Protester holding a sign with the message “Have some respect for mother Earth” at a protest against climate change – Image: Ivan Radic/Wikimedia Commons
New modelling of global consultancy and advisory firm Deloitte released today confirms that a 75% climate target is good for business and good for Australians, says the Climate Council Australia: “Unlocking enormous economic benefits will boost our GDP, create jobs, and build new industries.” The Deloitte report reveals that a 75% cut to climate pollution (on 2005 levels) over the next decade would deliver a $370 billion boost to Australia’s GDP within the next decade and leave Australia almost half a trillion dollars better off by 2050 compared to a weaker target.
The report was commissioned by Business for 75, a coalition of more than 350 businesses of all sizes and sectors, that support a strong emissions reduction target.
Business for 75: Australia to gain $370 billion with a 75% target
The Australian government will soon decide on its 2035 emissions reduction target, consistent with the Climate Change Authority’s recommendation of somewhere between a 65% and 75% reduction on 2005 levels.
A 75% target unlocks enormous economic opportunity, boosting jobs, exports and the GDP. Compared to continuing along our current trajectory, a 75% target unlocks an additional $370 billion in GDP and supports an additional 69,000 jobs by 2035.
But even compared to a weaker emissions reduction of 65%, the 75% target makes a huge difference. That’s the clear picture painted by new scenario analysis from Deloitte Access Economics.
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- Top-down scenario analysis from Deloitte Access Economics shows Australia’s GDP will likely be $370 billion greater by 2035 under a 75% emissions reduction target, compared to current projections.
- An estimated 69,000 additional Australian jobs would be supported each year between 2025-2035 under a 75% target compared to continuing along our current trajectory.
- The analysis shows a 75% 2035 emissions reduction target also provides huge economic benefits compared to a weaker 65% one.
75% unlocks economic opportunity above weaker targets
Compared to a weaker emissions reduction target of 65%, a stronger 75% target:
- Brings forward investment, unlocking an additional $20 billion per year to 2035.
- Increases the competitiveness of Australian exports in a decarbonizing world, raising export revenues by $190 billion over the period to 2050.
“Australia is in a race to secure the global capital required to establish green industries. Setting a lower target today comes at the cost of lower business investment than would otherwise be the case,” says Deloitte Access Economics Lead Partner Pradeep Philip.
“Achieving a strong target creates the foundation for Australia’s economy to grow and compete in a decarbonized world, driving investment, innovation and industries for growth. Getting these foundations right with a 75% target can drive, in today’s dollars, $190 billion more exports by mid-century.”
Business backs 75%
Some of Australia’s biggest companies and employers agree that a stronger climate target is better for business.
Over 350 businesses including Future Group, Fortescue, Atlassian, Canva, IKEA, Unilever, Volvo Group Australia, Culture Amp, Bank Australia, Intrepid Travel and Ben & Jerry’s have signed the open letter calling for the government to commit to at least a 75% target.
The business coalition, led by Fortescue and Future Group, has gained significant momentum as pressure mounts on the Government to realize this target. Some of Australia’s largest businesses have signed the Open Letter at www.businessfor75.com.au in support of this target.
Future Group Chief Executive Simon Sheikh says:
“As the world decarbonizes, Australia holds a winning hand: abundant land, affordable renewable energy, critical minerals, and a skilled workforce. With these strengths, we can build a future made in Australia—powered by clean energy, advanced manufacturing, and secure, well-paid jobs in our regions. But ambition must come first.”
“A strong 2035 target will send a clear signal to investors, industry and our global partners that Australia is serious about net zero—and ready to play ball in the industries of tomorrow.”
Fortescue Metals and Operations Chief Executive Dino Otranto:
“Results from modelling commissioned by Fortescue and Future Group show clearly that a 75 per cent 2035 target will drive the investment, innovation and infrastructure transformation that will position Australia as a global export powerhouse.
“The modelling shows that achieving a 75 per cent target could unlock an additional $370 billion in GDP by 2035 – a per capita GDP increase of over $10,000 – compared to a business as usual approach. A science-based target will deliver a larger, more productive and more prosperous economy in the 2030s and beyond, compared to a lower target.”
“The Australian business community is ready to back a strong emissions target of 75 per cent. The government should seize this once-in-a-generation opportunity, for the good of our economy, for our businesses and for every Australian citizen.”
Unilever Australia Chief Executive Nick Bangs:
“Australia’s food and grocery sector is the third-largest industrial energy user in the country and has a critical role to play in the energy transition. At Unilever Australia, we’re transforming how we manufacture—from switching to renewable electricity to making our operations more efficient. But to scale these efforts, we need strong government leadership. That’s why we support Business for 75 and urge the Australian Government to commit to ambitious, science-based climate targets. Clear policy direction will empower manufacturers to invest, innovate, and accelerate the shift towards a low-carbon economy.”
IKEA, Australia and New Zealand Mirja Viinanen, CEO and Chief Sustainability Officer:
“IKEA is rapidly decarbonizing, investing in circularity, and proving that sustainability and commercial success go hand in hand. But we can’t get to where we need too it alone. We’re ready to work alongside other businesses and government to scale up and move fast.
From our experience, setting ambitious goals has driven momentum that simply couldn’t be achieved without aiming high. That’s why we urge the Australian Government to adopt the most ambitious, science-aligned target possible—because bold targets inspire bold action, and together, we can build a better future for the many people.”
Bank Australia Managing Director Damien Walsh:
“We signed onto Business for 75 because we believe Australia’s future — and the future of our members — depends on strong, credible climate action.”
“As a customer-owned bank, our purpose is to create positive impact and value for people and the planet. A minimum 75% reduction target by 2035 is both achievable and necessary to protect communities from climate risk and to seize the opportunities of the clean economy.”
“The choices we make today will decide the kind of Australia we pass on. We choose an Australia powered by clean energy and opportunity.”
“The clean economy is the growth story of our time. Australia needs the right target to lead it.”
“Our customers expect us to back solutions that safeguard the value of their savings and create new opportunities for all Australians. A strong 2035 target does exactly that. It’s necessary, achievable and will pay dividends for decades to come.”
Squadron Energy Chief Executive Rob Wheals:
“To achieve great things, we need ambitious goals, and an ambitious emissions reduction target has the potential to unlock investment and drive long-term economic growth, particularly for regional Australia.
“This modelling confirms that climate leadership is not just good policy, it’s good business. The opportunity is ours to seize.”
Volvo Group Australia Chief Executive Martin Merrick:
“Australian businesses know that a strong target will provide the clarity, credibility and confidence needed to attract large-scale investment in building new renewable energy generation, new green industries and new technologies.
“A strong target will enable Australia to transition away from fossil fuels towards a more prosperous future, sending a clear signal to our global trading partners that Australia is not only committed to, but also capable of being a competitive player in the global green economy.
“Australian communities and businesses are already facing the escalating impacts of climate change. Failing to set a strong, science-based Nationally Determined Contribution (NDC) will increase Australia’s contribution to rising global emissions while diminishing our relevance within a global economy that is rapidly decarbonising and seeking green, renewable products.
“The evidence is clear. We call on the government to set an ambitious NDC of 75% and leave a historic legacy for all Australians.”
Ben & Jerry’s Activism Manager Hilary McAllister:
“This target is not just what Australians need – it’s what Australians deserve, and an essential step in taking the bold, necessary action we need to address the climate crisis. Through campaigns such as This Is Our Whirled, Save Southern Sea and Unfudge our Future, Ben and Jerry’s has long advocated for progressive environmental policy, informed by scientific targets. We know that doing right by our planet is good business, and it’s now the Government’s turn to match our ambition and commit to 75% by 2035.” (NAN/CC 26-08-25)
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