ARENA provides $2 million to help biggest industrial emitters green supply chains
The Australian Renewable Energy Agency will provide $2 million to ClimateWorks Australia for the next phase of the Australian Industry Energy Transitions Initiative, which is aims to support some of the country’s biggest companies to decarbonise.
The Australian Industry Energy Transitions Initiative is run by Monash University’s ClimateWorks, and not-for-profit Climate-KIC, in collaboration with the global Energy Transitions Commission. The aim of the initiative is to work together with key industry stakeholders from hard-to-abate sectors, exploring solutions to can help them reduce emissions across their supply chain.
The initiative involves some of Australia’s biggest companies from Rio Tinto to BHP, Woodside, BlueScope Steel, BP Australia, Fortescue Metals Group, Australian Gas Infrastructure Group, Wesfarmers Chemicals, Energy and Fertilisers, Aurecon, AustralianSuper, Cbus, National Australia Bank, Schneider Electric and HSBC.
Together, the participants account for approximately 21% of Australian industrial emissions.
Despite eyebrows already raising over ARENA’s funding of huge multi-national fossil fuel companies to decarbonise, the agency today pledged a further $2 million on top of the $300,000 it had previously awarded the initiative.
The scheme focuses on five supply chains: iron and steel, alumina and aluminium, liquefied natural gas, metals such as lithium, copper and nickel and chemicals including plastics, and fertilisers and explosives. These sectors together represent more than a quarter of Australia’s annual greenhouse gas emissions and approximately $160 billion in exports annually.
With the $2 million in funding, ClimateWorks and Climate-KIC now identify and model credible pathways for industry to transition to net zero emissions, supporting participating companies to implement pilot projects demonstrating these pathways. “The initiative will include rigorous technological and economic analysis of opportunities in each supply chain, and an analysis of systems capable of providing low-cost, reliable, net zero emissions energy. ARENA’s funding will go towards a program of works covering engagement, research, analysis and implementation,” ARENA’s media release read.
The initiative also includes Australia’s national science agency, the CSIRO, Rocky Mountain Institute and BloombergNEF as key knowledge partners.