Australian Government, 2008‑09 Budget
Budget

Chapter 1: Budget Highlights

The Australian Government investment in climate change, water and the environment since the 2007‑08 Budget is $3.8 billion over the four years of the Budget (see Table 1.1 and 1.2 and Chart 1.1 and 1.2). A number of initiatives extend beyond the Forward Estimates.

Climate Change

The Australian Government's climate change strategy is built on three priorities: reducing Australia's greenhouse gas emissions; adapting to the impacts of climate change that we cannot avoid; and helping to shape a global solution.

The Australian Government has developed a comprehensive and strategic climate change response that will underpin Australia's future prosperity and sustainability. The Australian Government has delivered $2.3 billion in funding for climate change related initiatives across government over the four years of the Budget and Forward Estimates. A number of initiatives extend beyond the Forward Estimates.

Through this Budget, the Government has provided $59.0 million1 over four years to the new Department of Climate Change to develop and implement the Australian Government's domestic and international climate change strategy. This includes $37.3 million over four years in funding for the central element of the strategy — the design and implementation of an emissions trading scheme. It also includes funding to support Australia's participation as a full negotiating partner in all key international climate change forums.

The 2008‑09 Budget includes $467.0 million over five years for the Department of the Environment, Water, Heritage and the Arts to assist households and communities to take practical action to improve energy and water efficiency and reduce their environmental footprint. This brings total support for households and communities to $1.0 billion.

To assist businesses reduce their greenhouse gas emissions, $260.0 million will be invested in Clean Business Australia and the Clean Energy Innovation Centre, through the Department of Innovation, Industry, Science and Research. A further $1.7 billion will be invested through the Department of Resources, Energy and Tourism and the Department of Innovation, Industry, Science and Resources to deliver initiatives to promote clean energy for a sustainable future.

Water

The Government understands that climate change means that we need to manage our water supplies better.

Through Water for the Future the Government is taking a national leadership role and is focusing on four water priorities — taking action on climate change; using water wisely; securing water supplies; and healthy rivers and waterways. Water for the Future will provide rural and urban Australians with solutions to address this complex problem.

An important part of this plan is the $400.0 million that has been brought forward over the period 2007‑08 to 2009‑10 to address over-allocation and improve water efficiency in the Murray Darling Basin. This includes $15.2 million in funding from the 2007‑08 Additional Estimates.

Through this Budget, the Government is also investing more than $1.5 billion in the development of new water supplies for our cities and towns to secure our water needs into the future.

The Water for the Future — National Urban Water and Desalination Plan will help cities to diversify their water supplies through desalination, recycling and stormwater harvesting — new sources of urban water supplies that are less dependent on the climate.

This is complemented by $254.8 million in new funding to increase the security of water supplies in smaller cities and towns through the Water for the Future — National Water Security Plan for Cities and Towns. This initiative will fund new projects and upgrades to existing infrastructure.

The Government will also help Australians to take practical action in their own homes with the $250.0 million Water for the Future — National Rainwater and Greywater Initiative. Eligible householders will be able to receive rebates of up to $500 for the purchase and installation of rainwater tanks and greywater products.

This brings total expenditure on water reform in Australia, through Water for the Future, to $12.9 billion over 10 years.

Environment

The Government recognises that protection of the environment is a critical foundation for a prosperous economy. The climate change and water measures outlined above form part of the Government's commitment to work towards genuine sustainability across the economy.

This Budget provides new funding of $303.1 million over four years to meet this commitment, through a number of programs across portfolios.

Through the 2008‑09 Budget, the Government is advancing its new $2.2 billion Caring for our Country initiative to deliver an environment that is healthy, better protected, well managed, resilient and provides essential ecosystem services in a changing climate. Caring for our Country will deliver a new accountability to environmental management, with progress measured against tangible, identified outcomes.

Funding includes a $200.0 million rescue package for the Great Barrier Reef, $180.0 million to boost the National Reserve System, $10.0 million to save the Tasmanian Devil, $2.0 million to tackle the cane toad menace and $90.0 million for Indigenous rangers.

Table 1.1 2008‑09 Budget climate change, water and environment expenditure

Table 1.1 2008-09 Budget climate change, water and environment expenditure

- Denotes nil

Chart 1.1 2008‑09 Budget climate change, water and environment expenditure
(total new funding of $3.8 billion over four years)

Chart 1.1 2008-09 Budget climate change, water and environment expenditure (total new funding of $3.8 billion over four years)

Note: Represents new funding provided in the 2008‑09 Budget for the period 2007‑08 to 2011‑12 across all Government Departments. This chart does not reflect Ministerial responsibilities.

Chart 1.2 2008‑09 Budget major portfolio contributions to climate change,
water and environment expenditure
(total $3.4 billion over five years)

Chart 1.2 2008-09 Budget major portfolio contributions to climate change, water and environment expenditure (total $3.4 billion over five years)

Note: Represents total funding provided from 2008‑09 Budget for the period 2007‑08 to 2011‑12. Does not include new funding of $0.4 billion allocated through 2007‑08 Additional Estimates.

Table 1.2 2008‑09 Budget major portfolio contributions to climate change,
water and environmental expenditure

Table 1.2 2008-09 Budget major portfolio contributions to climate change, water and environmental expenditure

- Denotes nil

* Unprofiled funds are only included in the total figures.


1 This figure includes $37.3 million in funding for the establishment of an emissions trading scheme and $21.7 million for other Departmental funding.

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