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You are here: Home / Nachrichten / COMMENT: Hosting the UN climate summit is far from ‘madness’ – here’s how Australia stands to benefit

COMMENT: Hosting the UN climate summit is far from ‘madness’ – here’s how Australia stands to benefit

Adelaide, capital of South Australia, is in the box seat to play host for COP 31 in 2026 – Image: South Australia

Opposition Leader Peter Dutton would withdraw Australia’s bid to co-host next year’s global climate summit if the Coalition wins the federal election. Australia has lobbied hard for the right to host the talks, known as COP31, in conjunction with Pacific nations. Australia has emerged as a leading contender, and has the backing of most countries in its United Nations grouping, including the United Kingdom, France, Germany, Canada and New Zealand.

However, Dutton on Sunday described the idea of hosting the UN climate conference as “not something we are supporting — it is madness”. He also falsely claimed it would cost Australia “tens of billions” of dollars to host the event.

Australia would reap big benefits by hosting the high-profile global talks. It would likely attract considerable investment in renewables and clean energy export industries, and strengthen Australia’s national security during a time of increasing geo-strategic competition in the Pacific. To pull out now would be a costly move.

Decision deferred until June

The decision on who will host COP31 in 2026 was expected at last year’s summit in Azerbaijan. But it was deferred until June this year – after Australia’s next federal election.

Hosting rights are shared between five UN country groupings on a rotational basis. The final decision is made by consensus.

Australia’s bid to host with Pacific nations has considerable support. But Turkey, the only other country in the running to host COP31, has so far resisted lobbying efforts to persuade it to drop out.

The economic benefits of COP 31 in Australia would be much wider, and longer-lasting, than tourism receipts from those attending – Image: South Australia

An economic boost for Australia

Hosting the UN climate talks is a massive economic opportunity for Australia.

COP31 would be one of the biggest diplomatic summits Australia has ever hosted. Tens of thousands of people could be expected for a fortnight of negotiations, with satellite events held across the nation and the Pacific.

Adelaide is in the box seat to play host. The South Australian government estimated hosting the UN talks could generate more than A$500 million for the state. But economic benefits would be much wider, and longer-lasting, than tourism receipts from those attending. The talks are a chance to attract investment for Australia’s energy transition and for clean energy industries of the future, including critical minerals and green iron.

The UK government’s assessment of the value of hosting the UN climate summit in Glasgow in 2021 found the net economic benefit was double that spent – around A$1 billion. That includes benefits from trade deals and foreign investment. With abundant critical minerals, and excellent wind and solar resources, Australia has even more to gain.

Hosting the world’s largest climate summit is a chance to attract the investment needed to replace ageing and unreliable coal-fired power stations. According to the Clean Energy Investor Group, which represents the capital behind large-scale renewables, more than 70% of the investment in clean energy comes from international sources.

Dutton says he plans to replace coal with nuclear power (and to rely on gas until nuclear plants are built decades from now). The Coalition’s nuclear plan would require hundreds of billions of dollars of taxpayer support.

Securing our place in the Pacific

Working with Pacific nations to address climate change is key to Australian national security. Australia aims to be the security partner of choice for Pacific island countries. And Pacific island countries are crystal clear: climate change is their “single greatest threat”.

In 2022, Solomon Islands signed a security deal with China, which raised the prospect of a potential Chinese naval base in Australia’s maritime approaches. Foreign Minister Penny Wong – who was in opposition at the time – described it as the worst foreign policy blunder in the Pacific since the end of WWII.

The Albanese government has looked to cement Australia’s place in the Pacific by working with island nations to address climate change. In July 2022, Albanese joined Pacific leaders to declare a Pacific climate emergency and launched bid to co-host a UN climate summit with Pacific nations. In 2023, Australia signed a climate migration deal with Tuvalu that also prevents Tuvalu from pursuing a security deal with China.

Pacific leaders have welcomed Australia’s plans to host the UN climate talks and have agreed to work together to advocate for the joint bid. Walking away now could do real damage to Australian strategy in the region.

From fossil fuel heavyweight to clean energy superpower: Australia is leading the clean energy transition for a sustainable future – Image: South Australia

Embracing our clean energy future

Hosting COP31 is a chance to set up Australia’s economy of tomorrow, signalling the shift from fossil fuel heavyweight to clean energy superpower. Australia is leading the clean energy transition. This is a story to tell the world. One in three households have rooftop solar. Already 40% of the main national power grid is powered by wind, solar and storage. We are on track for 80% renewables by 2030.

South Australia is moving even faster, set for 100% clean electricity by 2027. Hosting COP31 in the state is also a chance to showcase clean energy export industries, especially plans to produce green iron and green steel at the Whyalla steelworks.

Australia is the world’s largest exporter of raw iron ore, but is well positioned to export more-valuable, and lower-polluting, green iron to major economies in our region. The potential export value of green iron is estimated to be $295 billion a year, or three times the current value of iron ore exports.

More broadly, our clean energy exports – including green metals, green fertilisers and green fuels – could be worth six to eight times more than our fossil fuel exports. Walking away from the chance to host the world and showcase our clean energy future would be costly indeed.

Wesley Morgan, Research Associate, Institute for Climate Risk and Response, UNSW Sydney

This article is republished from The Conversation under a Creative Commons license. Read the original article. (The Conversation/NAN 1-04-25)

 

 

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