Australia can reach net zero by 2050 — but it will be fast, costly and deliberate.
Image from Net Zero Australia’s “Topical Report #1 Updated Net Zero Pathways for Australia”.
Given the September 2025 release of the Australian Government’s National Climate Risk Assessment of the country’s climate risks, closely followed by the Climate Change Authority’s 2035 Emissions Reduction Targets Report, I thought it would be relevant to devote some space to how to address the climate change challenge we all face.
Updated Net Zero Pathways for Australia (UNZPA) - Topical Report (24 September 2025)
The most recent Net Zero Australia report models the optimal and least-cost scenario to get us to a 2-2.5° warming target by 2050, and includes nuclear power generation. Other scenarios modeled exceed this warming. *
The UNZPA net zero modelling shows a feasible but demanding pathway to 2050
The transition is led by rapid expansion of renewables – mainly solar – and large scale battery storage. Models point to roughly 300 GW of renewables by 2050, doubling transmission capacity and new CO2 and hydrogen pipelines.
The Biggest emissions cuts come from electricity:
Transport and heavy industry will decarbonise more slowly and need tailored solutions (electrification, low-carbon fuels, process changes);
Agriculture and land are unlikely to provide offsets for other sectors, and
Carbon capture and storage (CCS) is essential across credible pathways.
What are the costs and investment required?
About $1.6 trillion of capital investment is needed by 2050, primarily for renewables and networks. Energy system costs could be ~$42 billion higher by 2050 under a net zero path, with some scenarios showing annual costs up to 12% above in case of inaction.
What should be our priorities now?
The latest UNZPA modelling supports:
Accelerating solar and batteries;
Fast-track transmission, and carbon capture and storage (CCS);
Creating clear investment frameworks;
Integrating biodiversity and community safeguards, and advocates;
Finally and not least by any measure, we need clear, consistent policy to steer investment, while keeping technology options open.
You can access the details of the latest Net Zero Australia report here, and a recording of the live discussion here.
At COP21 in 2015, parties to the UNFCCC reached a landmark agreement to combat climate change and to accelerate and intensify the actions and investments needed for a sustainable low carbon future. The Paris Agreement’s central aim is to strengthen the global response to the threat of climate change by keeping a global temperature rise this century well below 2 degrees Celsius above pre-industrial levels and to pursue efforts to limit the temperature increase even further to 1.5 degrees Celsius.
Want to get ethical?
We’ll help assess your intended investment against your priorities. We’ll work through what ethical mean to you, and how the companies you’re interested in manage environmental, social and governance issues (ESG) in their business.
Get our Guide to Ethical Investment with everything you need to get started
Stay on top of your finances
Getting your finances in order is one thing. Staying on top of them is something else again. A change in government policy, new legislation or amended regulations can have a powerful impact on how your finances are structured.
Subscribe to our regular newsletter to stay up to date with all the latest developments and changes.
Uncertain what to do next? Got questions?
Get certainty, direction and answers. Contact us now to talk through any issues you’ve got.
Together, we’ll get your money doing what you care about.