We are seeking your feedback on options to reform the Safeguard Mechanism to help industry reduce emissions in line with Australia’s climate targets.
The Safeguard Mechanism requires Australia’s largest industrial greenhouse gas emitters to keep their net emissions below an emissions limit (a baseline).
The Australian Government is proposing to gradually reduce baselines on a trajectory to reach net zero emissions by 2050, and to introduce crediting for facilities that perform better than their baseline.
The Australian Government is also proposing to provide tailored treatment to emissions-intensive, trade-exposed (EITE) facilities to help ensure businesses are not disadvantaged compared to international competitors and that emissions do not increase overseas.
Reforming the Safeguard Mechanism supports the Australian Government’s aim of reducing emissions in the industrial sector and strengthening Australia’s competitiveness in a decarbonising global economy.
Your views will help develop the detailed policy design of a reformed Safeguard Mechanism.
Have your say on our Consultation hub.
Submissions are open until 20 September 2022.
- Read about the Safeguard Mechanism
- Read about the Safeguard Mechanism from the Clean Energy Regulator