The budget contains at least seven times more spending on initiatives that damage nature and the climate than it allocates to climate and nature protection, the Australian Conservation Foundation said.
“This is a budget of thinly veiled fossil fuel subsidies that redirects public money to coal, oil and gas giants,” said ACF’s national climate policy adviser Annika Reynolds (they/them).
“Australians are left exposed to highly inflationary fossil fuels in our homes, cars and lives.
“While we welcome measures to ensure the longevity of the electric vehicle FBT exemption and the successful cheaper home batteries program, these are modest measures.
“In this moment, Australians are calling for government to tax gas exports fairly and use that money for cost-of-living relief and the restoration of nature.”
Some highlights and lowlights of the federal budget below.
Modest measures to support climate and nature protection
$7.2bn over the forward estimates for the continuation of the Cheaper Home Batteries program, supporting households to invest in small-scale renewables.
$500m over the forward estimates for the Active Transport Fund, to support the rollout of bike lanes and other infrastructure in partnership with the states and territories.
$40.5m to accelerate the electrification of Australia Post’s delivery fleet.
$1.22bn for Future Made in Australia additional initiatives in clean energy manufacturing and industry to accelerate the transition of Australia’s exports from dirty to clean, with new commitments to support resilient metals production.
$250m for the National Environmental Protection Agency, the new environmental watchdog, over the forward estimates.
$110.8m to continue the Protecting Australia’s Native Species program for two years.
Cuts to climate and nature protection
$2.2bn has been cut from the Climate Change, Environment, Energy and Water Department — the most significant cut to government’s climate and environment programs since the Albanese government was elected in 2022.
$153.5m to ‘fast-track approvals with states and territories’ and simplify environmental approvals by using AI — a risky exercise that could see promised nature protection gains trampled in the rush to approve.
“The funding for the new National Environmental Protection Agency is critical to ensure government hits the ground running to get on with the urgent task of improving Australia's woeful record of enforcing national nature protection laws,” said ACF’s national biodiversity policy adviser, Brendan Sydes.
“The investment in Australia’s new environmental watchdog is overshadowed by $153.5 to fast-track approvals and streamline state and territory assessments and approvals.
“There’s no commitment to make sure states and territories strengthen nature protection. If the government is serious about stronger nature protection, it needs to invest in the tools to deliver it — and this budget falls well short.”
Ongoing support for fossil fuel giants
$13.6bn on subsidising liquid fossil fuel use over the forward estimates. The package includes $10.7bn for fuel and synthetic fossil fuel-based fertiliser, prioritising export volumes over food security, climate resilience and environmental sustainability.
$46.2bn over the forward estimates for the notorious Fuel Tax Credit scheme, which allows multinational mining corporations like BHP and Glencore to get their diesel tax-free, encouraging pollution and discouraging innovation.
$1.9bn for the proposed Middle Arm gas precinct in Darwin, which would add millions of tonnes of climate pollution to our atmosphere and facilitate new gas exploitation.
No new tax on Australian gas exports. Gas giants are fuelling the climate crisis while making huge profits — putting lives at risk while leaving Australians to pick up the tab.
The government has resurrected an old proposal to remove community and First Nations consultation rights relating to controversial offshore gas projects.
Rainbow bee eater photo by Brendan Sydes