Australian Experience with ‘New’ Environmental Policy Instruments: The Greenhouse Challenge and Greenhouse Friendly Programs

Abstract

In association with international moves to address the impacts of global climate change some governments including those in the EU, US, Canada and Australia have taken steps to reduce greenhouse gas emissions via ‘new’ environmental policy instruments (NEPIs) (e.g. voluntary agreements, emissions trading and eco-labelling). This has been in response to the Framework Convention on Climate Change and in anticipation of the Kyoto Protocol coming into force. This paper focuses on Australian experience with two particular NEPIs: The Greenhouse Challenge and Greenhouse Friendly programs. Empirical evidence on the evolution and effectiveness of these programs is related to theoretical discussion on the role of NEPIs in industrial transformation, social learning and sustainability The success or effectiveness of these greenhouse NEPIs appears to be dependent on industry motivations and incentives for participation, the implementing agency's procedures and the design of the process for collaboration and information sharing between government and industry.