Climate Change and Jobs

Climate change is one of the most pressing economic, social and environmental challenges we face, and Australians will be hit hard if we do not respond with urgent and decisive action to reduce pollution, improve energy efficiency and support the transition to a low carbon economy. Unions have been working hard at both national and international levels to develop real, workable and equitable solutions to this major problem.

A price on pollution
The introduction of a price on carbon pollution is fundamental for Australia to shift to a low pollution economy. A strong price on carbon is needed to provide a price signal to underpin the commercial viability of low pollution, renewable energy and energy efficient technologies.

Unions welcome the agreed process by the Government, Greens and independents to develop an effective pricing mechanism, beginning with a fixed price in 2012 and moving to a full-scale emissions trading scheme within three to five years. A price on pollution will help change the economic behaviour of Australia, which is the highest per capita producer of pollution in the world. The revenue will go towards supporting jobs and communities into the future.

A national pollution limit and a pollution price needs to be legislated in 2011, with commencement in 2012.
Around the world, action is being taken to respond to the challenge of climate change by reducing pollution and promoting clean energy sources. Worldwide investment in clean energy totaled $US162 billion in 2009, but only $US1 billion of this was in Australia. By 2020, it is projected that clean energy will be one of the world’s largest industries, totalling as much as $US2.3 trillion.

Australia needs to take prompt and decisive action to remain competitive and benefit from the global clean energy economy.

Moving to a low pollution economy
Unions are determined that adjusting to a low pollution economy must focus on support for emission-intensive and trade-exposed industries, measures to protect existing jobs, programs to attract investment in clean energy and production, and assistance to low income households.

Some industries and regional economies will be impacted more acutely than others. It is imperative that these communities are assisted to successfully adapt their industries and build new ones to ensure decent living standards, job opportunities and services continue to thrive in these areas.

We must start identifying and prioritising the green skills development, knowledge and work needed for a low pollution economy.

Through their involvement in the climate change consultation mechanisms, unions will ensure that Australian workers have a say in how the nation responds to climate change. That's why we say climate change is union business.

Australian unions have developed a framework for how a comprehensive industry policy for climate change should look.

New technologies, industries and investment
A price on pollution will require assistance to emissions intensive and trade exposed industries, but this assistance must be conditional and tied to investments in renewable and low carbon technologies. The ACTU calls upon government to develop policy and drive investment towards new and cleaner technologies, and new industries – to establish Australia as a global leader and to take advantage of economic opportunities.

Clean energy jobs
It is simply not true that the shift to a low pollution economy will result in job losses. Research commissioned by the ACTU and ACF demonstrates that Australia still has an unparalleled opportunity to create hundreds of thousands of ‘green collar’ jobs. Australia’s natural competitive advantage combined with our globally recognised skills and expertise can be harnessed to create real industry development and export opportunities.

Our 2010 joint report Creating Jobs – Cutting Pollution: The Roadmap for a Cleaner, Stronger Economy shows how, with the right policy drivers to cut pollution, an additional 770,000 jobs could be created across the Australian economy by 2030.

Southern Cross Climate Coalition
In 2008, the ACTU formed an alliance with the Climate Institute, Australian Conservation Foundation and Australian Council of Social Service. Known as the Southern Cross Climate Coalition, the alliance aims to advance a constructive and long-term agenda to unlock the substantial economic, social welfare and environmental opportunities that will emerge from Australia’s response to climate change.

The ACTU is also a member of the Say Yes coalition for action on climate change alongside leading organisations representing the environment, young people and social action. This is a non-partisan movement dedicated to giving a voice to the millions of Australians who support action on climate change through a price on pollution.

An estimated 45,000 of Australians gathered in venues around the country on 5 June (World Environment Day) to loudly say YES to a price on carbon pollution.

What’s next
In July 2011, the Government announced the full carbon price package with a starting price of $23 per tonne of emission. Unions were pleased the package addressed three key priorities of: