Corporate Emissions Reduction Plan 2024–2025

Accountable authority sign off

The Australian Government released the Net Zero in Government Operations Strategy in November 2023, setting out the overall approach and action required by Commonwealth entities to achieve the APS Net Zero 2030 target. 

The Net Zero in Government Operations Strategy represents a strong commitment by the Australian Government to lead by example on emissions reduction and contribute to the decarbonisation of Australia’s economy. 

The Department of Industry, Science and Resources (the department) is committed to the achievement of the Government’s APS Net Zero 2030 target. The department is following the APS Net Zero 2030 target in full, as per the Net Zero in Government Operations Strategy. 

This Emissions Reduction Plan describes the priorities and actions the department is taking to reduce our operational emissions and contribute to the APS Net Zero 2030 target.

SIGNED BY ACCOUNTABLE AUTHORITY

Meghan Quinn

Secretary

The Department of Industry, Science and Resources is responsible for managing and implementing emissions reduction initiatives set by the Australian Government’s Net Zero in Government Operations Strategy (the NZGO Strategy) developed by Department of Finance. The NZGO Strategy sets out the Australian Government’s approach to achieving net zero greenhouse gas emissions from its operations by 2030 and the reinstatement of public emissions reporting.

The goal of this Emissions Reduction Plan is to provide a pathway for the department to contribute to achieving the APS Net Zero 2030 target through emissions reduction activities. This plan encompasses existing and new priorities and actions in the department to reduce emissions.

We have completed this Emissions Reduction Plan according to the NZGO Strategy, associated guidance and reporting standards for annual emissions reporting. 

Net zero greenhouse gas emissions

APS Net Zero 2030 is the target set by the Australian Government to achieve net zero greenhouse gas emissions from government operations by the year 2030. It includes scope 1 and scope 2 emissions from activities in Australia and its territories, as described in the NZGO Strategy. The APS Net Zero 2030 target applies at the aggregate level to non-corporate Commonwealth entities and generally covers the entirety of the entity’s organisation. From an organisational perspective, this means minimising the greenhouse gas emissions that are in our control. 

Governance and reporting

We will include our progress against actions identified in this Emissions Reduction Plan, and any further measures we adopt in our annual reports. We will use this, combined with our annual emissions reporting, to measure the department's progress towards reducing its emissions.

As part of the Net Zero in Government Operations Annual Progress Report, the Department of Finance will aggregate these measures to provide whole-of-Australian Government emissions reporting. 

The department operates across all Australian states and territories with about 3500 personnel nationally. Our facilities consist of around 60 properties including office buildings, warehouses, laboratories, science visitor centres and carparks.

Operationally we have 3 large special purpose laboratories at Linfield and North Ryde (NSW) and Port Melbourne (VIC) that operate 24/7. We also have 2 public facilities: Questacon in the ACT and the Space Discovery Centre in Adelaide, SA. These sites provide unique operational constraints that create complexity in our Emissions Reduction Plan. 

Baseline emissions

Baseline emissions are a record of greenhouse gases that have been produced in the past and were produced prior to the introduction of any strategies to reduce emissions. The baseline emissions from financial year 2022–23 are the reference point against which we can measure emissions reduction.

The baseline emissions for this plan focus on scope 1 and scope 2 emissions, consistent with the APS Net Zero 2030 target. We calculated electricity-related emissions using the location-based method. We have published the complete 2022–23 greenhouse gas emissions inventory tables for the department our 2022–23 annual report.

• Baseline year: Financial year 2022–23 (location based)
• Scope 1 emissions: 444.464 t CO₂e
• Scope 2 emissions: 11,796.751 t CO₂e
• Total emissions: 12,241.215 t CO₂e

Total energy contribution to the portfolio:

• Energy consumption (GJ) total is 59,351
• Contribution to portfolio (%) total is 93%.

Lindfield

Due to planning for the future of the NMI Lindfield and North Ryde sites, the department is considering measures that:

• provide emissions reductions and financial savings within the timeframe of the current lease commitment 
• are mandatory to implement or consider within a certain timeframe.

Measures that we are considering that meet these criteria:

• feasibility and requirement of EV charging infrastructure
• discussions with CSIRO Sustainability Team on their proposed measures and their renewable energy contract. 

Measures in place: 

• CSIRO is responsible for the electricity supply for this site. 
• CSIRO have a renewable energy contract that offsets all the electricity-related emissions.

North Ryde

Due to planning for the future of the NMI Lindfield and North Ryde sites, the department is considering measures that:

• provide emissions reductions and financial savings within the timeframe of the current lease commitment
• are mandatory to implement or consider within a certain timeframe.

Measures that we are considering that meet these criteria:

• feasibility and requirement of EV charging infrastructure
• options to install behind-the-meter renewable energy solutions.

Canberra

Industry House is the third-highest energy consumer within the portfolio. We are considering measures including:

• an integrated light-emitting diode (LED) lighting and controls upgrade, projected to decrease tenancy lighting energy use by up to 50%
• exploring feasibility of installing electric vehicle (EV) charging stations. 

The department has identified an opportunity to improve energy efficiency. We are considering a lighting upgrade and have undertaken a technical feasibility study.

Port Melbourne

The department commissioned a level 2 Energy Audit at this site to explore potential energy efficiency enhancements and assess any associated environmental and economic advantages.  A lease incentive is available to the department that is intended to fund sustainability measures.

The department plans to evaluate and potentially adopt identified emissions reduction measures to help reduce the electricity-related emissions footprint at Port Melbourne.

Questacon

Questacon started its Net Zero journey in 2020 by measuring its 2019 emissions footprint.

Questacon started reducing its emissions footprint by:

• undertaking an energy audit 
• building envelope improvements
• modifications to air conditioning systems
• implementing a gas to electric transition
• switching to a refrigerant gas with a much lower global warming potential
• increasing on-site renewable energy including installing polycarbonate solar panels.

These initiatives are scheduled to be fully in place by the end of 2024.

A longer-term emission reduction strategy is to transition fleet vehicles to EV’s.

Time series show historical emissions trends and track the effects of emission reduction strategies. We plan to calculate the time series using the same methods and data sources in all years. However, we expect to continually add and improve on emissions measurements, data collection methods, methodological refinements and reporting requirements. We are implementing strategies to ensure time-series consistency from the outset. 

We will diligently document our approaches to estimated emissions, including methodologies and data sources, in the Net Zero in Government Operations Annual Progress Reports. This will be key in ensuring confidence in time-series consistency. 

Engagement

In the development of this plan, the department has been working with:

• The Department of Finance
  • Climate Action in Government Operations: to ensure that the plan aligns with the Net Zero in Government Operations Strategy and the Commonwealth Climate Disclosure requirements
  • Fleet team: to discuss options associated with low emissions vehicles
  • Travel team: to discuss options and considerations for lowering travel emissions
• Internal travel and fleet team: to discuss options associated with low emissions vehicles
• Evolve FM: Property Service Provider (PSP)
• Portfolio agencies: where possible we could address shared considerations to lower emissions across the portfolio.

Emissions reduction targets

The department is following the APS Net Zero 2030 target in full, as per the Net Zero in Government Operations Strategy. The target covers the entirety of our entity’s operations within Australia and its territories for scope 1 and scope 2 emissions, as described in the NZGO Strategy. 

For the department to contribute to achieving the APS Net Zero 2030 target, we need targeted action on existing emissions reduction measures. We also need to introduce new measures. 

The department's current sustainability measures are not sufficient to achieve Net Zero by 2030. While the department is currently unable to provide emissions reductions targets, we are focused on it and working towards understanding our carbon footprint and setting realistic targets. 

We have summarised our actions to achieve Net Zero in the following points, with details below:

• procuring renewable electricity
• improving building standards
• transitioning the department’s owned and leased vehicles to low emission vehicles
• sustainable procurement.

Extra actions being considered are:

• carbon modelling and purchasing offsets
• LED lighting planning
• solar PV and LED lighting upgrades
• electrifying sites where practical.
   

Building our emissions data 

Emissions data is essential to identify priorities and target actions to reduce emissions. 

• Department of Finance is continuing to expand the emissions reporting data requirements from the baseline data reported in our 2022–23 Annual Report.
• The initial focus of the 2022–23 reporting was on emissions associated with electricity, natural gas, fleet vehicles, domestic flights, and other energy.
• The dataset has expanded in the 2023–24 reporting period to include solid waste, refrigerants, accommodation and domestic non-air business travel (hire car only).
• The department will continue to work with the Department of Finance to expand its emissions reporting and identifying areas of improvement to ensure robust emissions data. 
• The department will use the expanded emissions baseline data to inform emissions reduction measures.   

Emissions reduction 

Using the baseline emissions data, the department will: 

• Determine options to reduce greenhouse gas emissions through a combination of energy efficiency, renewable energy and other measures, and usage of offsets.
• Implement the NZGO Strategy leasing measures to increase the energy efficiency of our buildings. This includes ensuring leased office spaces over 1000 square metres achieve the required NABERS rating, incorporate Green Lease Schedules and give preference to all-electric buildings. 
• Incorporate sustainable practices in construction, refurbishment and fit-outs to minimise greenhouse gas emissions and improve circular economy. Circular economy refers to sustainable consumption and production, keeping resources in use for longer.
• Undertake a high-level feasibility study of our top emitting sites to assess what emissions reductions are achievable and costs associated with those measures and offsets.
• Taking a fiscally responsible approach to undertaking emissions reduction measures, prioritise projects that have financial returns higher and more favourable than procuring offsets.
• Use this analysis to implement a forward plan to reach net zero by 2030. We will include this in the next iteration of the Emissions Reduction Plan. 

The department’s aim is to increase the energy efficiency of its properties in line with the NZGO Strategy. A key part of this is implementing the building energy rating targets. Energy ratings are provided under the National Australian Built Environment Rating System (NABERS). 

Department of Finance will provide further advice (including for other building types and approaches to leasing) and guidance accompanying the NZGO Strategy. Further guidance will also address other considerations. These considerations include efficient use of space in the context of flexible and remote work and minimising electricity consumption. For example, energy efficient devices and behaviours like timed, energy efficient lights and installing window coverings or shading devices.

NABERS ratings

From July 2025 there will be 6 office tenancies that will carry out NABERS tenancy ratings. The department will engage with its Property Service Provider (PSP) to organise NABERS benchmarking exercises. These assessments would provide insights into the current performance of each tenancy, allowing the department to pinpoint those that are underperforming. 

If the department considers relocating to new office spaces, it will target premises that are both Green Star-rated and have a NABERS performance rating of 5.5 stars or higher. Buildings designed to achieve a Green Star As Built Certification typically incorporate energy-efficient features from the outset. These contribute to achieving the operational efficiencies aimed for in the Net Zero policy. 

Other strategies include reducing office space and overall footprint to help improve the energy efficiency of leased office space and leased buildings using emerging technologies in areas such as smart building technologies, energy efficient lighting and appliances and on-site renewable energy. These technologies would help measure and reduce energy consumption.

Current NABERS ratings

Electricity is the largest contributor to the APS greenhouse emissions. 

Department of Finance is undertaking a WoAG coordinated electricity procurement to provide renewable energy that will be mandatory for non-Corporate Commonwealth Entities. 

While the Department of Finance is aiming for 100% procured renewable electricity, there is still an expectation that emissions reduction is a priority for entities. 

NZGO strategy targets

The department is working towards the NZGO Strategy Energy targets. 

Action

The department and PSP will:

• consult with the Department of Finance to ensure participation in WoAG electricity procurement as per the NZGO Strategy and replace all electricity contracts with renewable electricity
• consider the use of lease incentives to enhance building energy efficiency, such as replacing standard lighting with LED lighting and installation of solar panels.
   

Low emissions vehicles are battery electric vehicles, hydrogen fuel cell vehicles and plug in hybrid vehicles. A zero-emission vehicle is a battery electric vehicle or a hydrogen fuel cell vehicle.

The Commonwealth Fleet Vehicle Selection Policy supports the Low Emission Vehicle (LEV) target by requiring an ‘if not, why not’ approach to low emissions passenger vehicle selection, with a preference for zero emissions. It also sets criteria to limit ordering plug-in hybrid vehicles to exceptional circumstances. The department must comply with this policy.

NZGO strategy targets

The department is working towards the NZGO Strategy Fleet targets. 

There are currently 2 WoAG travel policies:

• Resource Management Guide No. 404: Official Domestic Travel – Use of the lowest practical fare.
• Resource Management Guide No. 405: Official International Travel – Use of the best fare of the day.

These policies focus on air travel and require officials to select the lowest priced fare that suits the business needs of the traveller. However, the policies also note that travel must only happen where other communication tools such as teleconferencing and videoconferencing are not suitable.

Similarly, we can coordinate accommodation and hire car arrangements in a way that reduces emissions. While relevant booking tools are yet to identify Net Zero or other sustainability options, we could use these arrangements to support achieving our Net Zero targets. For example, the department may procure offsets for flights in the future (although the intention is to develop a whole of government coordinated approach). When choosing a hire car, we can select low and zero emissions vehicles.

The Australian Government will also investigate preferring flights using sustainable aviation fuels. This will be guided by development of the Australian Government’s Aviation White Paper and advice from the Australian Net Zero Council.

The Australian Government will encourage uptake of the NABERS Energy for Hotels rating tool. From 1 July 2024, Australian Government travellers must consider the environment when booking travel. To support greener travel choices, NABERS Energy ratings will be displayed next to applicable hotels in the Online Booking Tool from 1 July 2024.

The department will consider emissions information when procuring through the WoAG travel arrangements. These options will appear in travel policy updates that we will make following the release of the WoAG travel policies.

NZGO strategy targets

The department is working towards the NZGO Strategy Travel targets. 

Action

The department will:

• consider travel options to reduce emissions for example, carbon offsets, selecting low or zero emissions vehicle when selecting a hire car, taking direct flights, airlines using sustainable aviation fuels, using NABERS energy ratings etc.
• comply with WoAG travel policies to reduce emissions
• comply with WoAG travel reporting to capture greater sustainability metrics and booking behaviour
• update the travel policy to reflect WoAG travel requirements (once in place) to reduce emissions and include other low-emission sources of transport such as trains or other land-based transport, low-emission transport to and from airports where air travel is required, etc.

While the department has onsite server rooms, these aren’t considered data centres in the context of the NZGO Strategy. This is because they don't meet the size requirements under the NABERS definition of a data centre. 

NABERS defines a data centre as a computer server room that comprises: 

• at least 5 % of the total office Net Lettable Area (NLA) of the rated building, or
• at least 25 % of the NLA of the floor on which it is located, or 
• at least 75 % of its capacity is dedicated to external users. 

The combination of multiple computer server rooms is not considered a data centre.

However, the department does engage an external provider to provide data centre space to meet operational requirements. This data centre space is procured through the mandatory Data Centre Panel Arrangement managed by the Department of Finance.

The department’s data centre provider offers all its customers by default net carbon zero electricity, which is backed on a 1:1 basis by renewable energy. Since 1 January 2024, the data centre provider delivers a net carbon zero electricity arrangement to customers for a 12-month period, each year (from 1 January to 31 December). This is in alignment with the timing of the Corporate Emissions Reduction Transparency report as administered by the Clean Energy Regulator.

Under the NZGO Strategy, future data centre panels will incorporate net zero considerations to enable entities to identify, report and reduce their emissions from ICT usage.

Data centre providers on the panel will need to have a 5-star NABERS Energy for Data Centres rating or equivalent environmental rating, such as a Power Usage Effectiveness of 1.4 or less.

NZGO strategy targets

The department is working towards the NZGO Strategy ICT targets. 

Action

The department will ensure that the department’s data centre provider meets the NZGO Strategy targets. 

This will be supported by the Department of Finance requiring all future Data Centre Panel providers to have a 5-star NABERS Energy for Data Centres rating or equivalent environmental rating, such as a Power Usage Effectiveness of 1.4 or less.

The department will use a provider of the mandatory Data Centre Panel to ensure compliance.

Building type definitions

List of departmental properties