2023-24 Budget – Energy and Climate Highlights

Published Wed 10 May 2023

It was fantastic to see the commitment by the Federal Government to driving Australia's climate action in the 2023-24 Budget announced yesterday. Here are the 2023-24 Budget Energy and Climate highlights.

 

Driving Australia's climate action 

 

National Net Zero Authority - $83.2 million

  • Support workers, coordinate programs and help investors


Powering the Regions Fund - $1.3 billion

  • Decarbonise trade-exposed industrial facilities covered by the Safeguard Mechanism
  • Support investments that reduce emissions at existing industrial facilities, or clean energy developments, in regional Australia


Capturing Australia's Emissions Reduction Data - $21.8 million

  • Maintain and enhance the capability of Australia's National Greenhouse Accounts to enable continued delivery of timely and high-quality emissions data, and track progress towards Australia's emission reduction targets


Reducing Transport Emissions - $5.2 million

  • Fund support for world-leading EV guidance, demonstrations, and training for first responders, inform the government on a range of research and planning to prepare for rapid EV uptake.


Implementing the Recommendations of the Independent Review of Australian Carbon Credit Units - $18.1 million 

  • Design, consult on and implement priority reforms to the Australian Carbon Credit Unit Scheme as recommended by the Independent Review of Australian Carbon Credit Units led by Professor Ian Chubb


Hydrogen Headstart Program - $2.0 billion

  • Support for large-scale renewable hydrogen projects through competitive hydrogen production contracts


Guarantee of Origin Scheme - $38.2 million

  • Certify renewable energy and track and verify emissions from clean energy products


National Climate Risk Assessment and Adaptation Plan - $28.0 million

  • Understand the risks to Australia from climate change and invest in a plan to adapt to those risks

 

Securing energy reliability and affordability 


Capacity Investment Scheme - NFP 

  • First stage of the Capacity Investment Scheme, a Commonwealth revenue underwriting scheme to accelerate investment in clean, dispatchable capacity
  • Once fully rolled out, the scheme will unlock around $10 billion of investment and 6 gigawatts of new dispatchable power


Energy Savings Plan - $1.6 billion 

Household Energy Upgrades Fund - $1.3 billion 

  • Support home upgrades that improve energy performance and save energy
  • The Clean Energy Finance Corporation will provide low-cost finance for home upgrades through concessional loans and mortgages in partnership with private financial institutions - $1.0 billion
  • Support for upgrades to social housing in collaboration with states and territories - $300.0 million
  • Expand and modernise the Greenhouse Energy Minimum Standards Act and the Nationwide House Energy Rating Scheme - $36.7 million

Small Business Energy Incentive - $310.0 million 

  • Provide businesses with annual turnover of less than $50 million, an additional 20 per cent deduction on spending that supports electrification and more efficient use of energy


Energy Bill Relief Fund - up to $3.0 billion 

  • Provide electricity bill relief to eligible households and small businesses to support those who need it most Relief will be provided through a rebate automatically deducted from electricity bills of around 5 million households and 1 million small businesses


Building a nature positive Australia 

Environment Protection Australia - $121.0 million

  • Independent and transparent environmental regulator
  • Faster and better decisions to reduce cost and improve certainty for projects proponents


Environment Information Australia - $51.5 million  

  • Up-to-date and reliable environmental data hub to support the Nature Positive Plan
  • Identify and address critical environmental data gaps on the state of Australia's environment


Implementing Nature Positive Plan - $34.0 million 

  • Strengthen and streamline environmental laws in response to the Samuel Review of the EPBC Act
  • Consult on National Environmental Standards


Nature Repair Market - $7.7 million

  • Set up a mark-et to assist landholders carry out activities that repair nature
  • Drive private sector investment into restoring and protecting nature


Next phase of Natural Heritage Trust funding - $439.2 million

  • On-ground activities to protect and restore World Heritage properties, restore Ramsar wetlands, and conserve threatened species and ecosystems


Urban Rivers and Catchments programs - $118.5 million

  • Deliver around 100 competitive grants to improve habitat, water quality and access to green space


Additional measures:

  • Protecting Australia's Iconic National Parks 
  • Flood Warning Infrastructure Network Remediation Securing the Future of Australia's Marine Science Future-proofing the Murray-Darling Basin 
  • Sydney Harbour Federation Trust - infrastructure improvements 
  • National Water Grid Fund - delivering commitments 
  • Water Market Reform - strengthening integrity and transparency 
  • Aviation Meteorological services charge 
  • Reform of the product stewardship for oil scheme 
  • National Water Reform - First Nations peoples' water ownership 
  • National Waste Education Campaign 
  • Waste Export Ban - delayed cost recovery
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