A presentation

1. 1

2. Opportunities for British companies in:
Australia’s Low Carbon Industry
UKTI Webinar – 26 September 2012
Richard Morris, Director-General of Trade & Investment, Australia & NZ
E: Richard.Morris@fco.gov.uk
UKTI Australia: Opportunities for British Business in Australia’s Low Carbon Industry 2

3. Why Australia?
• You’ll feel at home immediately:
– Over 1,000 UK companies and more Brits than in any other country
– Very similar business, legal and regulatory culture
• Best performing OECD country economically, with good growth prospects
• Strong Australian dollar making UK goods and services more affordable
• Closely linked to fast growing Asia-Pacific nations
• Massive opportunities for UK companies in oil and gas, health, ports,
infrastructure, ICT, education, low carbon, financial and business services
UKTI Australia: Opportunities for British Business in Australia’s Low Carbon Industry 3

4. Climate change:
The policy landscape
John Virgoe
First Secretary (Economic and Climate Change)
British High Commission, Canberra
john.virgoe@fco.gov.uk

5. Australia’s ‘clean energy future’
Refusal to ratify the Kyoto Protocol
Multiple climate change elections
2 Prime Ministers and 2 opposition
leaders as climate casualties
Patchwork Implementation
progress problems
Broad domestic action
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6. Context for domestic action
 power of resource sector
 multi-speed economy
 high level of exposure to Asia
 compete with other big resource-exporters
 cheap, high-carbon energy
 investment needed in infrastructure
 fear of cost of living going up and acting alone
 strain of scepticism
UK has a strong reputation for
expertise in low carbon.
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7. Basic policy landscape
Legislation and
carbon price Renewables Energy
efficiency
> mandatory business > 20% renewable
reporting energy target for 2020 > compulsory energy
> 5%+ by 2020 efficiency programme
> Clean Energy
for large commercial
> 80% by 2050* Finance Corporation
energy users
> Climate Change with $10bn for
commercialisation* > appliances and
Authority*
equipment
> carbon price* > Australian
Renewable Energy > regulations for new
Agency with $3.2bn for buildings
Agriculture R&D > compulsory
> patchwork subsidies environmental ratings
> carbon farming when selling or
initiative leasing office
buildings
*Legislated and implemented but may be repealed in the event of a change of Government

8. Mike Tournier
Executive Director, Carbon Market Institute
www.carbonmarketinstitute.org
Mike.Tournier@carbonmarketinstitute.org
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9. Who is CMI?
• The Carbon Market Institute is an independent
membership-based not-for-profit organisation.
• We are the peak body for Australian Carbon
Professionals and those wishing to do business
“downunder”.
• Our aim is to assist businesses in meeting the
challenges and opportunities associated with the
developing national and international carbon
markets and thereby build capacity to grow in a
low-carbon world.
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. UNCLASSIFIED

10. CMI’s Program
• Business networking and information
services
• Research and market analysis
• Education and training - partnerships
• Professional standards and accreditation
• International engagement
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11. Introduction to the Three Key Policies
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12. Sectors affected by a carbon price
25,000 tonnes CO2-e
threshold
+/- 325 company’s
Market size 350Mt –
550Mt Type your title and date here 00/00/0000
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13. Market Evolution
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14. Opportunities
• Carbon Development and Carbon Trading
Specialised project development skills, project
investment, IT solutions, carbon brokering, offset firms,
aggregators, financial services & products
• Clean energy technologies
Gas, wind and solar generation are expected to grow in
the short term, driven by Australia’s renewable energy
target (RET) as much as by the carbon price, with a
significant role for geothermal and carbon capture and
storage in the longer term.
• Alternative waste technologies
Increased opportunities are likely for gas capture, waste-
to-energy technologies, waste-to-ethanol and biochar,
due to increased industry waste costs.
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15. Opportunities
• Industrial process abatement technologies
Expect increased demand for water- and energy-efficient
equipment, and for low-pollution technology process and
products.
• Built Environments
Built environment is one of the largest users of energy in Australia
(23%). Expect increased of major project refit frequencies, revised
asset lifespans and focus on operational efficiency gains. Large
scale domestic solutions may be sort.
• Transport
Expect increasing demand for fuel-efficient heavy and light
vehicles, electric vehicles and biofuels.
• Other Professional services
High-growth opportunities for accounting and reporting; tax,
corporate governance and legal advice; IT solutions; investors,
and risk management.
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16. Melbourne - Australia's Carbon Hub
• Melbourne is establishing itself as a leading centre
for carbon services in the Asia-Pacific region.
• The Climate Change Authority was recently
announced to be headquartered in Melbourne. As
an independent body, the Authority will provide
expert advice on key aspects of the carbon pricing
mechanism and the Federal Government’s climate
change mitigation initiatives.
• As Australia’s energy and environmental trading
hub, Melbourne is home to the majority of
industry compliance buyers and national energy
markets. Major compliance buyers based in
Melbourne include Amcor, BHP Billiton, Rio Tinto,
Shell and Great Energy Alliance Corporation.
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UNCLASSIFIED

17. CarbonExpo Melbourne 2012
Australasia's premier Trade
Fair & Conference for carbon
market participants & service
providers.
•+1000 delegates & speakers
•80 trade booths from 20
countries
•7-9 November 2012
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18. What next?
• Join the conversation on LinkedIn
• Attend our industry specific webinars
• Next webinar on e-commerce opportunities
on Thursday 4 October
• Follow us on twitter @uktiaustralia
• Get in touch with us:
• For low carbon opportunities in Australia
– Joanna.Olivera@fco.gov.uk
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UKTI Australia: Opportunities for British Business in Australia’s Low Carbon Industry 18