The BCA welcomes the opportunity to respond to all five interim reports developed as part of the Productivity Commission’s Five Pillars of Productivity Inquiries. We are a member-led organisation, and our submissions reflect engagement with those members and the expertise and practical experience they bring.
We believe Australia should set a national ambition: to reduce the cost of regulation by 25 per cent by 2030.
This submission focuses on our response to the report Investing in cheaper, cleaner energy and the net zero transformation released for comment on 3 August 2025. We provide our detailed observations and recommendations in response to the draft recommendations and information requests. These are summarised below:
- BCA supports the PC’s approach to achieving the net zero goal at least cost. We note:
- Australia needs consistent and comprehensive incentives to reduce emissions.
- Government policy frameworks should aim to fill gaps, remove overlaps and ensure incentives are neutral towards which technologies can achieve reductions.
- The cost effectiveness of policies should be regularly assessed, and policy settings amended as needed to ensure they are consistent with an efficient emission reduction pathway(s).
However, what also requires the PC’s attention are the broader enablers to decarbonisation, such as the critical role of gas in electricity and industrial sector decarbonisation, and the critical role of Al/digital infrastructure in reducing emissions more generally across the economy.
- The BCA supports reforming the EPBC Act to deliver on the Samuel Review, which sought to balance improved environmental protection while also providing efficiency sought by business. This includes state accreditation and new National Environmental Standards that reduce duplication and streamline approvals while strengthening environmental protections. Any reform needs to ensure it improves efficiencies overall.
However, we do not support prioritising one project type over another, as all national priorities, including energy, housing, and critical minerals, require efficient approvals; instead, reform efforts should focus on adequately resourcing the system as a whole. - The Government will need to carefully balance the need to ensure Australia is ready for the impacts of climate change and the costs that will impose, with the cost of resilience measures. This will mean being judicious in the costs imposed on private individuals and business, and targeting government investment where it is most necessary.