Originally appeared in The Australian.
Transport is the third-largest source of greenhouse gas emissions in Australia. If no action is taken, it could become the highest emitting sector by 2030. It’s abundantly clear we need to change course towards a greener future.
With Australia’s commitment to reach net zero by 2050, the imperative to transform the transport sector is a challenge but also a once-in-a generation opportunity to provide long-term policy certainty, drive investment in low emissions and renewable technologies, and create more liveable cities for Australians. In Arup’s submission to the federal government’s Transport and Infrastructure Net Zero Consultation Roadmap, we outlined evidence that electrification alone won’t get the transport sector to net zero, even though 60 per cent of Australia’s transport emissions come from light road vehicles. Australia is a land of vast distances. We cannot rely on electrification to decarbonise our aviation, maritime and heavy freight industries.
Our analysis shows that the only way to reduce greenhouse gas emissions in these harder-to-abate sectors is by embracing hydrogen and low carbon liquid fuels, including sustainable aviation fuel (SAF).
With many of the technologies required for scaling commercial hydrogen and liquid fuels still in their infancy, there is no committed or easy path.
The new aviation white paper highlights the sector’s commitment to developing SAF as the sole viable solution for decarbonising medium-to-long-haul flights. However, in Australia, the aviation industry is still in the early stages of this journey. Achieving significant reductions in greenhouse gas emissions will require scaling up SAF production facilities and investment in innovative technologies such as hydrogen fuel cells for regional aviation and electric aviation.
In rail freight, electricity represents only a partial solution. Arup’s work on hydrogen fuel cells in Scotland has offered up pathways towards a greener rail network. We must do more to realise the full potential of these technologies, alongside battery electric vehicles in Australia.
Similarly, in the maritime industry, hydrogen-based fuels are emerging as the pivotal enabler for decarbonisation. Considering the costs, scale and current limitations in supply and distribution of alternative fuel options, coupled with the narrowing opportunity for Australia to establish itself as a domestic and global supplier, swift action is imperative. International clarity and co-ordination are essential to ensure Australia remains competitive. We must not be deterred by the challenges of scaling up alternative fuel technologies. We need to create the economic and technical conditions for hydrogen and LCLFs to become commercially attractive if we are to reach net zero by 2050.
Indeed, all transport modes we considered in our submission to the road map require government investment in developing technologies and enabling commercial-scale fuel production. These modes also need to build infrastructure to distribute sustainable fuels where they are needed. Government incentives are required to develop Australian production of hydrogen and LCLF, not only to achieve net zero targets but also guard against the risks of offshore supply interruptions and improve our liquid fuels security.
We welcomed the joint submission made by the Public Transport Association Australia and New Zealand, Roads Australia and the Australasian Railways Association to the road map.
Transport and associated industries are playing a leading role, but as that submission acknowledges, a task as large, multifaceted, complex and interconnected as achieving net zero transport emissions by 2050 must be overseen by our national government.
This planning must consider and manage competition among various transport modes, other key industry sectors.
Integration and efficiency are the keys. Australia’s hydrogen strategy, National Electric Vehicle Strategy and the government’s consultation on low carbon liquid fuels must be brought together.
These strategies should feed into the road maps for decarbonising six key industry sectors and integrated into the net zero 2050 plan to ensure policy certainty for low-emissions investments.
An integrated energy system plan is also essential to manage renewable and low-carbon energy resources efficiently.
The transition to low and zero emission technologies is complex but essential. By collectively advancing, we mitigate the risk of running out of time.
Alex Borg is Arup Australasia’s transport leader.