Climate Lobbying Overview: Despite nominally positive top-line messaging on climate change in 2020, the Minerals Council of Australia’s (MCA) engagement on climate policy remains inconsistent with scientific advice from the IPCC on delivering the Paris Agreement’s goals.

Top-line Messaging on Climate Policy: In June 2020, MCA published its Climate Action Plan which included positive top-line messaging on climate action, including support for a national policy framework in Australia to achieve net zero emissions. However, it is unclear whether this offers support for net zero by 2050 in line with IPCC recommendations. Throughout 2019, MCA also consistently advocated in favour of the use of Kyoto carry-over credits to meet Australia’s climate commitments, depressing federal-level climate ambition.

Engagement with Climate-Related Regulations: MCA has consistently lobbied against GHG emissions regulations in Australia. For example, in July 2019, the MCA advocated against the Victorian Government’s adoption of a net-zero GHG emissions by 2050 state-level target, arguing that the implementation of state-based targets threatened the national GHG emissions reduction target. In September 2019, the group appeared to push for weaker emissions baselines under the Safeguard Mechanism to protect the competitiveness of Australian industry. In March 2020, MCA also opposed the inclusion of Scope 3 emissions under the National Greenhouse and Energy Reporting Scheme, which will complicate the setting of targets for Scope 3 emissions in the future.

In recent years, MCA has also increasingly lobbied on climate issues in planning and environmental regulations. In a 2019 submission to the Productivity Commission in Australia on Resources Sector Regulations, MCA described the inclusion of climate considerations in both the NSW’s planning permit process and the Western Australian EPA’s greenhouse gas assessment guidance for new projects as ‘regulatory creep’. In April 2020, MCA opposed the inclusion of a mechanism to reduce GHGs under Australia’s landmark environmental legislation, the Environment Protection and Biodiversity Conservation Act.

MCA has also opposed renewable energy legislation. In February 2019, the organization stated it did not support renewable targets or subsidies, blaming them for the increase of Australian energy prices. In September 2019, MCA also reaffirmed its opposition to the federal Renewable Energy Target in Australia, emphasizing the cost of technology-specific policies to support renewables.

MCA has also been active in lobbying on the economic recovery from COVID-19. In August 2020, MCA advocated to dilute the renewable energy mandate of the Australian Renewable Energy Agency and the Clean Energy Finance Corporation, to open the agencies up to include investing in non-renewables. Additionally, in April 2020 MCA Chair Helen Coonan publicly advocated for a number of measures to support Australia's mining industry in response to COVID-19, including reduced tax rates, faster project approvals for mining projects, and government support for the exploration of minerals in greenfield areas.

Positioning on Energy Transition: Since the start of 2018, MCA has begun framing its lobbying positions on the energy mix around the need for a ‘technology neutral’ energy policy and support for a ‘measured transition’.

Despite this, the group's advocacy activities continue to strongly emphasize the role of coal in the energy mix, including supporting the building of new coal-fired power stations. In 2019, MCA argued for the inclusion of HELE coal in the energy mix as a ‘low emission energy source’. Before the Australian Federal elections in 2019, MCA CEO Tania Constable publicly pressured the Federal Labour Party to unequivocally support the coal industry. After the election, she argued that there was now a clear mandate for the expansion of coal projects, including the Adani coal mine, and called for the Queensland government to streamline the regulatory process to allow greater expansion of coal production in the region. MCA has continued to push the coal agenda in 2020; the group supported the expansion of Whitehaven’s Vickery coal mine in August, while CEO Tania Constable stated in October that “the medium-term outlook remains positive” for Australian coal.

In December 2020, the MCA lobbied to weaken the EU's classification system for green investments, the Sustainable Finance Taxonomy, advocating the inclusion of all low-emission technologies such as coal and gas with CCUS and nuclear under a "technology-neutral" approach.