The Australasian Centre for Corporate Responsibility​ (ACCR) is welcoming APPEA’s newly announced commitment to net zero emissions by 2050, as it implies the end of much of Australia’s oil and gas industry.

APPEA has updated its climate change policy principles for the first time since 2015, which includes its support for net zero emissions by 2050.

This comes one day after ACCR filed shareholder resolutions with two of APPEA’s largest members, Santos and Woodside.

Commenting on APPEA’s updated principles, Dan Gocher, Director of Climate & Environment at the Australasian Centre for Corporate Responsibility (ACCR) said:

“APPEA says it supports climate action, but refuses to acknowledge that Australia’s LNG industry has contributed the fastest growing emissions over the last decade.

“The sooner APPEA and its members acknowledge that the LNG industry simply cannot grow any further, the more chance Australia will have of meeting its Paris targets.

“While APPEA’s support for net zero emissions by 2050 is welcome, we’re not convinced APPEA understands what that means: the end of much of Australia’s oil and gas industry.

“APPEA continues to live in a dream world where it claims offsets and unproven technologies such as carbon, capture and storage (CCS) will solve the emissions problem.

“This is simply delusional.

“While referring to the IPCC’s Special Report on Global Warming of 1.5°C, it ignores the IPCC’s conclusion that in the absence of CCS, the share of primary energy provided by gas must decline by 20-25% by 2030, and by 53-74% by 2050 (relative to 2010). This implies the end of much of Australia’s oil and gas industry.

“Throughout the policy document, APPEA makes a number spurious claims, including:

  • Calling for the unlimited use of international offsets—because dodgy offsets are the cheapest way for its members to ‘reduce’ emissions;
  • Stating that developing countries need affordable energy—when gas is more expensive than almost all the alternatives;
  • Claiming that Australia’s LNG exports are displacing coal in Asia—when there is little evidence to suggest this is actually happening.

“But perhaps most brazenly, APPEA claims to have long supported climate policy in Australia, despite campaigning against the carbon price throughout 2012-14, and more recently campaigning against EPA guidelines in Western Australia in 2019.”

Background

APPEA’s 2015 policy principles compared to its 2021 policy principles:

Old Policy Principles (Dec 2015)New Policy Principles (Feb 2021)
1. International engagement is crucial
2. Climate change and energy policies must be integrated and harmonised
- Maintain competitiveness of LNG
3. Climate change adaptation strategies are necessary
4. Climate policy must not compromise national or global economic development or energy security		1. Net zero emissions by 2050 should be the goal of national and international policy
2. Climate policies should be efficient, enduring and integrated with economic, social, technology and energy policies
3. Australia’s international competitiveness should be enhanced
4. Universal access to affordable, reliable, sustainable and modern energy must be achieved

Catalysing change
for a secure future.

© Australasian Centre for Corporate Responsibility