Media release
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A big year for climate change action
The Australian Government has released the fourth Annual Climate Change Statement. It illustrates the significant progress we have made on our path to net zero and reports progress on our climate change and energy initiatives in 2025.
2025 has been a landmark year for climate action in Australia. The Australian Government has:
- set an ambitious and achievable emissions reduction target of 62–70% below 2005 levels by 2035
- released the Net Zero Plan and 6 sectoral decarbonisation plans
- released the National Climate Risk Assessment and National Adaptation Plan.
Australia’s total emissions decreased by 10 Mt CO2-e or 2.2% this year, with emissions down 29% on 2005 levels. We also reached record renewable energy uptake. Over 40% of Australia’s 2 major grids are now renewable, up from 13% in 2015.
Other highlights include:
- over 135,000 batteries have been installed since the commencement of the Cheaper Home Batteries Program in July 2025, providing cheaper energy to Australian households and businesses
- net emissions from the country’s largest emitting facilities were down 7% in 2023–24 following the first full compliance year since the reforms to the Safeguard Mechanism
- from January to September 2025, EVs represented 12.7% of new light vehicle sales, up from 9.5% over the same period in 2024, and available models have increased from 104 in 2023–24 to 153 in June 2025.
The 2025 Annual Climate Change Statement also includes the Australian Government’s full response to recommendations made by the Climate Change Authority in its 2025 Annual Progress Report.
The statement was tabled alongside the:
- Emissions Projections 2025
- Quarterly Update of Australia's National Greenhouse Gas Inventory: June 2025
- Net Zero Plan
- Australia’s 2035 Nationally Determined Contribution.
Together, these publications provide a full picture of Australia’s progress so far and our plans to continue to tackle climate change.
Expert Reaction
These comments have been collated by the Science Media Centre to provide a variety of expert perspectives on this issue. Feel free to use these quotes in your stories. Views expressed are the personal opinions of the experts named. They do not represent the views of the SMC or any other organisation unless specifically stated.
Professor Chennupati Jagadish AC is the President of the Australian Academy of Science
"The Academy welcomes the Government’s annual climate statement published today and is calling for urgent, ambitious action to increase emissions reductions to reduce global warming and meet the climate goals of the Paris Agreement.
The Climate Change Authority’s annual progress report found that Australia’s emissions are declining too slowly and that faster, coordinated action is needed across all sectors.
The Global Carbon Budget shows that time is up for 1.5°C. Today, Minister Bowen noted in his speech to Federal Parliament that based on global emissions, we will still see warming of 2.8 degrees.
Above 1.5°C of warming, Australia faces much greater climate risks and economic consequences. These impacts include more frequent and severe extreme weather events like floods, fires and cyclones that will contribute to the cost of living, placing further stress on household budgets.
I urge the Minister to read the Academy’s report The risks to Australia of a 3°C warmer world.
It paints a picture of what our world will be like to live in when average global surface temperatures reach 3°C, which is expected in the lifetimes of our children and grandchildren.
We need to be able to look the next generation in the eyes and say we’re on track to leave you a world that is liveable.
We are making progress with emissions reductions, but the Climate Change Authority’s projections show that we need to triple our current pace of emissions reduction to reach the ambitious edge of the 2035 emissions target.
A net zero emissions outcome by 2050 is possible for Australia without compromising economic prosperity.
The Academy supports the Government’s focus on renewables and their goal to make Australia a global destination for clean energy investment.
Now is the time to invest in science and innovation to develop the technologies we need to enhance our climate modelling and understanding, accelerate the energy transition, reduce emissions and remove greenhouse gases from the atmosphere, and prepare our communities and environment to adapt to climate change impacts.
We must rise to the challenges presented by overwhelming scientific evidence and not only reduce future emissions but also deal with runaway emissions that are already locked into the atmosphere, making some warming inevitable."
Associate Professor James Hopeward is the Professorial Lead in STEM at the University of South Australia
"Minister Bowen rightly highlights the economic opportunities presented by cheap renewables and the acceleration of household electrification. However, focusing narrowly on immediate energy prices – while politically topical – risks overlooking the profound systemic constraints that define the true net zero challenge.
Insights from our energy system modelling demonstrate that meeting the 1.5°C goal requires far more than optimistic rollout scenarios. It demands three simultaneous, unprecedented actions: rapid renewable deployment, mass electrification, and crucially, a direct reduction in final energy demand.
This demand reduction is essential to account for the huge up-front energy investment needed just to build the new solar, wind, and transmission infrastructure.
Our modelling shows that prioritising a strong fossil fuel phase-out without deliberately contracting demand could create a potentially inescapable shortfall of net energy lasting decades; worse, it could lead to persistent reliance on fossil fuels (with associated warming impacts) to satisfy the competing energy appetite for both high consumption and the fuelling of the renewable roll-out. For a high-consuming nation like Australia, immediate, rapid degrowth needs to be central to our climate change action plan, to align with a globally fair transition.
We must shift the debate beyond immediate costs to address these complex, integrated requirements and radically shift our economy and energy demand if we are to seriously mitigate the risks highlighted in the National Climate Risk Assessment."
Martina Linnenluecke is the Director of the Centre for Climate Risk and Resilience at UTS Business School and is a Professor of Environmental Finance
"The 2025 Annual Climate Change Statement shows Australia is making progress, but not fast enough to stay on a credible path to its 2035 target.
Emissions are down 29% since 2005, and renewable generation has passed 40% of major grids. However, current policies only take us to a 48% cut by 2035, which leaves a large gap that must be closed.
The statement makes clear that the cheapest and most reliable energy system is one built on renewables supported by storage, not ageing coal plants that continue to drive outages and price volatility. Delay raises costs, weakens investment and leaves households and businesses more exposed to climate impacts.
The national climate risk assessment highlights rising heat, flood and fire risks that are now compounding across infrastructure, health and supply chains, with disproportionate effects on vulnerable communities.
Australia needs a coordinated national adaptation framework with clear responsibilities and funding or these losses will escalate.
The opportunity is that Australia is well placed to lead if it accelerates electrification, streamlines approvals and builds a workforce for clean energy and low carbon industry.
The message from the statement is simple: early action is cheaper and safer than delay."
Dr Niranjika Wijesooriya-Gunarathne (she/her) is a Lecturer in the School of Physics and a Member of NetZero Institute at The University of Sydney
"As Australia steps into the role of COP31 President for negotiations — a position we actively sought — we must demonstrate that our climate ambition extends far beyond the electricity sector. The Government’s 'ten truths' offer a solid starting point: climate change is real and human-driven, renewables are the cheapest and most reliable form of new energy, and net zero by 2050 is the bare minimum. These messages are important, and our strong renewable resources give us a natural advantage.
But global leadership requires more than a strong energy narrative. As COP31 President for negotiations, Australia must show it understands the full breadth of the challenge: ensuring a just transition for workers and communities, strengthening ethical supply chains, decarbonising transport, industry and agriculture, and building resilience across the economy.
Crucially, climate finance will be one of the defining issues of next year’s negotiations. The world will expect Australia not just to convene discussions, but to model responsible behaviour — supporting vulnerable nations, contributing to financing mechanisms, and demonstrating credibility on both mitigation and adaptation.
If Australia sought this leadership role, we must now earn it by presenting a whole-of-economy, ethically grounded climate strategy that reflects responsibility, ambition, and a genuine commitment to global partnership."