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Net zero: economic opportunity or cost
In the leadup to the May election, both major political parties in Australia had committed to bringing Australia’s national greenhouse gas emissions down to net zero by 2050. However, they differed significantly in their messaging on whether the shift to net zero would be an overall benefit or cost to the economy.
Labor set an ambition for Australia to become a ‘renewable energy superpower’, an idea that posits Australia can benefit economically by using its abundant renewable energy to produce low-carbon industrial goods for the world. The Coalition tended to focus on the costs of the energy transition, but argued that its pre-election energy policy would ultimately be cheaper for consumers and taxpayers.
Australians are roughly split on whether achieving the net zero target would leave the economy better (38%) or worse off (36%). Almost one-quarter (23%) say the transition to net zero would ‘make no difference’ to Australia’s economy.
