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| The Macarthur wind farm in western Victoria. The Victorian government has set a target of zero emissions by 2050. |
Victoria will emit no carbon dioxide by 2050, if a target announced by Premier Daniel Andrews on Thursday morning is met.
The goal would mean no more burning coal for power in the Latrobe Valley and a big shift in how business operates and people run their homes.
Meeting the target would require a dramatic escalation in clean electricity generation and Victoria's relatively poor housing stock to become far more energy efficient including, for example, widespread use of solar panels linked to at-home battery storage.
Mr Andrews announced the target as part of changes to the state's Climate Change Act, following a review handed down earlier this year.
Changes backed include giving the government the power to direct the Environment Protection Authority to limit greenhouse emissions from an industrial site, and require it to set rolling five-year targets for emissions cuts across the state.
But the pledge came with few details and no new policies to meet it - and the government says it will encourage businesses to act, not impose penalties.
There will be no state emissions trading scheme or carbon tax, or to force the closure of coal plants.
A state renewable energy plan is due shortly, and expected to mainly encourage wind power – the cheapest form of large-scale clean electricity.
Climate Change Minister Lily D'Ambrosio has said she also wants long-promised solar farms to finally be built in the state's north.
The government last year set an initial target of at least 20 per cent renewable energy by 2020. Victoria currently gets about 12 per cent of its electricity from clean sources.
Later this year, the government promises a target for 2020 for its departments and agencies, including schools and hospitals.
It will ask businesses to pledge voluntary targets. The first state targets – for 2025 and 2030 – will be announced before the 2018 election.
The area hardest hit over coming decades would be the Latrobe Valley – home to Victoria's four large brown coal power plants.
The shift away from coal is already considered inevitable by energy companies in the wake of last year's Paris climate deal.
The French majority owner of the Hazelwood plant, the oldest and "dirtiest" of the four, has said it is considering the plant's future as it looks to exit coal across the globe.
The valley is likely to require government intervention to develop new industries and help for the thousands employed in the coal industry.
The government promised $40 million for the transition away from coal in this year's budget, but has not said how that would be spent.
Australian Industry Group Victorian chief Tim Piper said businesses were increasingly ready to act and the group supported encouraging industry to improve environmental practice.
But he disagreed with imposing state targets. He said it could hurt Victorian-based companies competing with those based in other states, but not having to meet a similar standard.
"While Victoria might see itself as a leader, it is important it doesn't disadvantage its businesses," he said. "It's not unreasonable that everyone gets on board, but they should have to get on board nationally."
Green group Environment Victoria welcomed the government's pledge to strengthen the Climate Change Act, but urged it act quickly on emissions.
"The road-toll aim is to reach zero. Targets for climate pollution are now the same. The sooner we get there, the better, and the more damage we can avoid," chief executive Mark Wakeham said.
The Climate Change Act was introduced by the Brumby Labor government before the 2010 election, and included a target of a 20 per cent cut in emissions below 2000 levels by 2020.
The Baillieu Coalition government amended the act to remove the target, saying it supported a national target.
Six years on from the act coming in, Victoria's emissions remain slightly higher than 2000 levels.
The Andrews government supported or supported in principle 32 out of 33 recommendations in the review of the act, led by Martijn Wilder, of consultants Baker & McKenzie.
It rejected a recommendation that it consider introducing an independent review process of whether government decisions were consistent with its climate policies, saying it could achieve the same outcome by taking expert advice before decisions were made.
Links
- Batteries storage key to tapping power of renewable energy for Victorian consumers
- NSW is Australia's worst state for renewable energy use, report finds
- Queensland set to enter new era in renewable energy with Ergon wind farm deal
- Why is the ACT bringing forward its 100 per cent renewable electricity target to 2020?
- Renewable energy target in doubt as $10b investment needed
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