Australian Government, 2008‑09 Budget
Budget

Chapter 4: Climate Change, Water and the Environment Priorities and New Initiatives

Climate Change

Australia's climate change strategy

The Australian Government has established the Department of Climate Change within the Prime Minister's portfolio to deliver Australia's climate change strategy at a cost of $59.0 million over four years. This funding is to establish a Department of State dedicated to developing and implementing the Government's climate change agenda and leading Government action on emissions trading, the renewable energy target, and an expanded role in international climate change negotiations.

The Rudd Government has delivered $2.3 billion in funding to tackle climate change through initiatives across government over the four years of this Budget and the Forward Estimates. A number of initiatives extend beyond the Forward Estimates.

The independent review being undertaken by one of Australia's most eminent economists, Professor Ross Garnaut, was commissioned in April 2007 by State and Territory First Ministers and Federal Labor, to examine the impacts of climate change on the Australian economy, and recommend medium to long-term policy options. The Department of Climate Change will be provided with $2.3 million over two years from this Budget to support the Garnaut Review. This Review will be an important contribution to the Australian Government's thinking on a range of climate change policy issues.

Reducing Australia's greenhouse gas emissions

The Australian Government is committed to a target of reducing emissions by 60 per cent of 2000 levels by 2050 and will set a medium-term target later this year. Chart 4.1 shows the existing projections of greenhouse gas emissions through the Kyoto period, which in the absence of actions to reduce emissions were projected to be 124 per cent of 1990 levels.

Chart 4.1 Australia's Greenhouse Gas Emissions to 2020

Chart 4.1 Australia's Greenhouse Gas Emissions to 2020

Source: 2007 Tracking to the Kyoto Target publication, February 2008, Department of Climate Change: www.climatechange.gov.au/projections

The Australian Government is committed to reducing emissions at least cost in an equitable way, and with greatest potential to drive new growth, create jobs and develop new industries.

The centre-piece of the Australian Government's climate change policy is the introduction of a 'cap-and-trade' emissions trading scheme in 2010. In the first stage of the scheme's establishment, funding of $31.6 million over four years has been provided to undertake comprehensive analysis in order to design the scheme in a way that maximises the benefit of this reform for Australia. This funding was allocated in the 2007‑08 Additional Estimates to the Department of Climate Change, the Treasury, the Australian Bureau of Statistics, the Department of the Prime Minister and Cabinet and the Department of Agriculture, Fisheries and Forestry.

In this Budget, an additional $37.3 million over four years will be provided to the Department of Climate Change to continue this work.

$37.3 million to Establish an Emissions Trading Scheme

The Australian Government will spend the additional $37.3 million over four years to develop an emissions trading scheme as the central response to reducing Australia's greenhouse gas emissions.

The scheme will be designed to place Australia on a path of low carbon emissions in a way that best manages the economic impacts of this transition, while assuring our ongoing prosperity.

Consultation with industry and non-government organisations is underway to provide input into the development of an emissions trading Green Paper, scheduled for release in July 2008. Following the release of the Green Paper, there will be further consultation with the community on the design of the emissions trading scheme.

The scheme will have maximal coverage of greenhouse gases and sectors, to the extent that this is practical.

The Government is committed to developing measures to assist households, particularly low income households, to adjust to the impact of carbon prices. The Government will also be addressing the impacts on emissions-intensive trade‑exposed industries and other industries strongly affected by a carbon price.

Recognising that emissions trading alone will not enable Australia to achieve its reduction goals, the Government will also invest in complementary measures to encourage research and development, increase the use of low emissions technologies and address market failures, such as in the area of energy efficiency.

The Australian Government is committed to bringing energy and water efficiency into the mainstream, providing Australians with cost-effective solutions to reduce their environmental footprint. The Government's policies are intended to help households, businesses and the energy services industry move beyond current barriers like high up-front costs and poor information, increasing access to the whole-of-life benefits of energy and water efficiency improvements.

Government leading by example

The Australian Government recognises that it has a capacity to significantly influence markets for low emission technologies through its considerable purchasing power. The Government is committed to lead by example with a range of initiatives, including encouraging its agencies in the Australian Capital Territory to source 10 per cent of their electricity use from renewable energy. Currently, around 50 agencies have signed up to this agreement. At its John Gorton Building, the Department of the Environment, Water, Heritage and the Arts is purchasing 100 per cent Green Power.

The Government has also established a whole-of-government taskforce to work on ways to reduce greenhouse gas emissions, waste, energy and water use in Government operations, as well as the sustainable use of Commonwealth land. Known as the Inter‑Departmental Committee on Government Leadership in Sustainability, the taskforce will report to the Prime Minister in June 2008, with an ongoing role in overseeing the implementation of Government action on sustainability.

The Department of Defence is allocating $8.0 million from its existing budget to progress a Combat Climate Change program to reduce energy consumption in its own operations. The program will increase awareness of energy efficiency and identify and implement energy, water and waste efficiency projects and initiatives.

Recognising that the solution to climate change will require involvement from the wider community, the Government is implementing a range of initiatives to assist households, schools and communities to take up the challenge of reducing their greenhouse gas emissions.

Sustainable homes

This Budget includes $300.0 million over the next five years to provide Green Loans for Australian households. Low interest green loans of up to $10,000 will be available to assist families to install solar, water, and energy efficient products. Households will also receive a Green Renovation Pack and a sustainability assessment, identifying potential energy and water actions, complete with estimated savings to household bills and the environmental benefits. It is expected that cost-effective greenhouse gas abatement will be delivered to up to 200,000 existing households.

In the 2007‑08 Additional Estimates3, the Government also invested $252.2 million over five years to encourage the domestic use of solar and heat pump hot water systems in eligible Australian homes under the Solar Hot Water Rebate program and a further $7.9 million over four years, from existing resources, to phase out inefficient hot water systems. This will help consumers save on their energy bills and help reduce the exposure of Australian families to energy price rises.

The Government is also investing $150.0 million in the Tackling Climate Change - Solar Homes and Communities Plan4 to encourage the installation of solar power systems. The Budget brings forward $25.6 million to increase the original allocation for the program in 2008‑09 to $56.6 million. This measure provides rebates of $8,000 per installation for 6,000 households in 2008‑09.  In addition, the Government is also ensuring that rebates get to the households that need them most through the introduction of a means test. Consistent with the Solar Hot Water Rebate, only households with an annual taxable income of less than $100,000 are eligible for the rebates. The installation of solar power systems will reduce power bills and cut greenhouse gas emissions.

An additional $150.0 million over five years will be provided in this Budget to the Tackling Climate Change - Low Emission Plan for Renters program. The program will provide rebates to accelerate the installation of insulation in up to 300,000 rental households, assisting landlords overcome the initial cost barrier and reduce the energy bills for Australian renters.

To make it easier to access these programs, the Government has committed new funding of $3.0 million over three years to set up a One Stop Green Shop which will link schools, businesses and families to all Commonwealth, state and territory, and local government household efficiency programs through a single, user friendly government web portal. This continues the Australian Government's commitment to engage Australian households on opportunities to reduce household greenhouse gas emissions.

This Budget allocates $14.0 million over four years to the Tackling Climate Change - Energy Efficiency of Electrical Appliances measure to help families identify the most energy efficient and cost effective appliances for their homes with a 10-star appliance rating system. This extends the current six-star Energy Rating Label to encourage industry to bring super-efficient products into the market place. The Government will extend the existing Minimum Energy Performance Standards program to harness cost-effective emissions reductions as well as energy efficiency opportunities.

Sustainable communities

Ensuring a sustainable future for Australia requires educating future generations and assisting communities to reduce their greenhouse gas emissions. The Government has committed more than $500.0 million for schools and communities to encourage them to reduce their impact on the environment, including through actions to reduce emissions.

The Government is supporting practical action in our schools to tackle climate change by providing grants of up to $50,000 for schools to install a wide variety of energy and water saving measures. Through the 2007‑08 Additional Estimates, the Government has allocated $480.6 million over eight years to ensure all our schools can become solar schools. Schools will benefit from reduced energy and water bills, and the initiative will play an important role in raising awareness of clean energy technologies in our communities.

Under the Tackling Climate Change - Solar Cities measure, $18.8 million was provided in the 2007‑08 Additional Estimates to develop new Solar Cities trials in Perth and Coburg. The information collected through these projects will help families better manage their energy use and save money, while creating opportunities for industry to develop and test innovative new sustainable energy options. Solar Cities will also demonstrate how new approaches to energy efficiency, such as solar power and smart meters, can combine to provide a sustainable energy future in urban Australia.

As part of the 2007‑08 Additional Estimates, the Government will invest $15.0 million over four years towards the establishment of Green Precincts, with $6.2 million over three years initially provided in new funding, and the remaining $8.8 million to be funded from the Water for the Future — National Water Security Plan for Cities and Towns. The measure will support the development of at least 10 high profile Green Precincts around Australia by investing in demonstration projects that ensure water and energy saving initiatives are in the public eye.

The Deception Bay community in Queensland will directly benefit from the Budget with a $0.3 million grant provided from existing resources to install solar heating panels on the Deception Bay Police Citizens Youth Club. These panels will provide water heating to the Deception Bay Pool and be a tangible demonstration to the community of what can be done without additional carbon emissions.

These household and community measures will be administered by the Department of the Environment, Water, Heritage and the Arts.

Clean businesses

The Budget provides a range of measures which focus on encouraging Australian businesses to reduce their impact on the environment, and in particular their greenhouse gas emissions. These new measures will not only demonstrate to Australian business the benefits of capturing efficiencies but will also reduce Australia's emissions and have a positive impact on our economy.

This Budget provides $260.0 million over four years to the Department of Innovation, Industry, Research and Science to establish a number of initiatives to assist Australian businesses to be more efficient in their operations.

One of these initiatives is the Tackling Climate Change - Clean Business Australia - Green Building Fund. The Government will invest $90.0 million to reduce greenhouse gas emissions and improve energy efficiency in existing buildings through refurbishment. Building performance will be optimised by updating lighting, heating, ventilation, and air conditioning systems. Applications for funding will be assessed on a competitive basis, with up to $200,000 per building available.

The Government will also assist Australian manufacturers to improve the efficiency of their production processes, reduce their environmental footprint and cut greenhouse emissions through the $75.0 million Tackling Climate Change - Clean Business Australia - Re-tooling for Climate Change program. Small and medium sized companies will be eligible for grants of between $10,000 and $500,000 for up to a third of the cost of each project. Applications for bigger grants or from large manufacturers will be considered. These grants will assist manufacturers undertake a range of actions, including cutting water usage, improving water recycling, capturing and re-using waste energy and improving energy efficiency.

The Government has also committed in this Budget to a Tackling Climate Change - Clean Business Australia - Climate Ready program which will provide $75.0 million over four years in grant funding to assist small and medium sized companies specialising in water recycling, waste recovery, and green building materials to develop their products. The program supports the research, development and early-stage commercialisation of clean, green technologies in Australia to save energy and water, reduce pollution, and use waste products in innovative ways.

As part of the $200.0 million over four years Enterprise Connect network, the Government is investing $20.0 million on a sector specific centre. The Tackling Climate Change - Clean Energy Innovation Centre will provide business improvement services to small and medium sized clean energy enterprises. The measure will assist small and medium sized clean energy companies to improve their performance by providing business advice, practical assistance, access to specialist equipment and better access to export support.

Clean energy for a sustainable future

The Australian Government understands that a carbon constrained future will require significant transformations in the way Australia uses energy. Not only will energy efficiency measures need to be more widely adopted, but in a future economy with a carbon price, it is evident that new clean energy technologies will play a far greater role in our energy supply.

To this end, the Government has committed to achieving a 20 per cent share of renewable energy in Australia's electricity supply by 2020. To deliver on this commitment, the Government is providing the Office of the Renewable Energy Regulator through the 2007‑08 Additional Estimates with $15.5 million over five years to administer the national Renewable Energy Target. The target will expand on the current Mandatory Renewable Energy Target scheme and roll in the existing and proposed State and Territory renewable energy targets. The measure will be phased out between 2020 and 2030, as Australia's emissions trading scheme matures.

The Department of Climate Change is playing a central role in the design of the national Renewable Energy Target measure and is working co-operatively with the states and territories to implement the national Renewable Energy Target under the Working Group on Climate Change and Water established through the Council of Australian Governments. The design work is to be completed in September 2008, and legislation put in place in 2009.

The national Renewable Energy Target will guarantee a market for renewable energy. The new target is for 45,000 gigawatt hours of renewable electricity in 2020. This will increase deployment of renewable electricity generation capacity particularly in regional areas, and reduce the intensity of greenhouse gas emissions from Australia's electricity sector. As the scale of deployment of renewable energy technologies increases, it is expected that the relative cost of these technologies would fall.

The Australian Government is taking a leadership role in carbon capture and storage technologies, renewable and other clean energy supply and energy saving technologies, through direct funding and in partnership with Australian industry. The Department of Resources, Energy and Tourism is being provided with almost $1.2 billion to support energy technologies.

Through the Tackling Climate Change - Energy Innovation Fund, the Government will invest $150.0 million over four years to focus on developing clean energy research and development capabilities in Australia. Of this, $100.0 million will be allocated for solar thermal and photovoltaic research and development, including the establishment of an Australian Solar Institute; and $50.0 million will be committed for research into clean energy technologies in areas such as energy efficiency, energy storage and hydrogen transport fuels.

The Government is investing $500.0 million over seven years in a Tackling Climate Change - National Clean Coal Fund to establish and support a coordinated national strategy aimed at bringing forward the commercial availability and deployment of technologies that will achieve large scale reductions in greenhouse gas emissions from future coal power generation in Australia. The Initiative will support the research programs, demonstration projects, and the provision of infrastructure and carbon dioxide storage sites that Australia will need to accelerate the development and deployment of these technologies.

In addition, the Government's Tackling Climate Change - Renewable Energy Fund provides $500.0 million over seven years to specifically expand and accelerate the development, commercialisation and deployment of a range of renewable technologies in Australia. Demonstration projects will take technology from the laboratory to the ground, helping to prove a project's viability on a technical and economic basis, attracting further investment to support renewable energy technology. The measure has the potential to develop a range of renewable energy technologies, with funding already pledged to support geothermal energy advancement through a $50.0 million Geothermal Drilling program.

Recognising that greenhouse gas emissions from transport contributes significantly to Australia's emissions profile, the Government is committing $500.0 million over five years from 2011‑12 to the Department of Innovation, Industry, Science and Research to establish a Tackling Climate Change - Green Car Innovation Fund. The Fund will encourage the Australian automotive industry to develop and manufacture low emissions cars and will assist Australia to meet the challenge of climate change while maintaining critical automotive industry jobs. The measure will generate $2.0 billion in investment with industry being asked to match the Government contribution on a three-to-one dollar basis.

Adapting to climate change we cannot avoid

Expert scientific evidence confirms that human activity is altering the climate and this will likely lead to impacts on rainfall, water availability, temperatures, bushfire frequency, health, heritage, and biodiversity for current and future generations.

Early and effective adaptation to potential climate change impacts can help minimise risks, generate economic benefits, and reduce the costs associated with the effects of climate change that are already occurring. This Budget provides $138.2 million over four years to gather data on the impacts of climate change on Australia and its unique environment and to begin the challenging process of adaptation.

Over recent years Australia has experienced one of the worst droughts on record. Predictions are that with climate change, droughts will be more frequent and of longer duration. Given that a large proportion of Australia's economy depends on the output of our primary industries, the Government recognises the importance of preparing these industries for the future impact of climate change.

Through this Budget, the Government has committed to help our farmers through the Tackling Climate Change - Australia's Farming Future initiative by providing $130.0 million over four years to deliver three major components: the Climate Change and Productivity Research program, the Climate Change Adaptation Partnerships program, and the Climate Change Adjustment program. Tackling Climate Change - Australia's Farming Future will improve the ability of primary producers to adapt and respond to climate change. It will deliver high quality research and development, technological solutions to address adaptation and mitigation challenges and assist primary producers to understand the commercial implications of climate change and facilitate adjustment. This measure will be administered by the Department of Agriculture, Fisheries and Forestry.

The Government has allocated $20.0 million over three years for the Australia's Forest Industry — Preparing for the Future initiative. Under this initiative, the Budget will provide $8.0 million to better prepare for climate change, including the development of a Forestry Adaptation Action Plan and assessment of capacity for forests to sequester carbon. The Forestry Adaptation Action Plan will address major knowledge gaps about the impacts of climate change on forestry, identify key impacts, vulnerabilities and research priorities; develop potential adaptation tools and strategies in collaboration with industry and ensure integration of climate change strategies.

In addition, the Government is providing $0.2 million for the Tackling Climate Change — climate change adaptation strategies for the Shire of Serpentine, Jarrahdale and the City of Mandurah (Peel-Kwinana Growth Corridor), Western Australia - contribution. This funding, which will be administered by the Department of Climate Change, will be used for the application of climate change adaptation strategies to existing policies in the Shire of Serpentine Jarrahdale and the City of Mandurah. This measure is a pilot project for other local government areas across Australia looking for ways to deal with the impacts of climate change.

Helping to shape a global solution

With the Government's ratification of the Kyoto Protocol, the international climate change agenda has dramatically increased. This Budget will boost the Government's ability to meet its international obligations as well as helping our Asia-Pacific neighbours adapt to the impacts of climate change.

As part of the $59.0 million funding to establish the Department of Climate Change the Government is supporting Australia's participation in Kyoto Protocol negotiations and the new 'Bali Roadmap' negotiations under the United Nations Framework Convention on Climate Change, launched in Bali in 2007.

In addition, the Government is investing $150.0 million over three years5 in the Tackling Climate Change - Adaptation to Climate Change Initiative to strengthen climate change adaptation, focussing on countries in Australia's region where communities are at significant risk from the impacts of climate change. This initiative will look at improving the information basis for appropriate climate change responses across the region as well as building the capacity of developing country partners to manage and implement practical adaptation activities. The Australian Agency for International Development (AusAID) will manage this initiative in consultation with the Department of Climate Change.

Water

The Government is committed to providing national leadership on water for both rural and urban Australians under the $12.9 billion Water for the Future measure. This includes $1.5 billion in new funding under this Budget.

Since coming to office, the Government has made significant progress in preparing for Australia's water challenges.

For the first time, the Government has directly purchased water in the Murray Darling Basin to return to the rivers as environmental flows. In addition, a historic and fundamental change to the way the Murray Darling Basin is managed has been agreed with the States.

The 2008‑09 Budget sets out a range of measures to continue delivering in the Government's four key areas of priority: taking action on climate change, using water wisely, securing supplies and healthy rivers.

This Budget also delivers the Government's commitment to bring forward investment in the Murray Darling Basin. This $400.0 million, including $15.2 million announced in the 2007‑08 Additional Estimates, will be used over 2007‑08 to 2009‑10 for water efficiency measures and buying water entitlements.

New arrangements for managing the Murray Darling Basin

Following the Memorandum of Understanding agreed by First Ministers on 26 March 2008, the functions of the existing Murray Darling Basin Commission will transfer to the soon to be established independent Murray Darling Basin Authority. This will be in addition to the other aspects of reform set out in the Water Act 2007, including water planning and regulatory functions.

The Murray Darling Basin Authority will develop the first Basin Plan by 2011, including the first ever sustainable cap on the amount of water taken from rivers and groundwater systems in the Basin. The Basin Plan will also identify Basin-wide environmental and water quality outcomes.

The Australian Competition and Consumer Commission will develop and regulate market and water charging rules for the Basin, to ensure a competitively neutral environment for water trading.

For the first time, the Basin Plan will also address the issue of providing water to meet critical human needs within the Basin.

Sustainable rural water use and infrastructure

Using water wisely is a key priority for the Government in both rural and urban Australia. Around 2,000 billion litres of water is lost each year in the Basin from inefficient storages and leaky channel systems. By upgrading outdated infrastructure, this water can be returned to the rivers and irrigators.

Subject to a due diligence study, the Government has committed up to $1.0 billion to Stage 2 of the Victorian Food Bowl project, expected to deliver around 100 billion litres for the River Murray and an equivalent volume of water to benefit irrigators and help them deal with the challenges of climate change.

Similar water efficiency projects from other Basin jurisdictions, including private irrigation companies, will also be considered in due course under the $5.8 billion over 10 years Sustainable Rural Water Use and Infrastructure program.

Before the Australian Government invests in priority projects in the Murray Darling Basin, those projects will need to demonstrate their ability to deliver value for money and achieve substantial and lasting returns of water to secure real improvements in river health. Projects must also be capable of contributing to a long term, sustainable future for regional economies and communities in the context of climate change and reduced water availability into the future.

Restoring the balance in the Murray Darling Basin

In February 2008, the Government commenced a water purchase program in the Murray Darling Basin. This program is the first direct purchase of water by an Australian Government and is a key measure in supporting healthy rivers. Water purchased by the Australian Government will be held by the newly established Commonwealth Environmental Water Holder and used to deliver the environmental priorities that will be set out in the new Basin Plan.

The $3.1 billion over 10 years Restoring the Balance in the Murray Darling Basin program will continue to purchase water in the Basin.

The Government is also delivering the election commitment to provide $50.0 million to improve environmental flows in the Snowy River.

Improving water information

The lack of public information about water in Australia, and the absence of particular standards over how it is reported, is an ongoing barrier to better management of the resource.

Under the Water Act 2007, the Bureau of Meteorology has been given new responsibilities to collect water information nationally and develop a set of national water accounts. The Government provides funding of $449.9 million over 10 years to achieve this important activity.

National urban water reform program

The Australian Government will help secure the water supplies of Australia's major cities, through a $1.0 billion investment in the Water for the Future — National Urban Water and Desalination Plan. This funding will be administered through the Department of the Environment, Water, Heritage and the Arts and the Australian Taxation Office and will generate investment in Australia's urban water infrastructure and support desalination projects, water recycling and major stormwater capturing projects nationwide.

Through the $254.8 million over five years Water for the Future — National Water Security Plan for Cities and Towns program the Australian Government is investing in new infrastructure and upgrades to older pipes and water systems, to increase the security of urban water supplies for all Australians. The Department of the Environment, Water, Heritage and the Arts will deliver this program.

The Government is supporting practical measures in homes throughout Australia to conserve our precious water resources. The Water for the Future — National Rainwater and Greywater Initiative, administered by the Department of the Environment, Water, Heritage and the Arts, provides $250.0 million over six years for rebates of up to $500 to help install rainwater tanks and new grey water facilities in up to 500,000 homes across Australia. Additionally, up to $10,000 will be available for 300 surf life saving clubs in Australia to install a rainwater tank, or to contribute towards a larger water saving project.

To help secure the water supplies of Australia's major cities, the Australian Government has allocated $35.0 million to the Water for the Future — Water Efficiency — Western Australia measure. This funding will contribute to the Harvey Water Piping Project in Western Australia, which will help irrigators minimise water loss through seepage and evaporation, saving 17 billion litres of water which will become available to Perth for urban use.

The Glenelg to Adelaide Parklands Reuse Scheme will free up approximately 2 billion litres per year of drinking water by using recycled water for parks and gardens. The Department of the Environment, Water, Heritage and the Arts has provided $30.2 million contribution, from the Water for the Future — National Urban Water and Desalination Plan to the Glenelg to Adelaide Parklands Reuse Scheme which will irrigate Adelaide's Parklands using recycled water from the Glenelg Wastewater Treatment Plant.

Through this Budget, the Australian Government is providing a $4.6 million contribution to support the development of a water recycling demonstration project at Coolum Ridges. The project will demonstrate a roof water harvesting scheme that treats roofwater and returns it to the town supply system.

The Government is also providing a $0.2 million contribution for the first stage of the Water Cycle Management Plan for the Peel Harvey Catchment Council. This measure builds on existing water quality activities and will aim to addresses the impact of anticipated population growth as a result of the proposed development of Mundijong Town site. Both of these measures will be delivered by the Department of the Environment, Water, Heritage and the Arts and form part of the Water for the Future — National Water Security Plan for Cities and Towns.

Supporting the region

The Australian Government recognises the importance of helping our Asia‑Pacific neighbours. This Budget provides funding for a range of measures to provide the region with resources to achieve sustainable development and meet environmental challenges. Through the Australian Agency for International Development (AusAID), the Government will invest $300.0 million over three years to provide access to water and sanitation in the Asia-Pacific region. This funding will improve access to clean water and effective sanitation in urban, peri-urban and rural areas and will protect freshwater sources to improve access to predictable supplies of safe drinking water in the region.

Environment

The Australian Government recognises the pressing need to protect Australia's unique natural environment and to improve the sustainable management of our natural resources. Through this Budget the Government is providing funding to safeguard our unique environment, biodiversity and primary industries.

Caring for our Country

The Australian Government's $2.2 billion Caring for our Country initiative6 has one clear goal: an environment that is healthy, better protected, well managed, resilient and provides essential ecosystem services in a changing climate.

The Caring for our Country program, jointly administered by the Department of the Environment, Water, Heritage and the Arts and the Department of Agriculture, Fisheries and Forestry, will implement commitments across six national priority areas: National Reserve System; biodiversity and natural icons; coastal environments and critical aquatic habitats; sustainable farm practices; natural resource management in remote and northern Australia; and community skills, knowledge and engagement.

The $200.0 million Great Barrier Reef Rescue Plan will help protect and preserve the Great Barrier Reef, through work to improve water quality and reduce the impacts of climate change in the Reef. This measure provides incentives and assistance to landholders and farmers to adopt cost—effective practices that improve reef water quality, by reducing pesticides, nutrients and sediment in farm and catchment runoff.

The Government is bringing together Indigenous knowledge and contemporary land management practices through the $50.0 million Expansion of Indigenous Protected Areas. This measure expands the existing Indigenous Protected Areas network by establishing protected areas on Indigenous owned lands with high biodiversity and cultural value.

The Government is also providing $90.0 million for the employment of up to an additional 300 Indigenous Rangers. This will create new jobs and training opportunities for Indigenous people across Australia, providing environmental services for land, sea and cultural management. This measure will be administered by the Department of the Environment, Water, Heritage and the Arts and will support Indigenous communities to sustainably manage the environmental values on their lands, conserving the natural and cultural features of Indigenous lands throughout Australia.

An additional $10.0 million over five years has been provided to facilitate Indigenous land management participation in voluntary emissions reduction markets and position them for entry into emerging trading markets. This will be jointly implemented by the Department of the Environment, Water, Heritage and the Arts and the Department of Climate Change.

The Save the Tasmanian Devil program is being provided $10.0 million for research into the Tasmanian devil facial tumour disease and to undertake the necessary management actions to save this vulnerable Australian species from extinction in the wild. This funding will also help establish an insurance population, help minimise the spread of the disease among Tasmanian Devils and engage the community in a suite of recovery actions.

Cane toads are a threat to many important biodiversity sites and the Government will provide $2.0 million to the Fight the Cane Toad Menace initiative. This funding will help provide information to Australians on how they can participate in reducing the numbers and impacts of cane toads, and improve local toad control measures. This initiative will also enable populations of affected species to be translocated to cane toad free refuges, and help develop management and eradication solutions.

The Government recognises the critical need to protect our costal environments and is providing more than $100.0 million to protect and repair fragile coastal ecosystems. This funding will increase community engagement, and support community groups and organisations to participate in on-the-ground action for coastal protection and restoration around Australia.

Additionally, $5.3 million will contribute to improving water quality in the Gippsland Lakes and reducing nutrient inputs into the Gippsland Lakes from public and private land through an incentive program for landholders. This Government initiative will also improve community engagement and the capacity of local community and industry groups to undertake ongoing nutrient and sediment reduction activities.

Caring for our Country includes up to $20.0 million to help restore the health of the Tuggerah Lakes on the NSW Central Coast. The funding will help to reduce sediment and nutrient inputs to the Lakes, improve the quality of stormwater inflows, reduce weed build-up on the foreshores, regenerate saltmarsh and rehabilitate the banks of the Lakes.

Protecting our special places and species

The Australian Government will provide $4.4 million in 2008—09 to ensure that Kakadu National Park's World Heritage values are maintained and managed. This funding will enable the park to maintain current investment in conservation, visitor facilities and park infrastructure, and to re-compensate Kakadu's traditional owners, following a loss of revenue from the Howard Government's abolition of the Park entry fees in 2004.

The Director of National Parks - extension, administered through the Department of the Environment, Water, Heritage and the Arts, will benefit regional Australia, in particular the Northern Territory economy, as Kakadu is estimated to generate direct annual tourism expenditure of over $100.0 million a year.

The Government provided $50.8 million in new funding in 2007—08 to support the Great Barrier Reef Marine Park Structural Adjustment Package. This funding, which was provided through the 2007‑08 Additional Estimates7, and is administered by the Department of the Environment, Water, Heritage and the Arts, will finalise applications from eligible fishing and land based businesses impacted by the increase in the size of the no take fishing area of the Great Barrier Reef Marine Park.

The Australian Government has also provided funding through the 2007‑08 Additional Estimates for the Anti-Whaling Action — aerial monitoring initiative to help progress Australia's international efforts to work towards an end to all forms of scientific and commercial whaling. In 2007‑08, $0.7 million was provided to the Department of the Environment, Water, Heritage and the Arts to undertake aerial monitoring and surveillance of whaling activity in the Southern Ocean, using the Australia — Antarctica Airlink A319 aircraft as part of efforts to reinvigorate Australia's pursuit of a permanent international ban on all forms of scientific and commercial whaling. The Australian Customs Service has also received $1.3 million in new funding in 2007—08 for Southern Ocean Whaling Patrols. This funding, which was allocated in the 2007‑08 Additional Estimates, enabled Australia to carry out surveillance and monitoring of whaling activity during the Southern Ocean whaling season.

The Australian Government is committed to protecting our environment from invasive plants and will provide $15.3 million over four years to the Department of Agriculture, Fisheries and Forestry to reduce the impact of weeds on farm and forestry productivity and biodiversity. The $15.0 million National Weeds and Productivity Research program will investigate and provide solutions for the most serious invasive plant problems across Australia. National experts, land managers and relevant stakeholders will come together to develop an improved understanding about the information required to effectively manage the risks associated with invasive plants in forests, pastures and native vegetation.

The Government will also invest $0.3 million in a comprehensive fireweed research project, involving a risk analysis and further testing of biological control agents that manage fireweed to help reduce its impact on grazing industries and biodiversity.

Research which provides more certainty about the status of species is critical to determining whether current management approaches are contributing to a sustainable future. To ensure important research can be undertaken, the Government is providing $4.4 million over three years to the Department of Agriculture, Fisheries and Forestry for the Fisheries Research program. This program will undertake research underpinning policies to ensure Commonwealth fisheries are profitable and managed for the long-term sustainability of the resources.

Through this Budget, the Australian Government is providing $18,000 to Bushcare in Penrith, a community based volunteer program dedicated to the care, management and rehabilitation of bushland on community and private land. This funding will be administered by the Department of the Environment, Water, Heritage and the Arts and will be used to purchase equipment to deliver regeneration and revegetation programs.

Supporting the region

Through the 2007‑08 Additional Estimates, the Australian Government provided $15.8 million over four years to assist Papua New Guinea manage the Kokoda Track and Owen Stanley Ranges, the site of one of the most famous battles in Australia's wartime history. This measure will support Papua New Guinea in its efforts to develop a World Heritage nomination for the Kokoda Track and surrounding Owen Stanley Ranges, to ensure the areas' significant cultural and natural heritage values are preserved and managed sustainably.

This measure will be jointly delivered by the Department of the Environment, Water, Heritage and the Arts, and the Department of Veterans Affairs. It will also fund the development of an interactive website, a television documentary, and educational resources including a CD Rom to enhance Australians' understanding of the cultural and historical significance of the Kokoda Track.

Meeting the sustainability challenge

The Government is committed to using resources more sustainably. In 2008‑09, the Department of Defence will invest $61.6 million from existing resources to continue a range of programs that benefit the environment.

The Defence Environmental Programs and Works includes a number of elements. The first element is a $12.0 million Green Buildings Implementation program which will implement Ecologically Sustainable Development principles and goals into the Department of Defence's built infrastructure and asset life cycle. A further $17.6 million will be provided for environmental works to manage feral animals, environmental pests, weeds, flora and fauna protection, soil conservation and environmental management plans. Under the Heritage Management program, $1.9 million will be allocated to contribute to the Defence Heritage strategy which involves implementation of heritage assessments and management plans. The Department of Defence will also invest in a $16.0 million Contaminated Sites Management and Pollution Prevention program. This program will contribute to the management of contaminated sites and the prevention of pollution. An additional $0.9 million will be provided for the Environmental Management System program to roll out the Defence Environmental Management System. Recognising the importance of environmental monitoring, $0.6 million in funding will be allocated to enable the continuation of environmental monitoring of ground and surface water, air quality, ecology, marine species, soil, erosion and greenhouse gas emissions. The final element of the Defence Environmental Programs and Works is $4.0 million for assessments and approvals which will support environmental impact assessments for infrastructure development and military exercises.

To support the Government's commitment to protect and repair our fragile coastal ecosystem, in the 2007‑08 Additional Estimates8, $2.4 million over seven years has been provided to contribute to the establishment of a national teaching and research Centre for Coasts and Climate at Point Nepean, Victoria, which will focus on environmental issues.


3 This measure was included in the Mid-year Economic and Fiscal Outlook 2007‑08.

4 Previously called the Photovoltaic Rebate Program.

5 $15.0 million absorbed within existing resources of the aid program.

6 From existing funding.

7 This measure was included in the Pre-election Economic and Fiscal Outlook 2007.

8 This measure was included in the Mid-year Economic and Fiscal Outlook 2007‑08.

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