Labor

Labor is proposing to keep some of the policy architecture implemented by the Coalition during this term. It will, in the first instance, propose to regulate the electricity sector with the national energy guarantee at a higher emissions reduction target of 45%, and also keep the current safeguards mechanism to reduce pollution in the industrial sectors. It is proposing to beef up the safeguards mechanism do drive more rapid emissions reduction.

If the Coalition declines to support the Neg, Labor will pursue plan B, which involves topping up the Clean Energy Finance Corporation to the tune of $10bn and a new $5bn fund to modernise ageing transmission infrastructure. The objective of the intervention is to drive higher take-up of renewables in the grid, and retire coal stations over time.

Labor is also proposing vehicle emissions standards “in line with” 105 grams of CO2 pollution per kilometre, which is the same as the US. The standard is imposed on car retailers (not manufacturers), which means car dealers will have to offset sales of high-emissions vehicles with sales of low-emissions vehicles. Coupled with this, Labor is setting targets for the take up of electric vehicles. It wants a national EV target of 50% of new sales by 2030, and a government fleet target of 50% of new sales by 2025, and it will also allow businesses to claim deductions if they buy EVs valued at more than $20,000.