Insights

Transitioning to a clean economy and reducing emissions would save the Australian economy $549 billion over the next decade.

Posted September 03, 2019

SGS Economics and Planning Clean economy report

Transitioning to a clean economy and reducing emissions would save the Australian economy $549 billion over the next decade while at the same time providing a number of social and environmental benefits, according to the Melbourne Sustainable Societies Institute’s (MSSI) Australia’s Clean Economy Future: Costs and Benefits report.

SGS Economics and Planning Principal and Partner Ellen Witte and SGS Associate Dr Marcia Keegan co-authored the issues paper which offers a comparison of the costs of emission reduction in Australia relative to the potential damages from climate change under current policy settings.

This paper finds that transitioning to a low-carbon economy is sound economic development: even when the benefits of reduced emissions are ignored, the economic benefits of a transition to a low-carbon economy easily outweigh the costs.

These findings will equip state and territory governments – particularly the Queensland and Victorian governments - to transition to a clean economy and:

  • avoid future damages due to climate change
  • be at the forefront for low-carbon business and innovation
  • smooth and enhance the transition to a low-carbon economy
  • reduce financial, legal and strategic risk for the state and the economy.

Managing risk due to exposure to the increasing impacts of climate change is now a central issue for reserve banks, the financial sector, governments and business around the world.

— Principal & Partner Ellen Witte
SGS Economics Planning Ellen Witte
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Ellen Witte

Principal & Partner

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SGS Economics Planning Marcia Keegan
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Marcia Keegan

Associate

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