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The evaluation of the Greenhouse Challenge is based on research conducted for the author's PhD (subsequently published as, Edward Elgar Publishing
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The evaluation of the Greenhouse Challenge is based on research conducted for the author's PhD (subsequently published as Sullivan R, Rethinking Voluntary Approaches in Environmental Policy (Edward Elgar Publishing, 2005)).
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Rethinking Voluntary Approaches In Environmental Policy
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Sullivan, R.1
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2
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0038610460
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Houghton J, Ding Y, Griggs D, Noguer M, Van der Linden P and Xiaosu D, Climate Change 2001: The Scientific Basis. Contribution of Working Group I to the Third Assessment Report of the Intergovernmental Panel on Climate Change (Cambridge University Press, 2001).
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Climate Change 2001: The Scientific Basis. Contribution of Working Group I to the Third Assessment Report of The Intergovernmental Panel On Climate Change
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Houghton, J.1
Ding, Y.2
Griggs, D.3
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84881747453
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Australian Industry Greenhouse Network, October, ustralian Industry Greenhouse Network, 1999); Business Council of Australia, Statement of Climate Change Policy Principles (Business Council of Australia, 1999
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Australian Industry Greenhouse Network, A Submission to the Senate Inquiry into Australia's Response to Global Warming - October 1999 (Australian Industry Greenhouse Network, 1999); Business Council of Australia, Statement of Climate Change Policy Principles (Business Council of Australia, 1999);
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A Submission to The Senate Inquiry Into Australia's Response to Global Warming
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4
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84883631124
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30 January 2004 (Australian Aluminium Council, 2004); Plastics and Chemicals Industries Association, Submission to Senate Standing Committee on Environment, Communications, Information Technology and the Arts in Relation to its Inquiry into the Kyoto Protocol Ratification Bill 2003 (No 2) January 2004 (Plastics and Chemicals Industries Association, 2004). It is interesting to note that industry views are not homogenous with, for example, BP calling on the Business Council of Australia's members to adopt individual plans to cut greenhouse gas emissions
-
Knapp R, Australian Aluminium Council Submission to the Senate ECITA Committee Inquiry into the Kyoto Protocol Ratification Bill 2003 [No 2] 30 January 2004 (Australian Aluminium Council, 2004); Plastics and Chemicals Industries Association, Submission to Senate Standing Committee on Environment, Communications, Information Technology and the Arts in Relation to its Inquiry into the Kyoto Protocol Ratification Bill 2003 (No 2) January 2004 (Plastics and Chemicals Industries Association, 2004). It is interesting to note that industry views are not homogenous with, for example, BP calling on the Business Council of Australia's members to adopt individual plans to cut greenhouse gas emissions
-
(2003)
Australian Aluminium Council Submission to the Senate ECITA Committee Inquiry Into the Kyoto Protocol Ratification Bill
, Issue.2
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Knapp, R.1
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5
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84883611745
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Business Told to Cut Emissions
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4 August, (viewed 9 January 2006)
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Wilson N, "Business Told to Cut Emissions", The Australian (4 August 2005) at http://www.theaustralian.news.com.au/ (viewed 9 January 2006).
-
(2005)
The Australian
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Wilson, N.1
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6
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84883624988
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Note
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Australia is required to cap its greenhouse gas emissions at 108% of its 1990 emissions, to be achieved on an annual basis over the five years from 2008 to 2012.
-
-
-
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7
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37849011613
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Australian Greenhouse Office, AGO Annual Report 2003/2004 (Australian Greenhouse Office, 2004) p 17.
-
(2004)
AGO Annual Report 2003/2004
, pp. 17
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8
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37049028879
-
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oint Press Release, 28 July, viewed 9 January 2006
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Howard J, Downer A, MacFarlane I and Campbell I, Australia Joins New Asia-Pacific Partnership on Clean Development and Climate (Joint Press Release, 28 July 2005) at http://www.pm.gov.au/news/media_releases/media_Release1482.html (viewed 9 January 2006).
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(2005)
Australia Joins New Asia-Pacific Partnership On Clean Development and Climate
-
-
Howard, J.1
Downer, A.2
Macfarlane, I.3
Campbell, I.4
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9
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0003497374
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Australian Greenhouse Office, Australian Greenhouse Office
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Australian Greenhouse Office, The National Greenhouse Strategy (Australian Greenhouse Office, 1998).
-
(1998)
The National Greenhouse Strategy
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-
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11
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84883637295
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Australian Greenhouse Office
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Australian Greenhouse Office, n 5.
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, Issue.5
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12
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84883612671
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Australia, Department of Environment and Heritage, Press Release, 12 June
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Campbell I, 2002 State and Territory Inventories (Australia, Department of Environment and Heritage, Press Release, 12 June 2005).
-
(2005)
2002 State and Territory Inventories
-
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Campbell, I.1
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13
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84883643268
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Australian Greenhouse Office, Australian Greenhouse Office, Tracking to the Kyoto Target 2004: Australian Greenhouse Gas Emission Trends 1990 to 2008-12 and 2020 (Australian Greenhouse Office
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Australian Greenhouse Office, n 5, p 15; Australian Greenhouse Office, Tracking to the Kyoto Target 2004: Australian Greenhouse Gas Emission Trends 1990 to 2008-12 and 2020 (Australian Greenhouse Office, 2004).
-
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, Issue.5
, pp. 15
-
-
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14
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84883633223
-
Emissions from stationary sources (electricity generation, petroleum refining, gas processing, solid fuel manufacturing, manufacturing industries, construction) contributed 48.7% of total national emissions, transport contributed 14.5% and agriculture contributed 17.7%
-
Australia's greenhouse gas emissions in 2003 totalled 550.1 MT CO2(eq), an increase of 1.1% over the 1990 levels of 544.1 MT CO2(eq), see further Australian Greenhouse Office, Australian Greenhouse Office
-
Australia's greenhouse gas emissions in 2003 totalled 550.1 MT CO2(eq), an increase of 1.1% over the 1990 levels of 544.1 MT CO2(eq). Emissions from stationary sources (electricity generation, petroleum refining, gas processing, solid fuel manufacturing, manufacturing industries, construction) contributed 48.7% of total national emissions, transport contributed 14.5% and agriculture contributed 17.7% (see further Australian Greenhouse Office, National Greenhouse Gas Inventory 2003. Part A (Australian Greenhouse Office, 2005) p 16.
-
(2005)
National Greenhouse Gas Inventory 2003. Part A
, pp. 16
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16
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2642563158
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-
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Greenhouse Challenge Evaluation Report
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20
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-
84883642680
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Cooperative Agreements can be viewed at, viewed, 9 January
-
Cooperative Agreements can be viewed at www.greenhouse.gov.au/cgi-bin/challenge/displaysearch.pl?page=agreements (viewed, 9 January 2006).
-
(2006)
-
-
-
22
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84883633548
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The Australian Greenhouse Office is the Australian government's lead agency with responsibility for delivering policy advice and implementing programmes relating to climate change, further, viewed 9 January
-
The Australian Greenhouse Office is the Australian government's lead agency with responsibility for delivering policy advice and implementing programmes relating to climate change; see further www.greenhouse.gov.au (viewed 9 January 2006).
-
(2006)
-
-
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25
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84883643874
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Note
-
There were three rounds of independent verification, a pilot programme in 1998, and two complete rounds in 2000 (Australian Greenhouse Office, Independent Verification Under the Greenhouse Challenge - 2000. Findings and Discussion Report: February 2001 (Australian Greenhouse Office, 2001)) and 2002 (Australian Greenhouse Office, Report on Independent Verification of the Greenhouse Challenge Programme 2002 (Australian Greenhouse Office, 2003)). Because of industry concerns regarding confidentiality, the report of the first complete round of verifications simply stated whether the reported inventory and actions undertaken were materially accurate or not. Greater information was provided in the report of the 2002 verification process, with (in situations where there was a material discrepancy) the report detailing the percentage error but not providing information on the actual greenhouse gas emissions from the organisations involved.
-
-
-
-
26
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-
23944446945
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-
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-
Australian Greenhouse Office, Greenhouse Challenge Members' Logo Guidelines (Australian Greenhouse Office, 2000).
-
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Greenhouse Challenge Members' Logo Guidelines
-
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27
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-
84883620275
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Australian Greenhouse Office, Australian Greenhouse Office, Parker
-
Australian Greenhouse Office, Guidelines for the Cooperative Agreements Program (Australian Greenhouse Office, 2000); Parker, n 14, p 66.
-
(2000)
Guidelines For the Cooperative Agreements Program
, Issue.14
, pp. 66
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28
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23944485776
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Australian Greenhouse Office, Greenhouse Challenge Implementation Plan 2003 (Australian Greenhouse Office, 2003).
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Greenhouse Challenge Implementation Plan 2003
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29
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84883613721
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Howard, n 15.
-
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-
-
Howard1
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30
-
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84883648502
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This was a reduction on the 824 members at 30 June 2003 (Australian Greenhouse Office, Annual Report 2002-2003 (Australian Greenhouse Office, 2003)) The Australian Greenhouse Office noted that some SMEs had withdrawn because of problems in meeting new programme reporting requirements (Australian Greenhouse Office
-
This was a reduction on the 824 members at 30 June 2003 (Australian Greenhouse Office, Annual Report 2002-2003 (Australian Greenhouse Office, 2003)) The Australian Greenhouse Office noted that some SMEs had withdrawn because of problems in meeting new programme reporting requirements (Australian Greenhouse Office, n 5, p 26).
-
, Issue.5
, pp. 26
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31
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0003402943
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Australian Greenhouse Office, Annual Report 1999-2000 (Australian Greenhouse Office, 2000).
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Annual Report 1999-2000
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32
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84883635232
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Australian Greenhouse Office, n 14, pp 12, 24-28.
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, Issue.14
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33
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84883645707
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Australian Greenhouse Office
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Australian Greenhouse Office, n 14, pp 12, 24-28.
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, Issue.14
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34
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0005161041
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Australian Greenhouse Office, Australian Greenhouse Office
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Australian Greenhouse Office, Annual Report 2001/2002 (Australian Greenhouse Office, 2002).
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Annual Report 2001/2002
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35
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84883611859
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Sullivan, n 1, pp 110-111.
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, pp. 110-111
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Sullivan1
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36
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84883629805
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Australia, Senate Environment, Communications, Information Technology and the Arts References Committee, The Heat is On: Australia's Greenhouse Future (Commonwealth of Australia, 2000).
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The Heat is On: Australia's Greenhouse Future (Commonwealth of Australia
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Australian Greenhouse Office, National Greenhouse Gas Inventory 1999 (Australian Greenhouse Office, 2001) at A-15- A-19.
-
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National Greenhouse Gas Inventory 1999
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39
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84883625187
-
-
Note
-
While specific targets have not been defined, a stabilisation target of 550 parts per million by volume of carbon dioxide in the atmosphere (ie a doubling of the pre-industrial level) is a widely used benchmark
-
-
-
-
40
-
-
0033946345
-
Climate Policy Targets and the Role of Technological Change
-
The Intergovernmental Panel on Climate Change has estimated that achieving this target would require an overall reduction in greenhouse gas emissions of 60% (Houghton et al, n 2, pp 69-124). Given the need to allow growth in the developed countries, this means that developed countries such as Australia would probably need to reduce their greenhouse gas emissions by 80% or more
-
Janssen M and De Vries B, "Climate Policy Targets and the Role of Technological Change" (2000) 46 Climatic Change 1 at 1). The Intergovernmental Panel on Climate Change has estimated that achieving this target would require an overall reduction in greenhouse gas emissions of 60% (Houghton et al, n 2, pp 69-124). Given the need to allow growth in the developed countries, this means that developed countries such as Australia would probably need to reduce their greenhouse gas emissions by 80% or more.
-
(2000)
Climatic Change
, vol.46
, Issue.1
, pp. 1
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Janssen, M.1
de Vries, B.2
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43
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84883631920
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In a review of the activities of the Australian Greenhouse Office, the National Audit Office noted that the emissions reductions claimed for the Greenhouse Challenge did not take account of (a) what would have happened in the absence of the Greenhouse Challenge; (b) the effect of corporate environmental management systems; or (c) the effect of State and Territory greenhouse programmes (National Audit Office
-
In a review of the activities of the Australian Greenhouse Office, the National Audit Office noted that the emissions reductions claimed for the Greenhouse Challenge did not take account of (a) what would have happened in the absence of the Greenhouse Challenge; (b) the effect of corporate environmental management systems; or (c) the effect of State and Territory greenhouse programmes (National Audit Office, n 33, pp 43, 70).
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44
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in Begg K, Van der Woerd F and Levy D, (Greenleaf Publishing
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Sullivan, n 1, p 115.
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, Issue.1
, pp. 115
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Sullivan, n 1, pp 115-117.
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, Issue.1
, pp. 115-117
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49
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Beresford R and Waller S, "The Kyoto Protocol: Threats and Opportunities" (2000) 40(1) The APPEA Journal 645 at 648-651;
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, Issue.1
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Australia, 27-30 November
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Rex L, "Greenhouse Gas Reduction and Energy Efficiency in the Australian Plastics and Chemicals Industries" (Vol 2, Proceedings of the 15th International Clean Air and Environment Conference Sydney, Australia, 27-30 November 2000).
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, vol.2
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Sullivan1
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53
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84883644247
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Now part of the NSW Department of Energy, Utilities and Sustainability at, viewed 9 January
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Now part of the NSW Department of Energy, Utilities and Sustainability at http://www.deus.nsw.gov (viewed 9 January 2006).
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54
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Cooper D, Duncan R, Precious B, Williamson A and Workum N, "Creating Demand for Energy Efficiency in Australian Industry" (SEDA, Sydney, 1999), 13 pp (copy on file with the author).
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Reating Demand For Energy Efficiency In Australian Industry
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, pp. 20-122
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, Issue.14
, pp. 42-43
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58
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59
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63
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64
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66
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84883631865
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Australia, Senate Environment, Communications, Information Technology and the Arts References Committee, n 32, p 367.
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, pp. 367
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67
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84883612691
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Note
-
Voluntary programmes do tend to achieve the targets set for themselves, although this, of itself, may not be a particularly important finding as firms frequently play a key part in the negotiations that define these targets;
-
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68
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34547726519
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Baranzini A and Thalman P (eds), Edward Elgar Press
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70
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An analysis - using game theory and economic models of regulation - of the regulatory gains (pre-empting regulation, influencing the shape of regulation, and deflecting the enforcement of existing regulation) that may accrue to the participants in voluntary programmes is presented in, Cambridge University Press
-
An analysis - using game theory and economic models of regulation - of the regulatory gains (pre-empting regulation, influencing the shape of regulation, and deflecting the enforcement of existing regulation) that may accrue to the participants in voluntary programmes is presented in Lyon T and Maxwell J, Corporate Environmentalism and Public Policy (Cambridge University Press, 2004).
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(2004)
Corporate Environmentalism and Public Policy
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Lyon, T.1
Maxwell, J.2
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71
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84883615635
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Note
-
This is one part of the Australian government's Climate Change Strategy, for which the policy framework is contained in the 2004-2005 budget papers. See, Department of Environment and Heritage, Budget 2004-2005 (Department of Environment and Heritage, Canberra, 2004) and the Energy White Paper in: Commonwealth of Australia, Energy Taskforce, n 8.
-
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72
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84883637013
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, pp. 1
-
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73
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84883621643
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Note
-
Greenhouse Challenge Plus will also provide the framework for Greenhouse Friendly certification (a voluntary initiative that provides Australian businesses with the opportunity to market "greenhouse-neutral" products or services) and the Generator Efficiency Standards programme (which aims to aim to achieve best practice in the efficiency of electricity generation).
-
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74
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84883613872
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, pp. 17
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75
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76
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Australian Greenhouse Office, n 62, p 3.
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77
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Australian Greenhouse Office, n 62, p 6.
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78
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Australian Greenhouse Office, Greenhouse Challenge Plus: An Australian Government-Industry Partnership to Reduce Greenhouse Gas Emissions and Improve Energy Efficiency (Australian Greenhouse Office, 2005).
-
-
-
-
79
-
-
84883606881
-
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Australian Greenhouse Office, n 68. The Australian Greenhouse Office has stated that the mandatory requirements to join the Greenhouse Challenge Plus mean that the government's target of 1000 Greenhouse Challenge members by 2005 is no longer a useful target or indicator of progress, see: Australian Greenhouse Office
-
Australian Greenhouse Office, n 68. The Australian Greenhouse Office has stated that the mandatory requirements to join the Greenhouse Challenge Plus mean that the government's target of 1000 Greenhouse Challenge members by 2005 is no longer a useful target or indicator of progress, see: Australian Greenhouse Office, n 5, p 27.
-
, Issue.5
, pp. 27
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80
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Australian Greenhouse Office, n 62, pp 14, 16.
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81
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Australian Greenhouse Office
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Australian Greenhouse Office, n 62, p 14.
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, pp. 14
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82
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Australian Greenhouse Office, n 62, p 6
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, pp. 6
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83
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Australian Greenhouse Office
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Australian Greenhouse Office, n 62, p 6.
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84
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85
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Australian Greenhouse Office, Industry-Government Greenhouse Partnership Committee at http://www.greenhouse.gov.au/challenge/about/iggpcommittee.html (viewed 10 January 2006).
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Industry-Government Greenhouse Partnership Committee
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The Cost Efficiency of Voluntary Agreements for Regulation Industrial Pollution: A Coasean Approach
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As noted by Glachant: Concerning CO2 reduction agreements in high energy consuming industries, we can be more suspicious about the cost efficiency of voluntary approaches given the weight of energy cost in total production costs, firms have paid much more attention to energy saving activities for a long time. It can be assumed that the nature and cost of energy saving techniques are well known by each firm, Carraro C and Leveque F, Kluwer Academic
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As noted by Glachant: "Concerning CO2 reduction agreements in high energy consuming industries, we can be more suspicious about the cost efficiency of voluntary approaches given the weight of energy cost in total production costs, firms have paid much more attention to energy saving activities for a long time. It can be assumed that the nature and cost of energy saving techniques are well known by each firm" in Glachant M, "The Cost Efficiency of Voluntary Agreements for Regulation Industrial Pollution: A Coasean Approach", in Carraro C and Leveque F, Voluntary Approaches in Environmental Policy (Kluwer Academic, 1999) p 88.
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(1999)
Voluntary Approaches In Environmental Policy
, pp. 88
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Glachant, M.1
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96
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84883649338
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Note
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the discussion in Commonwealth of Australia, Energy Taskforce, n 8, s 8, which acknowledges that most developments in low emission technology will occur overseas, even though the Australian government has established a A$500 million Low-Emission Technology Development Fund to support industry-led initiatives to demonstrate such technologies.
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97
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84883637557
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Note
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Commonwealth of Australia, Energy Taskforce, n 8, s 3.
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98
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84883652481
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Note
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Commonwealth of Australia, Energy Taskforce, n 8, s 6.
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99
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84883632134
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Note
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Commonwealth of Australia, Energy Taskforce, n 8, s 6.
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100
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84883634237
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Note
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Commonwealth of Australia, Energy Taskforce, n 8, s 1.
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102
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84883613882
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Note
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As noted by Segerson and Roti Jones, the absence of a backdrop of stronger regulatory threats is likely to minimise the effectiveness of any voluntary policy measures aimed at reducing greenhouse gas emissions
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