‘Absolutely perverse’: climate scheme could reward Australian coalmines while emissions rise

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‘Absolutely perverse’: climate scheme could reward Australian coalmines while emissions rise
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Exclusive: Analysis says under Labor’s revamped safeguard mechanism some coalmines could more than double their emissions and still benefit financially

Ten coalmines could increase their greenhouse gas pollution until 2030 while being financially rewarded under an Albanese government climate policy that is meant to cut industrial emissions, according to a new analysis.– the government’s main policy to deal with major polluters – has prompted calls for changes to deal with this “perverse outcome” and require every coalmine to take additional steps to cut emissions.

Coalmines have proved challenging to fit within this model. The emissions intensity – how much pollution is released per tonne of coal mined – varies markedly, with underground mines usually releasing more than open cut mines. The owners of those mines could receive a financial benefit without taking measures to cut pollution as they would be issued “safeguard credits” if they emitted less than their baseline. Credits can be sold to businesses that failed to keep their emissions below their baseline to offset their additional pollution.

“We have delayed action on the climate emergency so long already that no one single policy mechanism can take all the action that we need to take.”

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