CLIMATE PROTECTION BILL 2008

i Climate Protection Bill 2008

Contents

Part 1--Preliminary

Short title ............................................................................................ 1

Commencement .................................................................................. 1

External Territories ............................................................................. 1

Interpretation....................................................................................... 1

Objects of Act ..................................................................................... 3

Part 2--Mandatory target for reducing greenhouse gas

emissions

National Target for reducing greenhouse gas emissions .................... 5

National Strategy for Reductions in Greenhouse Gas

Emissions ............................................................................................ 5

Public consultation on the National Strategy ...................................... 7

Just Transitions Committee ............................................................... 8

Reporting ............................................................................................ 8

Part 3 Energy Efficiency

Nationally co-ordinated approach to energy efficiency...................... 9

Part 4 - GreenPowe r

Government agencies to purchase accredited renewable

energy ................................................................................................. 9

Part 5 Greenhouse impact state ments

Greenhouse Impact Statements......................................................... 10

Part 6Recycling

Part 7Miscellaneous

Schedules .......................................................................................... 11

Regulations ....................................................................................... 11

Schedule 1 - Ame ndment of the Environment Protection and

Biodiversity Conservation Act 1999

Climate Protection Bill 2008

A Bill for an Act to make provisions for dealing

with the threat posed by climate change

The Parliament of Australia enacts:

Part 1--Preliminary

1 Short title

This Act may be cited as the Climate Protection Bill 2008.

2 Commence ment

This Act commences on the day on which it receives the

Royal Assent.

3 External Territories

This Act extends to the external Territories.

4 Inte rpretation.

In this Act, unless the contrary intention appears:

climate change means a change of climate which is attributed

directly or indirectly to human activity that alters the

composition of the global atmosphere, and which is in

addition to natural climate variability observed over

comparable time periods.

Section 2

2 Climate Protection Bill 2008

climate system means the totality of the atmosphere,

hydrosphere, biosphere and geosphere and their interactions.

convention means the United Nations Framework

Convention on Climate Change adopted at New York on 9

May 1992.

eligible renewable energy source has the same meaning as in

section 17 of the Renewable Energy (Electricity) Act 2000.

greenhouse gasses means those gaseous constitutes of the

atmosphere, both natural and anthropogenic, that absorb and

re-emit infrared radiation, and include carbon dioxide (CO

methane (CH

), nitrous oxide (N

O), hydro fluorocarbons

(HFCs), perflurocarbons (PFCs) and sulphur hexafluoride

(SF

). For the purposes of this Act, the definition of

greenhouse gases does not include water vapour.

greenhouse gas emissions means emissions of greenhouse

gases measured in tonnes of carbon dioxide equivalents.

Kyoto Protocol means the Kyoto Protocol to the United

Nations Framework Convention on Climate Change, as

amended by any amendment to the Protocol that Australia

accepts.

Minister means the Minister for the Climate Change.

Montreal Protocol means the Montreal Protocol on

Substances that Deplete the Ozone Layer, adopted in

Montreal on 16 September 1997 and subsequently adjusted

and amended.

public transport means trains, ferries, buses, light rail and

taxis available for public use.

recycling means the inclusive process of collecting, sorting,

and reconstituting through remanufacturing in Australia,

materials that would otherwise become solid waste.

Section 2

Climate Protection Bill 2008 3

renewable energy means energy derived from an eligible

renewable energy source.

sectors include agriculture, mining, power, industry, and

transport including air transport.

sink means any process, activity or mechanism which

removes a greenhouse gas, or a precursor of a greenhouse

gas, from the atmosphere.

source means any process or activity which releases a

greenhouse gas, or a precursor of a greenhouse gas into the

atmosphere.

5 Objects of Act

(1) The Parliament, by passing this Act, acknowledges:

(a) that climate change represents a severe and immediate

threat to the environment in Australia and globally;

(b) that human activities in Australia and globally have

been substantially increasing the atmospheric

concentrations of greenhouse gases;

the natural greenhouse effect;

(d) that this has resulted in and will continue to result in

additional warming of the Earths surface;

(e) that this has and will continue to adversely effect

ecosystems and humankind;

(f) that, as at the date of assent to this Act, Australia has

among the highest per capita emissions of human

derived greenhouse gases in the developed world;

(g) that immediate and effective action is required, both in

Australia and globally, to substantially reduce

greenhouse gas emissions; and

(h) that recycling of waste material has a significant role to

play in reducing greenhouse gas emissions.

Section 2

4 Climate Protection Bill 2008

(2) The objects of this Act are to:

(a) ensure that Australia meets its obligations under the

Convention and the Kyoto Protocol;

(b) substantially reduce human derived greenhouse gas

emissions from Australia;

greenhouse gas emissions from Australia by at least

30% below 1990 levels by 2020 and by at least 80%

below 1990 levels by 2050 and to ensure Australia

meets this target;

(d) substantially increase the percentage of Australias

energy being sourced from renewable energy sources;

(e) assist with global efforts to stabilise and reduce human

derived greenhouse gas concentrations in the

atmosphere;

(f) assist developing countries to adjust to a carbon

constrained world and mitigate the impacts of climate

change;

(g) implement ecologically sustainable development. The

principles of ecologically sustainable development are:

(i) the precautionary principle--namely, that if there

are threats of serious or irreversible environmental

damage, lack of full scientific certainty should not

be used as a reason for postponing measures to

prevent environmental degradation;

(ii) inter-generational equity--namely, that the

present generation should ensure that the health,

diversity and productivity of the environment are

maintained or enhanced for the benefit of future

generations;

(iii) conservation of biological diversity and ecological

integrity--namely, that conservation of biological

diversity and ecological integrity should be a

fundamental consideration, and

Section 2

Climate Protection Bill 2008 5

(iv) improved valuation, pricing and incentive

mechanisms--namely, that environmental factors

should be included in the valuation of assets and

services, such as ,,polluter pays--that is, those who

generate pollution and waste should bear the cost of

containment, avoidance or abatement; and

(h) contribute to the conservation of materials used in the

manufacture of goods within Australia;

(i) assist with the avoidance of greenhouse gas emissions from

landfills; and

(j) facilitate the utilisation of the energy embodied in

manufactured goods through materials recycling.

Part 2--Mandatory target for reducing greenhouse

gas emissions

6 National Target for reducing greenhouse gas emissions

(1) It is the duty of the Prime Minister to ensure that emissions of

greenhouse gases from all sectors from Australia by the year

2020 do not exceed a level which is at least 30% below 1990

emissions levels.

(2) It is the duty of the Prime Minister to ensure that emissions of

greenhouse gases from all sectors from Australia by the year

2050 do not exceed a level which is at least 80% below the

1990 emissions levels.

7 National Strategy for Reductions in Greenhouse Gas Emissions

(1) The Prime Minister must, within 6 months of the

commencement of this Act, lay before Parliament a National

Strategy to achieve the reductions in greenhouse gas

emissions from Australia required to meet the National

Targets for 2020 and 2050 set out in section 5;

(2) The National Strategy must include:

Section 2

6 Climate Protection Bill 2008

(a) policies and actions intended to reduce Australias

greenhouse gas emissions;

(b) an analysis of the effectiveness of policies and actions

previously implemented with the intention of reducing

Australias greenhouse gas emissions

;

subsidies on Australian greenhouse gas emissions;

including tax deductions and subsidies for fossil fuel

production and consumption, car use, the aviation

industry, fuel excise arrangements, the Energy Grants

Credit Scheme, and fringe benefits tax allowances for

motor vehicles;

(d) a proposed scheme to phase out direct and indirect

subsidies that support fossil fuel production and

consumption (with appropriate measures to prevent

negative social impacts from subsidy removal, including

measures to support public transport);

(e) a proposed scheme to use public funds freed by subsidy

removal to support the development of renewable

energies and fuels, energy efficiency and demand side

management;

(f) a scheme for either or both of:

(i) taxation of greenhouse gas emissions (a carbon

tax);

(ii) trading of greenhouse gas emissions (an emissions

trading scheme);

(g) a scheme to substantially increase funding for research

and development for demand side management, energy

efficiency and renewable energy;

(h) a scheme to assist developing countries adjust to a

carbon constrained world and mitigate the impacts of

climate change;

(i) a scheme to facilitate research into increasing

agricultural soil carbon through biologically based

techniques;

Section 2

Climate Protection Bill 2008 7

(j) an assessment of any other steps that could be taken to

reduce Australias greenhouse gas emissions in

accordance with the principle that those responsible for

generating greenhouse gas emissions should make a

financial contribution to the cost of measures to reduce

such emissions (the pollute r pays principle); and

(k) a clear timeline for when the elements within the

National Strategy will be implemented;

(l) an evaluation of any shortfall of inflows into the Murray

Darling system that can be attributable to climate

change with a view to replacing that "climate change

component" from outside sources where climate change

has led to an increase in water supplies;

(m) that in any evaluation of the impacts of climate change

on the Murray Darling system, an independent study

into the potential impacts of mining on groundwater

systems in New South Wales, Victoria, Queensland and

South Australia are interconnected to surface water

systems be conducted.

(3) The schemes outlined in paragraphs 7 (2)(c) (d), (e) and (g)

must be fully implemented within 2 years of the date of

assent of this Act.

(4) Prior to implementation, any scheme referred to in

paragraphs 2(f) must be certified by an independent panel

consisting of 6 members, with at least 2 representatives from

environmental non-government organisations, and at least 2

members with expertise in economic instruments or market

based trading.

8 Public consultation on the National Strategy

(1) Before the National Strategy is laid before Parliament, the

Prime Minister must publish a notice:

(i) stating how copies of the draft National Strategy may be

obtained, and

Section 2

8 Climate Protection Bill 2008

(ii) inviting submissions to the Prime Minister on the draft

National Strategy, within 30 days.

(2) The notice must:

(i) be published in the Gazette, and

(ii) also be published, on at least 2 occasions, in a

newspaper circulating nationally.

(3) Submissions received must be appropriately considered.

9 Just Transitions Committee

(1) The Prime Minister must, within 3 months of the

commencement of this Act, establish a Just Transitions

Committee (including representatives from state

governments, communities directly dependent on

employment in coal mines, farmers, industry, unions and

non-governmental organisations).

(2) The role of the Just Transitions Committee will be to

consider and make recommendations in relation to a plan for

an equitable and fair transition for coal mining employees

and communities affected by Australias commitment to a

comprehensive greenhouse reduction program.

(3) The regulations may make provision for the just transitions

committee.

10 Reporting

(1) Commencing within 12 months of Royal Assent, the Prime

Minister must, by 31 March each year, table in each House of

Parliament, and advertise in a national newspaper, a report of

Australias greenhouse gas emissions over the previous year.

(2) The report referred to in subsection(1) must also quantify

greenhouse gas emissions resulting from or likely to result

from the use of fossil fuels which have been exported from

Australia over the previous year.

Section 2

Climate Protection Bill 2008 9

(3) Commencing within 12 months of Royal Assent, the Prime

Minister must, by 31 March each year, lay before Parliament,

and advertise in a national newspaper, a report on the

progress in implementing the National Strategy, and any

changes to the National Strategy that the Prime Minister

proposes to make.

Part 3 Energy Efficiency

11 Nationally co-ordinated approach to energy efficiency

(1) The Prime Minister must, within 6 months of the

commencement of this Act, implement a scheme for a

nationally co-ordinated approach to energy efficiency,

including mandatory energy efficiency standards for energy

generators and retailers, new homes, substantial renovations

of existing homes, commercial buildings, appliances,

vehicles, industrial machinery and equipment.

(2) The regulations may make provision for the scheme for a

nationally co-ordinated approach to energy efficiency.

Part 4 - GreenPower

12 Government agencies to purchase accredited rene wable energy

(1) All Agencies must establish a timeline to purchase electricity

with 100% renewable energy accredited under the National

GreenPower Accreditation Program.

(2) For the purpose of this Act, ,,Agency has the same meaning

as in Financial Management and Accountability Act 1997.

Section 2

10 Climate Protection Bill 2008

Part 5 Greenhouse impact statements

13 Greenhouse Impact State ments

(1) Before any Act, regulation or statutory instrument is made,

the responsible Minister must ensure that a Greenhouse

Impact Statement is prepared in connection with the

substantive matters to be dealt with by the Act, regulation or

statutory instrument.

(2) The Greenhouse Impact Statement must contain an

assessment of the impact of the proposed Act, regulation or

statutory instrument on greenhouse gas emissions from

Australia and globally.

(3) Before an Act, regulation or statutory instrument is made, the

responsible Minister must ensure that:

(a) as far as is reasonably practicable, a notice is published

in the Gazette advising where a copy of the Greenhouse

Impact Statement may be obtained or inspected, and

inviting comments and submissions within a specified

time, but not less than 21 days from publication of the

notice;

(b) as far as is reasonably practicable, a copy of the

Greenhouse Impact Statement is made available on the

relevant Department website inviting comments and

submissions within a specified time, but not less than 21

days from publication of the Greenhouse Impact

Statement on the Department website; and

(4) The Minister must, by 31 March each year, prepare an annual

Greenhouse Report which summarises the impact that Acts,

regulations and statutory instruments made, in the previous

year, had on greenhouse gas emissions from Australia and

globally.

Section 2

Climate Protection Bill 2008 11

Part 6Recycling

For a company involved in the collection, sorting, processing

and remanufacture of recycled goods, the audited carbon

abatement value of that recycling activity chain, including

emissions avoided from landfill, should be credited against

that companys emissions liability under any Carbon

Pollution Reduction Scheme (CPRS).

Part 7Miscellaneous

14 Schedules

Each Act that is specified in a Schedule to this Act is

amended or repealed as set out in the applicable items in the

Schedule concerned, and any other item in a Schedule to this

Act has effect according to its terms.

15 Regulations

The Governor-General may make regulations prescribing

matters:

(a) required or permitted by this Act to be prescribed; or

(b) necessary or convenient to be prescribed for carrying

out or giving effect to this Act.

Section 2

12 Climate Protection Bill 2008

Schedule 1 - Amendment of the Environment

Protection and Biodiversity

Conservation Act 1999

1 After paragraph 3(i)(e)

Insert:

(ae) to reduce greenhouse gas emissions from Australia

and to assist with global efforts to stabilise and

reduce human derived greenhouse gas

concentrations in the atmosphere;

2 After subparagraph 3(2)(e)(i)

Insert:

(ia) ensure that projects having an adverse impact on

the climate system are assessed and approved by

the Commonwealth; and

3 After paragraph 3A(a)

Insert:

(aa) decision-making processes should consider and

where possible minimise the adverse impact of

climate change on the environment;

4 After section 22A

Insert:

22B Offences relating to nuclear powe r reactors

(1) A person is guilty of an offence if the person constructs or

expands a nuclear power reactor.

(2) An offence against subsection (1) is punishable on conviction

by imprisonment for a term not more than 30 years, a fine of

not more than 20,000 penalty units, or both.

Section 2

Climate Protection Bill 2008 13

Note 1: Subsection 4B(3) of the Crimes Act 1914 lets a court fine a

body corporate up to 5 times the maximum amount the court could

fine a person under this subsection

Note 2: An executive officer of a body corporate convicted of an

offence against this section may also be guilty of an offence against

section 495.

5 After Subdivision E of Division 1 of Part 3

Insert:

Subdivision EA

Protection of the environment from

greenhouse gas emissions

22C Prohibition of logging in old growth forests

(1) A person is guilty of an offence if the person conducts

logging activities in any forest that is ecologically mature

and/or where the upper stratum or overstorey is in the late

mature growth phase.

Note: Chapter 2 of the Criminal Code sets out the general principles of criminal

responsibility.

(2) An offence against subsection (1) is punishable on conviction

by imprisonment for a term not more than 7 years, a fine of

not more than 420 penalty units, or both.

Note : Subsection 4B(3) of the Crimes Act 1914 lets a court fine a body corporate

up to 5 times the maximum amount the court could fine a person

under this subsection.

6 Section 528

Insert:

adverse effects of climate change means changes in the

physical environment or biota resulting from climate change

which have significant deleterious effects on the composition,

resilience or productivity of natural and managed ecosystems

or on the operation of socio-economic systems or on human

health and welfare.

7 Section 528

Section 2

14 Climate Protection Bill 2008

Insert:

climate change means a change of climate which is attributed

directly or indirectly to human activity that alters the

composition of the global atmosphere and which is in

addition to natural climate variability observed over

comparable time periods.

8 Section 528

Insert:

climate system means the totality of the atmosphere,

hydrosphere, biosphere and geosphere and their interactions.

9 Section 528

Insert:

greenhouse gases means those gaseous constitutes of the

atmosphere, both natural and anthropogenic, that absorb and

reemit infrared radiation, and include carbon dioxide (CO2),

methane (CH4), nitrous oxide (N2O), hydro fluorocarbons

(HFCs), perflurocarbons (PFCs) and sulphur hexafluoride

(SF6). For the purposes of this Act, the definition of

greenhouse gases does not include water vapour.

Section 2

16 Climate Protection Bill 2008

Schedule 2 Amendment of the Renewable Energy

(Electricity) Act 2000

1 Section 4

Omit:

"However, no certificates can be created, and no liability

arises, in respect of electricity generated on or after 1 January

2021."

2 After section 39

Insert:

(1) The Minister shall cause a review of the renewable power

percentage to be conducted in 2010 and in 2015.

(2) The review must be conducted by a panel consisting of

8 members, with at least 2 representatives from

environmental non-government organisations, at least 2

members nominated by the Office of the Renewable Energy

Regulator; and 2 academics with expertise in renewable

energy.

(3) The renewable power percentage may only be amended if the

amendment will result in an increase in the renewable power

percentage.

3 Section 40

Repeal the section, substitute

40 Renewable power percentage from 2020 to 2050

(1) Regulations must specify a renewable power percentage from

2020 to 2050.

Section 2

Climate Protection Bill 2008 17

(2) The renewable power percentage must be set so that, by

2050, 80% of all electricity consumed in Australia is sourced

from eligible renewable sources.

4 After section 43

Insert:

43A Use of rene wable energy shortfall charge

It is the wish of the Parliament that any renewable energy

shortfall charge payable to the Crown under this Part be used

for the encouragement and funding of renewable energy

projects.

Commonwealth of Australia Bills

CLIMATE PROTECTION BILL 2008