Australia sets target to cut emissions by up to 70% by 2035

Australia's government unveiled a new target to cut greenhouse gas emissions by 62 to 70 per cent by 2035, signaling a major step in the nation's climate policy. Prime Minister Anthony Albanese said the target is grounded in science and backed by a practical plan to capitalise on the economic opportunities of the energy transition. The pledge updates the country's 2030 goal of a 43 per cent reduction from 2005 levels and aims to keep Australia on a path toward net zero by 2050. Albanese spoke in Sydney ahead of a trip to New York for the United Nations General Assembly.

The plan will be financed with a roughly $7 billion package that includes a $2 billion expansion of the Clean Energy Finance Corporation and a new $5 billion Net Zero Fund to help large industries decarbonise and to accelerate the deployment of renewables. An extra $2 billion will be directed toward reducing power prices. Climate Change Minister Chris Bowen said the target would be ambitious but achievable, framing the shift to clean energy as the nation's biggest economic transformation since the Industrial Revolution that could create hundreds of thousands of jobs and attract new investment. Officials said the emissions reductions would come most prominently from transport, industry, and electricity sectors.

Under the Paris Agreement, signatories are required to submit stronger nationally determined contributions every five years. Nations must renew or tighten targets by the end of September. The Climate Change Authority had previously suggested that Australia could plausibly reach 65 to 75 per cent reductions by 2035. Authority chair Matt Kean said the plan positioned Australia as a global leader in climate action and reflected a careful assessment of national circumstances. Environmental groups, unions, and social services organisations welcomed a more ambitious target, while some business groups warned that aggressive reductions could threaten exports if not managed alongside energy security and affordable power.

Opposition critics argued that the cost of deep emissions cuts could burden households and businesses, and some coalition members have expressed concern about net-zero policies. The government stressed that the package would support affordable energy while accelerating a practical transition to renewables. The release comes after the first National Climate Risk Assessment warned of severe and potentially irreversible impacts from unchecked warming.

Albanese emphasised that meeting the target would not only comply with international obligations but also position Australia to capture opportunities in green manufacturing and job creation across towns and regions. He noted that the global shift to clean energy is a defining economic transformation and that Australia should use the transition to strengthen energy security and competitiveness.