Abatement and levelised cost Group Abatement opportunities Abatement description Uptake rate type Source abated (segment) Program Abatement Type Levelised cost of abatement in 2030 ($/t CO2-e) Annual abatement in 2030 - sectors (‘000 t CO2-e) Cumulative abatement potential by 2030 - AGEIS sectors (Mt CO2-e) 1. Built environment - Integrated low carbon buildings Commercial new builds Improved electricity consumption in commercial new builds due to improved building design (for example passive heating and cooling, better insulation, more efficient base building energy consumption). Linear 2016 to 2030 Electricity National Energy Productivity Plan Energy productivity -49.24 1186 6.6 Commercial retrofits Improved electricity consumption in commercial full building retrofits due to improved building design (for example passive heating and cooling, better insulation, more efficient base building energy consumption). Linear 2016 to 2030 Electricity National Energy Productivity Plan Energy productivity -49.24 1322 7.4 Solar PV (distributed - residential) Differential between the projections included in the Department’s baseline, and the AEMO high PV projection with allowance made for WA. Linear 2016 to 2025 Electricity Technology improvements Renewable energy -48.74 3084 25.4 Residential new builds Differential between standard residential design and 8 star efficiency residential new builds. Sigmoid 2021 to 2030 Electricity National Energy Productivity Plan Energy productivity -49.24 3320 15.2
Solar PV (distributed - commercial) Differential between the projections included in the Department’s baseline, and the AEMO high solar PV projection with allowance made for WA. Linear 2016 to 2025 Electricity Technology improvements Renewable energy -48.62 1373 11.3 2. Low Carbon Precincts and Smart Urban Design Integrated transport system design Abatement based on work undertaken by the Low Carbon Living CRC Linear 2016 to 2030 Transport Technology improvements Energy productivity -328.84 1846 10.2 Precinct scale designs for new developments Abatement based on work undertaken by the Low Carbon Living CRC Linear 2016 to 2030 Electricity Technology improvements Energy productivity -49.24 2920 16.3 3. Digital infrastructure displacing the need for transport fuel Smart hubs / teleworking Abatement based on work undertaken by the Low Carbon Living CRC Linear 2016 to 2030 Transport Technology improvements Energy productivity -49.24 410 2.3 Intelligent traveller information systems Automated traveller information systems on road conditions and environmentally friendly driving. Includes eco-cruise control and Linear 2026 to 2030 Transport Technology improvements Energy productivity -304.24 1857 5.6 4. Intelligent industrial and building management systems Advanced building management systems - Commercial Improved management of energy data in the built environment. Time of use data monitoring with alerts/ automated options for reducing energy. Future automation of energy reduction activities. Linear 2016 to 2030 Electricity Technology improvements Energy productivity -52.81 2177 12.1 Advanced energy management systems - industrial and mining Improved management and monitoring of electricity data in the mining/ resources and manufacturing sectors. Linear 2016 to 2030 Electricity Technology improvements Energy productivity -55.61 1470 8.2
optimisation - gasoline savings savings across the Transport, Mining, and Commercial Building sectors. Autonomous mining Control and management of a system technology so that its operation can occur without direct human involvement. Technologies to be implemented include: Driverless trucks, optimised underground ventilation, more accurate targeting of ore bodies, more accurate drilling, improved communication between processes, mobile equipment monitoring Sigmoid 2021 to 2030 Direct combustion Technology improvements Energy productivity -155.57 281 2.0 Passenger transport - data management improvements vehicles efficiency gains through better data management and associated driver behaviour improvements. Focus on fuel savings through training programs and access to data. Linear 2016 to 2030 Transport National Vehicle Productivity Plan Energy productivity -328.93 296 1.6 Fleet management systems Improvement in road freight fuel efficiency through better use of data and telemetry systems resulting in improved planning, load optimisation, and driver training. Linear 2016 to 2030 Transport National Vehicle Productivity Plan Energy productivity -354.52 1157 6.4 Reduced T&D losses Through grid modernisation, roll out of some features, improvements in computational modelling and simulation and next generation transformers. Linear 2016 to 2030 Electricity Technology improvements Energy productivity -25.83 2350 13.1 5. High performance low carbon Operational improvements to Reducing gas consumption through operational improvements that will increase plant efficiency Linear 2016 to 2025 Electricity ERF and Safeguard Mechanism Energy productivity -97.36 301 2.4
existing gas plant thermal efficiency Operational improvements to existing coal plant thermal efficiency Reducing coal consumption through operational improvements that will increase efficiency Linear 2016 to 2025 Electricity ERF and Safeguard Mechanism Energy productivity -25.88 2236 17.9 Capital improvements to existing gas plant thermal efficiency Reducing gas consumption through capital improvements that will increase plant efficiency Linear 2016 to 2030 Electricity ERF and Safeguard Mechanism Energy productivity 64.41 118 0.6 Capital improvements to existing coal plant thermal efficiency Reducing coal consumption through capital improvements that will increase plant efficiency Linear 2016 to 2030 Electricity ERF and Safeguard Mechanism Energy productivity 64.71 3478 19.1 Biomass co-firing Replacing a portion of coal consumption in coal power plants with biomass for electricity generation. Aggressive to 2020 Electricity ERF and Safeguard Mechanism Renewable energy 56.15 0 0.0 Battery storage (demand management and grid stabilisation) Contribution of battery storage to reduced grid use though residential, commercial and utility application. Includes remote application and increased residential solar uptake due to battery storage Sigmoid 2021 to 2030 Electricity Technology improvements Fuel switching -2.52 2243 10.2 Cogeneration and trigeneration Increased uptake of cogeneration both in commercial and industrial applications Linear 2016 to 2030 Electricity National Energy Productivity Plan Fuel switching -37.59 460 2.6 Remote area Replacing fossil fuel remote generation (predominantly diesel) with renewable generation Linear 2016 to 2025 Electricity Technology improvements Renewable energy 85.71 825 6.6
energy generation and distribution Coal to gas shift (gas new build)* Assumed construction of two new CCGT plants to offset brown coal fired power generation. Linear 2016 to 2030 Electricity ERF and Safeguard Mechanism Fuel switching 44.39 0 0.0 Coal to gas shift (increased gas utilisation) Increased utilisation of existing CCGT plants to offset existing coal Linear 2016 to 2030 Electricity ERF and Safeguard Mechanism Fuel switching 60.63 0 0.0 Onshore wind (best locations)* Assumed construction of additional wind capacity to offset brown coal fired power generation. Linear 2016 to 2030 Electricity ERF and Safeguard Mechanism Renewable energy -0.00 0 0.0 6. Advanced industrial energy efficient equipment and process improvement Farm vehicle efficiency Farm vehicle efficiency, primarily in diesel tractors and utes Linear 2021 to 2027 Direct combustion National Vehicle Productivity Plan Management of agricultural practices 66.33 332 2.3 Irrigation Opportunities include VSDs, electric vs diesel pumps, solar pumps for diesel and electric irrigation systems. Linear 2021 to 2027 Direct combustion National Energy Productivity Plan Management of agricultural practices -75.47 457 3.2 Aluminium energy efficiency - coal Abatement is calculated for alumina production and aluminium refining. Alumina is on equipment process savings, Aluminium refining abatement is predominantly in the electrolytic process Linear 2016 to 2025 Direct combustion Technology improvements Energy productivity - 156 1.2 Aluminium energy efficiency - natural gas Abatement is calculated for alumina production and aluminium refining. Alumina is based on equipment process savings, Aluminium refining abatement is predominantly in the electrolytic process Linear 2016 to 2025 Direct combustion Technology improvements Energy productivity -0.27 361 2.9
Aluminium energy efficiency - electricity Abatement is calculated for alumina production and aluminium refining. Alumina is based on equipment process savings, Aluminium refining abatement is predominantly in the electrolytic process Linear 2016 to 2025 Electricity Technology improvements Energy productivity 8.93 1413 11.7 Cement Clinker Substitution by Slag - CO2 from reaction Savings from the use of supplementary cementitious materials (SCMs) instead of traditional ones at various stages of the cement-making process. Linear 2016 to 2025 Industrial processes and product use Technology improvements Management of industrial processes 35.29 389 3.1 Cement Clinker Substitution by Slag - fuel combustion Savings from the use of supplementary cementitious materials (SCMs) instead of traditional ones at various stages of the cement-making process. Linear 2016 to 2025 Direct combustion Technology improvements Management of industrial processes 35.02 317 2.5 Manufacturing processes and fuel shift (General Efficiency) - fuel savings General equipment based efficiency savings in manufacturing excluding non-ferrous metals (i.e. aluminium) Linear 2016 to 2025 Direct combustion National Energy Productivity Plan Energy productivity -126.27 1675 13.4 Manufacturing processes and fuel shift (General Efficiency) - electricity savings General equipment based efficiency savings in manufacturing excluding non-ferrous metals (i.e. aluminium) Linear 2016 to 2025 Electricity National Energy Productivity Plan Energy productivity -52.46 1243 10.2 Haul road optimisation and maintenance Optimisation of mine site haul road design and conditions. Linear 2016 to 2025 Direct combustion ERF and Safeguard Mechanism Energy productivity 86.92 719 5.8 Payload Management Optimising mine site haulage payload and right sizing haul trucks for purpose. Linear 2016 to 2030 Direct combustion ERF and Safeguard Mechanism Energy productivity 86.92 2344 12.9
Plant (and UG vent) optimisation including Management of compressed air systems, high efficiency motor (HEM) motor replacements and variable speed drive (VSD) optimisation. Mine ventilation upgrades and optimisation with air quality sensors. Linear 2016 to 2030 Electricity ERF and Safeguard Mechanism Energy productivity -58.00 347 1.9 Optimisation of haulage fuel use - including truck engine technologies Optimising fuel management systems and haul truck engine upgrades. Linear 2016 to 2030 Direct combustion ERF and Safeguard Mechanism Energy productivity 86.92 2255 12.4 Selective blasting Upgrading content through selective higher fragmentation of high grade material. Linear 2016 to 2030 Direct combustion ERF and Safeguard Mechanism Energy productivity -58.00 43 0.2 7. Advanced commercial energy efficient equipment Commercial lighting upgrades Move from T8s and existing lighting fixtures in commercial buildings to high efficiency LEDs. Linear 2016 to 2025 Electricity Technology improvements Energy productivity -39.36 2532 20.9 Commercial HE appliances Replacements and upgrades to commercial HVAC and refrigeration systems as the major energy consumers across the Australian commercial and retail sectors. Linear 2016 to 2025 Electricity National Energy Productivity Plan Energy productivity -50.86 2859 23.6 HE residential appliances Upgrades and efficiency improvements to residential appliances including: Water heating Cooking Space heating Air conditioning Linear 2016 to 2025 Electricity National Energy Productivity Plan Energy productivity -52.46 2019 16.7
Residential lighting Shifting the market from incandescent and halogen downlights to LEDs. Linear 2016 to 2025 Electricity Technology improvements Energy productivity -50.94 474 3.9 Phase out inefficient data centres Fade out small inefficient data centres with a push to move to larger more efficient centres. Energy efficiency improvements across centres - specifically in close control air conditioners. Linear 2016 to 2030 Electricity National Energy Productivity Plan Energy productivity -52.32 403 2.2 8. Low carbon transport Mandatory fuel efficiency standards for light vehicles Mandatory best practice light vehicle fleet standards in place by 2020 driving reduction in fuel consumption. Linear 2016 to 2025 Transport National Vehicle Productivity Plan Energy productivity -89.43 6680 53.4 Improvements in aircraft performance Fleet upgrades and logistical management improvements driving reduction in domestic aviation fuel consumption Linear 2016 to 2025 Transport ERF and Safeguard Mechanism Energy productivity -199.51 2936 23.5 Optimising existing transport systems Articulated road freight mode shifting to rail freight. Linear 2016 to 2025 Transport National Vehicle Productivity Plan Energy productivity 86.13 799 6.4 Activities to improve HV efficiency Mandatory best practice heavy vehicle fleet standards in place by 2020 driving reduction in fuel consumption. Linear 2016 to 2025 Transport National Vehicle Productivity Plan Energy productivity -217.40 5102 40.8 Biofuels in aviation Fuel switch from standard jet fuel to biofuels in domestic aviation. Linear 2016 to 2025 Transport ERF and Safeguard Mechanism Fuel switching 255.67 890 7.1 Plug-in electric vehicles Uptake of plug-in hybrid electric vehicle and battery electric vehicles, Linear 2016 to 2025 Transport Technology improvements Fuel switching 3.93 209 1.7
replacing conventional petrol passenger vehicles. 9. Improve land management and low emissions farming practices Reduced cropland soil emissions Based on previously developed Climate Works numbers. Linear 2016 to 2030 Agriculture ERF and Safeguard Mechanism Land use change -73.53 505 2.8 Pasture and grassland management Based on previously developed Climate Works numbers. Linear 2016 to 2030 Agriculture ERF and Safeguard Mechanism Land use change 9.12 62.0 Cropland Carbon Sequestration Based on previously developed Climate Works numbers. Linear 2016 to 2030 Agriculture ERF and Safeguard Mechanism Land use change 24.41 1260 6.9 Active livestock feeding on previously developed Climate Works numbers. Linear 2016 to 2030 Agriculture ERF and Safeguard Mechanism Land use change -9.71 1073 5.9 Anti-methanogenic treatments Based on previously developed Climate Works numbers. Linear 2016 to 2030 Agriculture ERF and Safeguard Mechanism Land use change 14.71 1580 8.7 Degraded farmland restoration Based on previously developed Climate Works numbers. Linear 2016 to 2030 LULUCF ERF and Safeguard Mechanism Land use change 85.29 4733 26.0 Reforestation of marginal land with timber plantation Based on previously developed Climate Works numbers. Linear 2016 to 2030 LULUCF ERF and Safeguard Mechanism Land use change -8.82 2527 13.9 Reforestation of Marginal Land With Environmental Forest Based on previously developed Climate Works numbers. Linear 2016 to 2030 LULUCF ERF and Safeguard Mechanism Land use change 25.00 16067 88.4
Reduce Deforestation and Regrowth Clearing on previously developed Climate Works numbers. Linear 2016 to 2030 LULUCF ERF and Safeguard Mechanism Land use change 23.53 10733 59.0 Strategic Forestation of Non-Marginal Land With Environmental Forest Based on previously developed Climate Works numbers. Linear 2016 to 2030 LULUCF ERF and Safeguard Mechanism Land use change 26.47 13267 73.0 Improved forest management Based on previously developed Climate Works numbers. Linear 2016 to 2030 LULUCF ERF and Safeguard Mechanism Land use change 52.94 2273 12.5 10. Fugitive emissions Degasification Recovery and destruction of coal mine waste gas – flaring, injection into natural gas pipelines for use, or use on site. 40% uptake assumed for degasification. Linear 2016 to 2030 Fugitives Other programs Fugitive emissions management -3.34 2707 14.9 Enhanced degasification Enhanced recovery of coal mine waste gas through an additional enrichment process and tighter spacing increasing recovery efficiency. 30% uptake assumed for enhanced degasification. Linear 2016 to 2030 Fugitives Other programs Fugitive emissions management -2.74 2520 13.9 Oxidation of Ventilation Air Methane (VAM) Oxidation of ventilation air methane to CO2. Most savings from the destruction of methane. Low probability of VAM oxidation being used for onsite power generation. Linear 2016 to 2030 Fugitives Other programs Fugitive emissions management 25.00 267 1.5 Chronic leaks (pipelines, distribution facilities, other) - natural gas Process and structural improvements to ensure more complete capture of natural gas. Linear 2016 to 2030 Fugitives ERF and Safeguard Mechanism Fugitive emissions management 3.19 280 1.5
Reducing flaring emissions Based on an assumed growing commitment to zero routine flaring by 2030 across the LNG/ natural gas and oil producing sectors. Linear 2016 to 2030 Fugitives Technology improvements Fugitive emissions management 4.26 1987 10.9 11. Waste management Alternative Waste Treatment - waste to energy Based on offsetting coal fired power generation, and avoided methane emissions from thermal treatment of landfill and livestock waste Linear 2016 to 2025 ERF and Safeguard Mechanism Waste management 73.00 2335 18.7 Alternative Waste Treatment - solid waste alternative treatments Alternative waste treatments including increased biological treatment/ combustion and conditioning best practices, and includes anaerobic digestion Linear 2016 to 2025 Waste ERF and Safeguard Mechanism Waste management 127.00 457 3.7 Solid waste - increased recycling Increased recycling and management of source separated organic waste. Linear 2016 to 2030 Waste ERF and Safeguard Mechanism management -20.00 289 1.6 Alternative Waste Treatment - Domestic wastewater treatment Process improvements in domestic wastewater handling facilities Linear 2016 to 2030 Waste ERF and Safeguard Mechanism Waste management 42.00 41 0.2 12. Management of synthetic gases Management of synthetic gases Based on assumptions provided by the Department. Aggressive to 2020 Industrial processes and product use Other programs Management of industrial processes 25.00 4850 40.1 * Included in the MACC output for completeness but not included in stacked bar analysis as are no policy mechanisms to support the switch from coal fired generation to gas or wind generation. Note that some abatement opportunities that have zero annual and cumulative abatement are fully deployed by 2020 and are therefore not available to contribute to the 2030 abatement task.