Labor has set the public service a net zero emissions target by 2030, but more than half of its emissions are exempt for national security reasons.
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Unveiling the opposition's long-awaited mid-term emissions target on Friday, the Opposition Leader revealed Australia's national security agencies would not be subject to the target "due to their unique operational needs".
But the three exempt agencies - the Australian Federal Police, Defence Force, and Border Force - accounted for nearly 60 per cent of public service emissions.
"It is time that government led, and our Labor government would do just that," Mr Albanese said.
Government data from 2011-12, on which the modelling was based, showed non-Defence agencies were responsible for 1.16 million tonnes of the 2.84 million tonnes emitted by the APS overall.
Even without the three exempted agencies, that would place the APS in the top 50 emitters among Australian companies.
But Australia Institute chief economist Richard Denniss said it was "realistic" to separate the broader APS's emissions from those of national security agencies.
"The challenge for the public sector as a whole, however, is it includes the Defence Force and Border Force and other agencies that rely very heavily on jet fuel and diesel fuel," he said.
"Committing to a net zero air force, for example, is simply not achievable with current technology or technology that's foreseeable in the short term."
The plan included an aim to have low-emissions vehicles account for 75 per cent of new Commonwealth purchases and leases by 2025.
Labor said the move would provide a "much-needed boost" to Australia's "non-existent" second-hand electric vehicle market.
Labor also argued government procurement under the Coalition had sent jobs offshore, pledging to prioritise local content and cheaper renewable energy.
Mr Denniss added the strategy was a simple cost-saving measure targeting "very low hanging fruit".
"Frankly, these are overdue cost savings that should have been that should have been pursued years ago," he said.
Community and Public Sector Union national secretary Melissa Donnelly said the policy would make a "material difference" to reaching Australia's broader climate targets.
"Today's announcement is a welcome change from what we have come to expect from the Morrison government, which has refused to even publish the annual operational emissions for the APS.
"The federal government should be leading by example. Today's announcement would establish the public service as a leader and role model."
Labor members agreed to a net zero target for the public service at the party's virtual conference in March, but no time frame was agreed to.
Under the proposal, Labor would consult with a range of stakeholders, including public servants and unions.
Measures on the table will include cuts to transport emissions, better energy efficiency in public service offices, and more environmentally friendly purchases.
Labor will aim for a 43 per cent emissions reduction by 2030, just two percentage points less than the 45 per cent target it took to the 2019 election, which Mr Albanese had described as a mistake.
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