Policy Guidance Brief: Ensuring business and industry are ready for climate change
The Australian private sector is not at present well engaged with climate change risks and adaptation, although exemplars exist, especially in the resource and agriculture sectors. Government has a role to play by building engagement through education and recognising and promoting good practice. This factsheet describes the current and future effects and impacts of climate change on the business sector, including examples of climate risks and impacts on different sectors of the economy (e.g. construction, mining, aviation). In terms of adaptation, it identifies three key elements: (i) maintaining economic viability, (ii) managing climate legal risk and responding to adaptation regulations, and (iii) positioning to identify opportunities. However, adaptation policies can be seen as a threat to the public sector, which is why efforts should be made to reduce the associated transaction costs. There is also a need for a harmonisation of adaptation methods across state jurisdictions. A case study on the coal mining operations in Queensland and its relation with the drought and flooding challenges relevant to the future viability of the industry is included.