Australia presses big polluters to curb industrial emissions onsite

CANBERRA, May 26 (Xinhua) -- Major industrial emitters, including mining giant BHP, must cut emissions at source, following reports the company has scaled back key decarbonization plans, Australia's top climate official said Tuesday.

Minister for Climate Change and Energy Chris Bowen said companies covered by Australia's safeguard mechanism, which requires large facilities to reduce emissions intensity over time, retain flexibility but are expected to prioritize on-site reductions.

"That applies to BHP and everyone else," Bowen said.

Leaked internal documents published by media indicate BHP, the Australian mining industry's largest diesel user, has delayed renewable energy projects and the electrification of diesel mining fleets, casting doubt on its 2050 net zero pledge, the Guardian Australia reported.

Independent lawmaker Kate Chaney said the mechanism lacks strength, allowing companies to meet targets by purchasing carbon offsets instead of cutting pollution directly onsite, the media reported.

The fuel tax credits for diesel also undermined decarbonization efforts, Chaney said, adding the rebate should be limited for the "largest, most profitable companies like BHP" but kept for farmers and small businesses.

The leaked documents show BHP's Western Australia iron ore operations are forecast to cut emissions by only about 1 percent by 2030, despite accounting for roughly a third of the company's global emissions.

BHP said in a statement it had reduced emissions by 36 percent from 2020 levels and remained committed to net zero by 2050, but cited technological constraints, particularly the lack of battery-electric trucks, as slowing progress. Enditem