Energy Production
Issues
- Management of our resources.
- Management of the environmental, economic and social impacts of
using our resources.
- How to meet Greenhouse targets.
Summary of Final Report
The supply of energy underpins activity in all parts of
the economy. Inevitably energy production activities have
impacts on individuals, society, and the environment.
The level of greenhouse gas emissions and their potential
for global climate change has been a focus of the Working
Group. Other environ-mental issues have been waste
discharges to air, land and water, and a growing awareness
that sector activities can also impact adversely on
biodiversity.
Current community attitudes and patterns of energy
production and use are heavily influenced by energy prices.
The availability and cost of energy (particularly of
transport fuels) have contributed significantly to lifestyle
changes in modern western societies. However, with growing
consciousness of the pressure on the environment and the
need to achieve ESD, there is increasing acceptance that our
present lifestyles need to change again.
A fundamental goal for ESD is to ensure that
environmental and economic factors are integrated into
development decision making.
Within such a decision-making system, the first step
towards achieving ESD involves ensuring that enterprises use
resources efficiently; the second step requiYes embracing a
more comprehensive approach to impacts, both positive and
negative, on a range of social and environmental values
affecting economic diversity and quality of life.
In this context the Working Group has given particular
attention to:
- improving efficiency within the energy production and
distribution sector;
- reducing greenhouse gas emissions;
- improving marine area planning arrangements;
- improving environmental protection;
- improving and making better use of information
through research, development and demonstration, public
involvement, education and training; and
- instituting integration of decision making.
The Working Group approached its report with three
time-frames in mind: short-term - from now to 1995; the
medium term (around 2005) and the long term (around
2030).
The Group stresses that ESD is inevitably a continuing
process. (quantifying and evaluating the recommendations
will be important, so too will maintaining the momentum
generated to date, the consensus-seeking approach and the
effective communication between industry, governments,
conservation groups, unions and community groups.
Key recommendations:
Included are recommendations that:
- energy tariffs be structured to incorporate the
commercial cost of production and distribution;
- vigorous competition and innovation in the energy
supply sector be encouraged;
- the planned review of the operation of the National
Grid Management Council be conducted according to the
principles for an ESD energy production and distrihution
sector;
- governments should promote the commercial development
of the Australian gas sector consistent with ESD
principles;
- governments should examine models of least-cost
planning for puhlic electricity and gas utilities with a
view to implementing the model or models hest suited to
Australian circumstance;
- there should he incorporation of environmental,
social and health costs of pollution to land, air and
water resulting from energy production activities into
energy prices;
- Australia should continue to contrihute through its
own scientific research to the development of greater
certainty on climate change induced by emissions of
greenhouse gases, and the likely nature and scale of its
impacts in Australia.
International aspects:
As part of the development of Australia's international
negotiating position, the Commonwealth Government
should:
- undertake detailed analysis of the range of possible
international actions and their potential impacts on
Australia, including actions undertaken by both
Australia's trading partners and competitors;
- analyse the potential role for Australia in helping
to reduce international emission of greenhouse
gases;
- assess alternative ways of meeting greenhouse
emission targets, including technology transfer to
developing countries;
- identify advantages and opportunities for Australia
from reductions in emissions of greenhouse gases;
- continue and enhance the existing program for public
consultation.
Taxation & tradable emissions:
- governments to carry out a detailed review of the
relative merits and impacts of a carbon/energy tax and a
tradable emissions scheme, in order to identify the most
suitable instrument or combination of instruments for
Australia's particular circumstances, and the
implications for the energy sector and the rest of the
economy in the event of a decision to implement such
measures either nationally or internationally.
R, D&D:
- there should be an increase in government support for
research. development and demonstration (R, D&D).
especially for renewable energy technologies.
Source: ESD Newsbrief, No 5, December 1991
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