House debates
Wednesday, 4 March 2026
Ministerial Statements
Annual Climate Change Statement
4:22 pm
Sarah Witty (Melbourne, Australian Labor Party) Share this | Hansard source
The Annual climate change statement 2025 is more than a legal requirement; it is an accountability document. It sets out in clear terms how Australia is tracking against our legislated climate targets, explains how our emissions are expected to change over time, outlines sector-by-sector progress and confirms that the Albanese Labor government is delivering the most serious climate action this country has ever undertaken. The statement shows that national emissions are lower than when we came to office. It shows that renewable electricity generation has reached record highs, the highest share ever recorded in Australia. It shows that coal fired generation continues to decline, large-scale solar and wind are expanding and storage is scaling to support a more reliable grid.
That progress is not accidental; it is the result of deliberate policy choices made by the Albanese Labor government. This government legislated a 43 per cent emissions reduction target by 2030. This government enshrined net zero by 2050 in law. This government strengthened the safeguard mechanism so that Australia's largest industrial emitters must reduce pollution year after year. This government created the Net Zero Economy Authority to ensure workers and communities are supported through the transition. This government is not stopping there.
For too long, climate policy in this country was marked by delay and division. Under the Albanese Labor government, it is marked by delivery. The statement confirms that renewable energy is now supplying a record share of Australia's electricity. That matters not just for emissions but for households because when renewable generation increases, wholesale electricity prices are pushed down. When we invest in storage and transmission, reliability strengthens. When we reduce exposure to volatile fossil fuel markets, we stabilise energy costs.
This is climate action aligned with cost-of-living relief, and in Melbourne that matters deeply. In Melbourne, most people live in apartments. Many rent. Many are deeply aware of both the climate challenge and the cost-of-living pressures they face. When wholesale prices fall because of record renewable generation, that benefits renters and apartment dwellers as much as anyone. When we strengthen energy efficiency standards and electrification policies, that reduces bills and improves comfort in older buildings. When we expand renewable supply through Renewable Energy Zones, we are building the generation and infrastructure that cities like Melbourne depend on. Renewable Energy Zones are transforming how Australia produces power, concentrating large-scale wind and solar in areas with strong resources, then delivering that clean electricity into urban demand centres. For Melbourne, that means ensuring that transmission upgrades, grid modernisations and storage investments keep pace so the clean energy being generated across the country flows efficiently into our homes and businesses.
The Albanese Labor government is delivering those structural reforms, and the statement makes clear that the trajectory is rising. Electric vehicle uptake is accelerating strongly. EVs now account for a growing share of new car sales in Australia. That shift has been supported by the introduction of national fuel efficiency standards, which send a clear signal to manufacturers and consumers alike that Australia is serious about transport decarbonisation.
In Melbourne, that shift is visible. Apartment buildings are installing charging infrastructure, rideshare fleets are electrifying and small businesses are transitioning delivery vehicles. Transport emissions are a significant part of our national profile. The Albanese Labor government's reforms are beginning to shift that trajectory, but the statement is also honest about the scale of the task ahead. It outlines the sectors where deeper reductions are required. It highlights the need to continue accelerating renewable development to expand storage, modernise distribution networks and electrify buildings and transport at scale.
In inner-city electorates like mine, those challenges have unique characteristics. How do we unlock rooftop solar for renters? How do we electrify high-rise apartment buildings built decades ago? How do we integrate community batteries into dense neighbourhoods? How do we scale EV charging in shared car parks and CBD precincts? These are the conversations my office has every week with residents, sustainability advocates and local businesses.
The people of Melbourne care deeply about climate action. They expect ambition. They expect integrity. And they expect their federal government to continue to lead on this transformative agenda. That is why the government continues to push for solutions that reflect dense-city realities—policy settings that work for renters, apartment dwellers and small businesses operating in high-density environments. Climate action must be inclusive. If it only works for detached homes, it is incomplete.
The statement also documents the climate impacts Australia is already experiencing: rising temperatures, more frequent extreme heat and changing weather patterns. In Melbourne, extreme heat is not imaginary. When I visit the Carlton Urgent Care Clinic, health professionals speak about the impact of heatwaves: breathing difficulties, dehydration, vulnerable older residents struggling in poorly insulated rented apartments. Climate policy intersects directly with health policy. When the Albanese Labor government strengthens building standards, invests in energy efficiency and speeds up electrification, we are not only cutting emissions but protecting public health. A well-insulated, electrified apartment is safer in a heatwave. A city powered by renewables has cleaner air. A grid strengthened by storage is more resilient.
The statement reinforces that climate action is economic reform. Clean energy investment is flowing into advanced manufacturing, battery technology, critical mineral processing and research. Melbourne is well positioned to benefit from that. Our universities are leading climate science and clean tech research. Our engineers and designers are building new systems. Our workforce is ready to participate in that clean energy economy.
Under the Albanese Labor government, Australia is no longer seen internationally as a straggler. We are credible. We are constructive in global climate forums. We are engaging with Indo-Pacific partners. We are contributing to international emissions reduction efforts. That credibility strengthens trade, investment and diplomatic relationships. The Annual Climate Change Statement 2025 confirms that the Albanese Labor government's approach is working—emissions are trending down; renewables are at record highs; electric vehicles are accelerating; targets are legislated; policy architecture is in place. The statement confirms that Australia's emissions are now significantly below 2025 levels and continuing to trend down. Electricity emissions, once the largest and fastest growing source, have fallen sharply as renewable generation has surged. At the end of 2025, renewable accounted for over 50 per cent of electricity in the national electricity market, the highest share ever recorded. This is proof that policies of this government are working. Large-scale wind and solar capacity continues to expand, with gigawatts of new projects committed or under construction. Rooftop solar alone now sits on more than three million Australian homes, one of the highest per capita rates in the world. Battery storage is scaling rapidly. Grid-scale batteries are coming online to firm renewable supply, while household battery uptake is increasing as costs fall.
But the work is not finished. We must continue expanding renewable generation, continue strengthening the grid, continue electrifying transport and buildings, continue supporting workers and communities through transition. Climate leadership is not abstract for my community. It's about whether a renter in Richmond can lower their power bill, whether a high-rise in Docklands can electrify affordably, whether a small business in South Yarra can rely on stable, clean energy and whether vulnerable residents are protected during extreme heat. The Albanese Labor government is building a clean energy transition that lowers emissions, strengthens the economy and delivers cost-of-living relief. The Annual Climate Change Statement 2025 shows that momentum. It shows a government getting on with the work, a government legislating, a government delivering and a government committed to seeing this transmission through. The climate challenge is generational. It requires consistency, persistence and integrity. This government has fronted up to the challenge, and we will continue to do so.
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