The Direct Action Fund has been re-badged the Climate Solutions Fund and given a $2 billion dollar funding boost by the federal government.
Prime Minister Scott Morrison yesterday announced a $3.5 billion Climate Solutions Package to address climate change.
“There will be further announcements ahead but as part of the $3.5 billion Climate Solutions Package, we will invest a further $2 billion in the Climate Solutions Fund,” he said.
“The Climate Solutions Fund will build on the success of the Emissions Reduction Fund (ERF) which has contracted 193 million tonnes in emission reductions.
“Australia will meet its international climate targets without wrecking the economy and driving power prices sky high.”
The Minister for the Environment, Melissa Price, said the Climate Solutions Fund will ensure the ERF delivers a further 103 million tonnes in emission reductions to 2030.
“This will make a key contribution to us meeting our 26% emissions reduction target under the Paris agreement,” she said.
Price said Australia beat its first greenhouse gas reduction target under the Kyoto Protocol (2008-2012) by 128 million tonnes of greenhouse gases and is on track to overachieve its second Kyoto Protocol target (2013-2020) by 240 million tonnes.
She said Australia’s 2030 target to reduce emissions by 26 to 28 per cent below 2005 levels is responsible and achievable.
“This target will see a reduction in the emissions intensity of Australia’s economy by two thirds, and emissions per person halve by 2030. This is one of the strongest efforts among G20 countries,” Price said.
The $2 billion in funds will be rolled out over 10 years and includes energy efficiency initiatives for the refrigeration sector and an electric vehicle strategy.
Opposition climate change spokesman Mark Butler dismissed the funding injection as a continuation of a failed policy, vowing to scrap the scheme if Labor wins the election.
He said the government's latest pledges are still making taxpayers foot the bill for big polluters.
"These sorts of activities should be paid for by the private sector," Mr Butler told ABC radio.
"If you're serious about climate change then what you would do as a Prime Minister is dump their plans to spend even more billions of taxpayer dollars on funding coal fired power stations."
Labor is promising a 45 per cent emissions target by 2030, based on 2005 levels.
This is in addition to $10 billion for the Clean Energy Finance Corporation to invest in renewable energy and energy efficiency programs across Australia.