Climate transition should be built from the ground up with local support to avoid one-size-fits-all approach

Transitioning regional communities to renewable energy industries in the future should start from the ground up to avoid a one-size-fits-all approach, according to the Centre for Policy Development.

The CPD released its Making our Way report last week, which recommended that local transition plans for Australian regions affected by climate transition should be built “from the ground up” to strengthen resilience and adaptability, rather than adopting a one size fits all approach that focuses on replacing fossil fuel industries with renewable energy industries.

The report develops and applies a multi-dimensional analytical framework to 11 Local Government areas nationally affected by climate transition, including Karratha, Ashburton and Collie in WA.

Report author, CPD economic adviser Mara Hammerle, said all levels of government should share data and co-ordinate on plans to ensure they could work together effectively with local communities.

“Every place is different. Communities choosing their path will require support in different areas from government, and investments that make sense in one place won’t necessarily be needed, wanted, or viable in another.”

CPD sustainable economy program director Toby Phillips, who also authored the report, said climate transition presented an opportunity to bolster the long-term economic resilience of Australian communities.

“One of the major challenges facing our nation as a whole is a lack of economic diversity, and this issue is particularly pronounced in the places most affected by climate transition,” Mr Phillips said.

Mr Phillips said government bodies such as the new Net Zero Authority have an important role to support communities through transition.

“They should focus on building adaptive capacity and playing to the unique strengths of each region,” he said.

“This approach can ensure transition support goes where it is most needed, in the form that’s most useful, while taking local economies in the direction people want to go.”

Mr Phillips said a local plan was critical as LGAs differ in many important respects — transition planning cannot be one-size-fits-all.

“For instance, LGAs in NSW and Collie in WA already benefit from dynamic local economies and strong domestic market connections that provide a good base to build upon with general business support,” he said.

“While LGAs in the Pilbara and Central Queensland likely require more extensive planning and infrastructure investment due to their more highly concentrated economies and fewer connections to nearby markets.”

The CPD recommends governments at all levels cooperate on a response led by the specific strengths, needs and capabilities of local communities affected, as well as a broad focus on enhancing economic diversity, greater access to services, and building social capital.

Most communities affected by transition are below the Australian regional average in these domains.