The Business Council of Australia (BCA) welcomes the opportunity to provide comment on the design of the Australian Government’s $5 billion Net Zero Fund.
Among the most important challenges and opportunities facing our nation is facilitating an orderly domestic transition to net zero — one that best serves our economy and our community. How we transition will have a strong bearing not only on our emissions levels, but on our productivity growth, our competitiveness as a nation and our living standards over the longer term.
The net zero transformation and fragmentation of the global economy mean that the resilience and competitiveness of Australian business — more than ever — is dependent on its ability to be flexible and adaptable to changing circumstances. This requires getting the fundamentals right to make Australia an attractive investment destination through reform of our tax system, easing the burden of regulation, a streamlined project approvals process, a high quality skills and education system, a well managed migration program, a streamlined foreign investment screening regime, and improvements to the workplace relations system.
The BCA recognises that governments have already made considerable funding commitments toward Australia’s transition to net zero, including but not limited to the Australian Government’s Powering Australia Plan and Future Made In Australia Agenda, and various jurisdictional government renewable energy funding initiatives.
A well designed $5 billion Net Zero Fund — drawing on National Reconstruction Fund’s existing $15 billion allocation — is an important part of the suite of existing funding commitments and associated policies.