The Commonwealth Government has taken steps to divert funding earmarked to support the development and uptake of renewable energy to multinational fossil fuel corporations. They have introduced the Australian Renewable Energy Agency Amendment (2020 – 2021 Budget Programs) Regulations 2021, requiring the Australian Renewable Energy Agency (ARENA) to fund some projects run by fossil fuel corporations. It makes no sense to divert funding from renewable energy development to carbon capture and storage projects for fossil fuel operations.
The moves towards a zero greenhouse gas emissions future will be hampered if investors keep backing fossil fuel projects and corporations. Therefore, it is disappointing that almost all superannuation funds remain heavily invested in fossil fuel corporations.
Australia’s major banks are amongst the corporations that still make significant contributions to propping up the use of fossil fuels. Help us to encourage the banks to take stronger action to stop supporting the use of fossil fuels and instead finance the shift we need to a net-zero emission future.
Carbon capture and storage means trying to catch greenhouse gas emissions and store them, such as sealing them in underground caves. The Government has indicated its support for the recommendation. The JIM Cluster is deeply concerned that the recommendation will divert funds away from supporting the transition to renewable energy, to prop up fossil fuel corporations.