A new report from Net Zero Australia confirms natural gas and carbon capture, utilisation and storage (CCUS) are essential to Australia’s net zero ambitions.
The Topical Report #1: Updated Net Zero Pathways for Australia highlights the scale of the decarbonisation challenge and the central role that gas and CCUS will continue to play in powering Australia’s economy, supporting industry, and cutting emissions through to 2050 and beyond.
The report underscores that renewables, electrification and natural gas are all needed to reach net zero and that CCUS has “an important role in all decarbonised futures.” The results also highlight the need for policies to support the scale up of CCUS to address emissions in hard-to-abate industry and to deliver carbon removals at scale.
Australian Energy Producers Chief Executive Samantha McCulloch said the report reaffirms that gas is critical for Australia’s net zero transition – both as a partner to renewables and as a long-term energy solution for industry.
“The findings make clear that continued investment in new gas supply is needed to meet Australia’s long-term energy demand while ensuring reliable, affordable energy,” Ms McCulloch said.
“Natural gas is powering industry, providing almost 40% of the energy used by Australian manufacturing to make things like steel, cement, bricks and glass.”
Ms McCulloch said Australia’s ambitious 2035 climate target will require all technologies, including CCUS, to be deployed at scale and backed by policies to encourage more investment.
“This study reaffirms the advice from the International Energy Agency, the Intergovernmental Panel on Climate Change and CSIRO that there is no pathway to net zero without CCUS.
“Australia has a comparative advantage in CCUS, with world class geology, industry experience, and strong links with regional trading partners looking to collaborate on CCUS.
“Our industry is ready to work with governments and other sectors to deliver climate goals while keeping energy secure and affordable for all Australians.”