National Strategy for Ecologically Sustainable Development

Prepared by the Ecologically Sustainable Development Steering Committee
Endorsed by the Council of Australian Governments
December, 1992
ISBN 0 644 27253 8

Energy Use, Energy Production and Transport
Part 2 Sectoral Issues - Chapter 8


To limit production of harmful emissions without reducing economic efficiency, improve the availability, efficiency and affordability of alternative energy sources, and improve the technical and economic efficiency of urban and non-urban transportation.

Strategic Approach

Measures which governments will adopt to encourage energy conservation and more efficient energy practices include adoption of appropriate market and regulatory measures, and the provision of better information. This section outlines governments priority actions, and a number of other key initiatives in this area. Given the significance of the energy use, energy production and transport sectors in terms of greenhouse gas emissions, they are addressed in more detail in the Compendium and the National Greenhouse Response Strategy.

Objective 8.1

  • to limit harmful emissions arising from energy production and distribution wherever economically efficient, and to promote alternative energy sources

Governments will:

  • promote improved third-party access to the electricity grid
  • where they are not connected to the national electricity grid, consider adopting access and competitive bidding protocols modelled on the National Grid Management Council's approach
  • ask their energy utilities to develop an integrated least-cost planning approach in energy sector planning, involving cost-effective demand management
  • require utilities to seek both supply-side and demand-side options through open competitive processes as part of a least-cost approach
  • through ANZMEC and ANZECC, commission a national investigation of issues affecting the incorporation of externalities in the energy sector, to better understand the full cost of energy service provision. This study will investigate national methodological issues involved in identifying and quantifying the externalities associated with particular energy technologies, and the economic, environmental and social impact of incorporating externalities into energy prices
  • facilitate energy cogeneration schemes
  • strengthen energy research, development & demonstration (RD& D), particularly on renewable energies and energy efficiency, including a flexible approach to industry support for pre- competitive RD& D
  • develop a national program to facilitate the use of renewable energy for stand-alone power supply systems for remote and rural areas. In the development of this program, consideration will be given to the option of meeting part of the cost (up to some ceiling) of installing renewable energy based stand-alone power supply systems
  • through ANZMEC, monitor and report annually on the impact of reforms of energy utilities on the viability of renewable energy systems on pipeline development issues
  • consider the scope and feasibility of adopting the principles and policies developed by the Victorian Renewable Energy Authority and Energy Education Centre to promote the efficient use of renewable energy

Objective 8.2

  • to improve the energy efficiency of residential buildings and domestic appliances; and to influence householders to become more economical in their use of energy, and to switch to energy sources with lower greenhouse gas emissions

Governments will:

  • develop and implement a national scheme for mandatory energy performance labelling of major domestic electric, gas and solar appliances
  • develop and implement nationwide minimum energy performance standards for major domestic appliances
  • encourage wider use of renewable energy sources, paying particular attention to removing barriers that discriminate against their use
  • through ANZMEC, and in consultation with other appropriate Ministerial Councils, develop and implement a consistent nationwide House Energy Rating Scheme
  • have regard to possible adverse gender implications of actions and programs in this area, and ensure new programs and policies do not place an unnecessary or extra burden on household managers

Objective 8.3

  • to influence industries and businesses to adopt behaviour, practices, technology and equipment that make them minimise their energy use; or lead them to switch to energy sources with lower greenhouse gas emissions

Governments will:

  • ensure that work on the development and implementation of energy performance standards for non- residential buildings is rapidly completed
  • develop and implement new energy labelling programs and energy performance standards for commercial and industrial equipment, where it is technically feasible to do so
  • through ANZMEC, investigate the scope to promote commercialisation of renewable and efficiency technologies

Objective 8.4

  • to improve the technical and economic efficiency of urban and non-urban transportation; encourage switching to alternative transport technologies or modes where this reduces greenhouse gas emissions per passenger or unit of freight and to optimise the modal mix of transport to achieve greater economic, environmental and social benefits

Governments will:

  • develop, in consultation with the motor vehicle industry, a fuel economy program for passenger vehicles and light commercial vehicles, including fuel consumption targets and the inclusion of fuel consumption information in labelling and advertising
  • improve the efficiency of urban public transport and the operation of road network and traffic management
  • adopt pricing and other demand management techniques to optimise the modal mix of transport with respect to economic, environmental and social benefits
  • in association with the automotive industry and community groups, conduct driver education programs to promote good driving practices and maintenance procedures to optimise fuel efficiency
  • take measures to reduce total fuel consumption and improve energy efficiency in government motor vehicle fleets, including:
  • reviewing options for further fleet management improvements, and for changes in vehicle fleet size and composition in the context of government service delivery requirements
  • revising vehicle selection and fleet management principles as soon as practicable
  • developing and implementing guidelines aimed at encouraging government employees using government vehicles to use modes of transport other than single occupant motor vehicles, including public transport and car pooling
  • support and promote the objectives of the National Bicycle Strategy
  • ensure close linkages are maintained with the corresponding strategy for urban and transport planning