A new survey commissioned by GE has found that 72 per cent of Australian businesses believe carbon pricing is here to stay and more than two-thirds of businesses have some form of carbon reduction strategy in place.
The recently released second annual Australian Low-Carbon Readiness Barometer from the Economist Intelligence Unit, which surveyed 136 senior executives in Australia across a broad mix of industries, also found that more than half of those companies directly affected by the carbon tax have developed broad energy efficiency strategies that encompass their external partners or supply chains.
“Business is getting on with the job of reducing their energy usage and therefore reducing their emissions,” Steve Sargent, President and CEO of GE Australia and New Zealand, explains.
“Now it is about action rather than policy. It is encouraging to see that the companies that are directly affected by carbon pricing are taking action. The big opportunity for business is in improved productivity from lower energy usage and innovation aimed at cost reduction and growth.”
Further key findings from the Australian Low-Carbon Readiness Barometer include:
- Now that we have policy in legislation, business is getting on with the job of reducing their carbon footprint and becoming more energy efficient. More than two thirds of all firms surveyed already have some sort of carbon-reduction strategy in place, and almost a third (29 per cent) has modelled the impact on their business operations.
- Of the firms which will be directly affected by carbon pricing, 85 per cent have a carbon-reduction strategy in place, with a further six per cent in the midst of developing one. Of the firms which will be indirectly affected by carbon pricing, only 10 per cent have conducted such modelling.
- Almost two-thirds of businesses surveyed believe that A$23 per tonne price of carbon is too high, while around 10 per cent believe it is too low.
“The results demonstrate that an imminent price on carbon is working to change behaviour and drive action,” Ben Waters, Director of GE ecomagination in Australia and New Zealand, concludes.
“This is the new business reality; doing more with less will be important this century. As with all new trends, business will react and adapt in different stages, however it is encouraging to see that starting to happen.”
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