—climate change.

For too long, too much time has been devoted in newspaper columns across the country and in this chamber to the "climate wars", the political infighting that has seen Australia not just pause progress but go backwards, and miss the economic and jobs opportunities that accompany real action on climate change.

This Bill represents an opportunity for this Parliament and our country.

An opportunity to send a clear message at home and abroad.

Not only does Australia have a government that is getting on with the job of providing a coherent policy to accelerate investment in renewable energy, transmission and storage—

But we have a Parliament that is getting on with the job too.

This legislation is important not so much because of what it obliges the government to do, although there are significant elements of that in the Bill.

But more because of the message of stable, clear, coherent and necessary policy it sends to private investors that when it comes to renewable energy, Australia is open for business and raring to go.

It sends the message that Australia is back as a good international citizen.

That Australia now has a government and a Parliament that wants Australia to be a renewable energy powerhouse.

The passage of this Bill will be important for the message it sends:

For future generations—that we are determined to lift our game and be better for them;

For our economy—because acting on climate change also means harnessing the opportunities of a renewable revolution;

For business—who have been crying out for policy certainty after having the lane ropes changed on them time and time again; and

For our nation—restoring our international credibility, and playing a constructive leadership role in the Pacific. For our regional neighbours, as for our fellow citizens in the Torres Strait Islands, climate change isn't a matter of projections and numbers—it's a current reality.

The Albanese Government's introduction of this legislation at the first opportunity also signals that we are done talking, and we know now is the time for action.

Now we know this legislation isn't the end of the work, it's only the beginning. The real task lies in the implementation and achievement of the goals we are outlining today.

This Bill is quite simple. Simple, yet powerful.

The Bill is a solid foundation, setting clearly and firmly, in Australian law, Australia's emissions reduction ambitions. It holds the government of the day accountable to the Australian parliament and the Australian people, on how it measures up to those ambitions, and how it is addressing this fundamental issue.

Firstly, the Bill sets out the 2030 and 2050 emissions reduction targets, with the 2030 target a 43% reduction against 2005 levels. The Powering Australia policy platform that the Albanese Government took to the election underpins this 43% reduction. It represents an ambitious—and achievable—goal.

Now I want to make an important point—the 43% is not a limit on emissions reduction ambition. On the contrary, we have said repeatedly that we see 43% as the floor on what we want our country to achieve.

As we said in our updated Nationally Determined Contribution, it is our hope that the commitments of our industry, states and territories will yield even greater emissions reductions in the coming decade and into the future.

I also make the point that we have just 88 months to achieve these goals. We have been waiting a long time, and now we need to get on with it.

Secondly, the Bill provides that the minister responsible for climate change will give an annual climate change statement to Parliament.

That annual climate change statement will be tabled in Parliament and will include an update on Australia's progress towards meeting those emissions reduction targets, as well as on climate change policy, relevant international developments and the effectiveness and impacts of the Commonwealth's policies, including in key sectors and in rural and regional Australia.

Thirdly, a restored Climate Change Authority will provide the minister with independent, expert advice on that annual statement—and that advice will be published and tabled in Parliament.

This will ensure ongoing transparency and accountability on these matters of international significance.

The Australian community will be able to see what the independent authority thinks about the effectiveness of Australia's climate change policy, and how it is tracking towards achieving its targets.

Fourth, the Climate Change Authority will provide advice on any new or updated emissions reduction targets to be communicated to the UN under the Paris Agreement—with that advice also to be published. That advice will be given to the government at least every five years, including for the 2035, 2040 and 2045 targets.

The Climate Change Authority's advice will provide an independent, expert, authoritative assessment of Australia's contribution to global action. The Climate Change Authority will consult on its advice on targets, which will mean that Australian community will be able to contribute to that advice, and that it will provide an independent, expert, authoritative assessment of Australia's proper contribution to global action. The advice will take into account the temperature goals in the Paris Agreement and consider the physical impacts of climate change, and the benefits of the targets and policies, including for regional and rural Australia.

Finally, the operation of the Bill itself will be subject to regular independent reviews, ensuring that it remains fit for purpose as Australia transitions to net zero.

This Bill will be accompanied and complemented by the Climate Change (Consequential Amendments) Bill, which will draw upon this Bill to embed consideration of the emissions reduction targets and the Paris Agreement into the objectives and functions of a range of Commonwealth entities and schemes.

These are programs and agencies that are already achieving results in the response to climate change. Inclusion of the targets in their functions and objects will provide an additional focus to their work, ensuring that we're all pulling in the same direction.

This Bill lays the crucial foundation, upon which the policies and measures to come will be built. These policies include Rewiring the Nation, an enhanced safeguard mechanism, and Australia's first electric vehicle strategy—all crucial building blocks for Australia's transition to net zero.

While the commitment to reach net zero by 2050 is a key target to be legislated by this Bill, the Australian people gave us a mandate for a more meaningful 2030 target, which we have now committed to achieve under the Paris Agreement.

I'd like to acknowledge the spirit of constructive engagement on this Bill from the crossbenches of this Parliament.

We have been very clear: a sensible government will consult across the Parliament and take on board sensible suggestions in keeping with our mandate. That has been and will continue to be our approach.

Not everyone in this Parliament has indicated a willingness to participate in this process.

Some have indicated they will simply oppose the Bill, indicating that they do not accept the message from the Australian people on May 21 that the time for action on climate is now.

This is disappointing.

It is also disappointing to the Australian business community, who have indicated very strongly that passing the legislation is important for investment certainty.

The Business Council of Australia, Australian Industry Group, Minerals Council of Australia, Australian Institute of Company Directors, Investor Group on Climate Change, Australian Energy Council, Governance Institute of Australia, Responsible Investment Association of Australia, the Australian Council of Superannuation Investors, Clean Energy Council and the Australian Chamber of Commerce and Industry have urged bipartisan support for the Bill in front of us today.

The Investor Group on Climate Change have welcomed the Bill as "an opportunity to unlock hundreds of billions of investment in climate solutions across the economy", just as the Minerals Council have recognised that it "provides certainty for Australia's industries". The Australian Industry Group have made clear the Bills "represent a very big improvement on the status quo—and the broader the support they receive, the stronger the basis for investment will be and that will underpin our ability to meet other economic and social objectives including high employment growth and improving living standards."

BCA chief executive Jennifer Westacott said corporate Australia did not want a "divisive parliamentary debate over the target", while ACCI chief executive Andrew McKellar said "the best way to promote the planning and innovation that will underlie an efficient energy transition is through legislated bipartisan support."

Community and environmental groups have also supported the Bill, such as the Australian Conservation Foundation and Climate Council. The Climate Council stated "this new legislation can act as a springboard for Australia to cut emissions and grasp the incredible opportunities that are within our reach as one of the sunniest and windiest places on the planet." The Australian Conservation Foundation congratulated the approach and amendments in the other place "for shifting the dynamic on climate change in Australia from inaction to action...the bill has been significantly improved".

Similarly, Australian Council of Trade Unions President Michele O'Neil has stated "all workers are being impacted by the planet becoming less habitable and safe with more frequent and extreme disasters and heat. We welcome the Albanese Government taking this critical step to ensuring climate action."

But some in this chamber think they know more about business than the Business Council and more about commerce than the Chamber of Commerce.

The opposition had a choice: a vote for progress or a choice to peddle the same, discredited scare campaigns we have seen time and time again.

While the choice they have made is disappointing, the Government won't be deterred from proceeding with legislation which is important for achieving investment.

The people and history will judge a political party which has sought to keep the climate wars going and stands against the necessary framework for unleashing private sector investment.

The Government has been very clear.

While this legislation is not essential for the Government to embark on the policy actions we sought and received a mandate for, it is best practice.

The IPCC's 2022 Mitigation of Climate Change report confirmed that climate laws enable mitigation action by signalling the direction of travel, setting targets, policies, enhancing regulatory certainty, creating focal points for social mobilisation and attracting international finance.

It will help provide the policy certainty and stability that the Australian community has called for. This in turn will help attract the investment and skills that are needed for the transition to net zero.

Because the world's climate emergency is Australia's jobs opportunity.

While we turn our back on renewable energy, the opportunities quite frankly go elsewhere. And we have the resources, capability and know-how to become a renewable energy superpower, not just in one part, but across multiple sectors such as clean energy, batteries and commodities such as aluminium, lithium, copper, cobalt and nickel.

There is a significant export market waiting for us—if we get the levers right to take advantage. And that's what this Bill does.

The new Government's approach to climate change has been welcomed here and abroad.

Our friends and allies have been frustrated with Australia's approach in the past and have welcomed a government determined to play our role and seize the opportunities that good climate policy present.

There is an optimistic mood that with commitment and clear action, we can and will make a difference. The Albanese Government has an agenda to do exactly that:

It's a comprehensive plan which sits alongside the sensible and achievable targets laid out in this Bill.

The passage of this Bill will send a strong signal about our priorities as a Parliament.

This Bill may be simple in what it lays out—but it is significant in what it will achieve.

There are many issues about which Members of this chamber will disagree.

But the principle of holistic action on climate should not be one of them.

Our country and this Parliament has wasted long enough delaying and denying.

The time for action is now, we don't have a second to waste.

Climate Change (Consequential Amendments) Bill 2022

The Climate Change (Consequential Amendments) Bill builds on the foundation of the main Climate Change Bill, contributing to Australia's climate response and supporting net zero.

Meeting the climate challenge and realizing the opportunities presented by the transition to net zero, will require coordinated efforts across government and the economy. Australia's greenhouse gas emissions reductions are supported by a range of government entities and schemes.

The Climate Change (Consequential Amendments) Bill 2022 complements the Climate Change Bill by embedding consideration of Australia's greenhouse gas emissions reduction targets into the objects and functions of the Commonwealth entities and schemes that could make the greatest contribution to reducing emissions for Australia.

These entities include the Clean Energy Finance Corporation, which facilitates flows of finance into the clean energy sector; the Australian Renewable Energy Agency, known as ARENA, which encourages the uptake of renewables by providing financial assistance and investment in renewable energy technologies; and the CSIRO, undertaking invaluable research underpinning emissions reduction efforts and clean energy technologies.

The legislation for Infrastructure Australia, the Northern Australia Infrastructure Facility and Export Finance Australia is amended to make the targets relevant to key functions, such as Infrastructure Australia's audits and infrastructure plans.

The bill updates references to international climate agreements, within the amended legislation, to reflect the adoption of the Paris Agreement. This includes referencing the purposes in Article 2 of the Paris Agreement as a key consideration for the Climate Change Authority when performing its functions.

The Climate Change Bill is the bedrock foundation on which climate change policy will be built. This bill will be one the first bricks laid on that foundation, and it will not be the last.

Debate adjourned.