The Federal Budget for 2024-25 announced yesterday presents a mixed bag for the environment and climate.
Here’s our quick summary of some of the highlights and lowlights:
The Land Sector
$519 million over eight years from the Future Drought Fund will help farmers and rural communities manage climate change impacts and prepare for future droughts. The summer of drought we’ve seen over here on the West Coast really brings home how critical climate-resilience will be into the future, so we welcome this measure.
An additional $63.8 million over ten years (and $0.9 million per year ongoing) was announced to support initial emission reduction efforts in the agriculture and land sectors as part of Australia’s transition to net zero by 2050. With the farming industry under increasing pressure to decarbonise, this funding is vital.
Environment and Biodiversity
$364.5 million over six years was announced to continue implementation of environmental reforms, streamline environmental approvals, and deliver the Government’s circular economy functions. We’d love to see this money being used to reform our EPBC Act to provide more protection for Australia’s natural capital.
The Government committed a measly $1.9 million over four years to improve on-ground environmental and biodiversity outcomes. This is just 0.03% of the funding allocated to fuel tax credits. Imagine if just 10% of the tax relief the Government provides to industry to continue polluting was diverted into protecting and restoring our precious threatened ecosystems and species!
Environmental markets
$48m over four years was allocated to improve the Australian Carbon Credit Unit (ACCU) Scheme, as part of the Government’s response to the Chubb Review. This funding will support the establishment of the Carbon Abatement Integrity Committee to oversee the new proponent-led method development process and strengthen integrity, provide enhanced transparency measures, and support First Nations participation. We’re big supporters of measures to improve the integrity and function of our industry so this is a win!
$449 million will allow the Australian Government to partner with the United States in the Landsat Next satellite program, providing access to critical data to monitor the earth’s climate, agricultural production, and natural disasters. You can’t manage what you don’t measure so we’re pretty happy with this one.
The Government is providing $40.9 million over two years to continue implementation of the Nature Positive Plan and establishing the Nature Repair Market. We’re watching this space with excitement. Public sector investment in nature is not enough to reverse declining trends, so we desperately need mechanisms to bring the private sector on board.
More action needed
A $20 billion package to fund Australia’s green manufacturing businesses though its Future Made in Australia program was overshadowed by the $44bn committed to fuel tax credits over the next four years.
Landholders are doing their part to reduce emissions and sequester carbon, but stronger action needs to be taken to reduce these harmful fossil fuel subsidies if Australia is to meet its climate targets.
We’d like to see much more support for on-ground protection of nature, with a focus on threatened ecological communities and species. We’re hopeful that the emerging Nature Repair Market will direct significant investment in this area.
Ready to find out more?
Explore our range of educational resources in our Carbon Farming Education Hub where we frequently publish educational articles, webinars, and guidebooks.
When you’re ready to explore the feasibility of undertaking a carbon project on your property, email us at hello@carbonfarming.org.au or give us a bell at (08) 6835 1140 to be connected with one of our project facilitators.
