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01 Performance

Decarbonisation pathways

The pathway to lower emissions requires sustained investment and action across all areas of economic activity.

The opportunities to embed energy efficiency across more sectors, such as agriculture, infrastructure, property, transport and resources, continue to form a significant part of our activities, alongside continued efforts to strengthen our large-scale solar and wind sectors.

Ian Learmonth
CEO, CEFC

With energy use a significant source of emissions in the Australian economy, the electricity generation sector has a central role to play in Australia’s emissions reduction efforts. However other sectors are also important and CEFC investment activities therefore cover a broad range of technologies and sectors.

Our approach is to identify the main sources of carbon emissions in the Australian economy and to understand and align our activities to the pathways that will facilitate a lower emissions economy in the future. See Figure 3 for the pathways that guide our investment origination focus.

Figure 3: CEFC decarbonisation pathways

1. Low carbon electricity

Through the increased deployment of clean energy technologies, including storage and energy infrastructure that deliver clean, reliable and secure energy.


2. Electrification and fuel switching

Switching from fossil fuels to lower emissions alternatives in infrastructure and transport, including electrifying industrial processes, adopting electric vehicles and switching to lower emissions fuel sources such as biofuels.


3. Ambitious energy efficiency

Delivered Australia-wide, to substantially lower energy intensity and improve energy productivity in line with the 40 per cent target in the National Energy Productivity Plan.


4. Bio-sequestration and non-energy emissions reduction

Including through recycling and reducing the volume of waste going to landfill along with adopting lower emissions practices across the economy.

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