The Energy Supply Association of Australia (ESAA) said a national policy would create more certainty regarding new energy supply decisions.
“To make rational investment decisions, we need to be able to price greenhouse gas emissions and preferably trade them so we get least cost abatement,” ABC News quoted ESAA chief executive Brad Page as saying.
He also told AAP that demand for electricity was expected to increase 65% over the next few decades while greenhouse gas emissions needed to fall.
“New investment in generation facilities alone to meet demand could top $75 billion by 2030, while total system investment is likely to be double what we have now,” he reportedly said.
An Australian Government taskforce is currently considering the pros and cons of adopting a carbon trading scheme, but Prime Minister John Howard has suggested taking part in a global system.
