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AUSTRALIAN AORICUI~TURAL ECONOM]CS SOCIETY
37th AtlnUtll Conference
LJniversity of Sydney
9th .. 11th f~ebl'uul'Yt1993
ECONOMICS AND
A CRITIQUE OF
1\ln~
SlJS1'AINAIU1~ITV;
E;SO WORKING GROUP REI)ORrS
Genrr Edwards
ttl Trol)e University
Bundoora Vic 3083
Phone 03 479 1111
I~CONOMtcS
A CR11;IQtJE
Ol~
ANt> StlS1'A1NAIUIJrrV:
'rUfl! r~Sl> WOIU{INO(lR()UP 'Rr~rORTS
In August I C)90PI'inlt' Minister Hnwkc nnnounced tho setting up of Wotkjng aroup~ to
p,'epnt'el'cpor'ls eUl ecologicnHy sustuhmble devclolunent.f The Working a.'oups were nsked "m
pl'ovide ndvice to Oovernmem on future policy dirccti()mh und to develop pructicnJ ptoposnls
for implememing them. in the context ()t~ .lho Oovcl'nmcllt~s gcncrnl bndgetnry constmlnts unci
existing poJi~lcs und J1I'ogrmlls which impinge on the subJect nt'ens" (lttl.., Hnwla~~ 1990).
The PI'fmc Minist.er nskt~d that tho \Vorking Groups be guided in pm'thmlnr "by foul'
fundamentul poal t() whi(:h the gOVt~"lUllent is finnly cOInt)littcd. viz:
•
the Hnpnwem~m of individunl nml community well-being nud wclftu'c by following
n puth of economic prugl'CIIj'-i that docs nntimpni!' the welfnre of future gCllcrmions;
"
the pnwbmm ()f' equit>, withi.n nnd \')Ctwccn gCllcl'utions:
•
recognitIOn of the glohal dill1tm!<linn; uml
•
the ruotcctiun of bmtugJ~1l1 ,hvCI'1\ity und the nmmWIUlIwe of ecoln,gicnl pl'm:csscs
nnd '>~tcm',
I'
The P,'mlc MHHstCt' indicnted ~()mc uddltiunul t,!quircmCnl~/c()nstmhu.s which inl1ucnccd the
uppronch Utken by the \\1ol'kjng: Omups und the form of thtm' recommendations. These were:
u reporting <lute of 31 Octoher J99 L
t'ccognI"Iing (.lcrtnill pl'IIH:iplc" in t.he (Juvcrnnwflt'fi 1990 [)iscu\sion Pupc" un HSJ).
Important among these wcl't';impwviug the resilience of nnturull'csom'cc s,stC!llS;
dealing cntltiously with risk nnd il'fCVCl'sibiUty; nndintcgruting cllvironmcnml unci
sociut consldcrutiotls into economic dccl.sim''''llltlking.
•
recognising tlmt the npp,.(mch ttlkcn in the Trcmmry's HH)() pnpCl\ I~('ollomi(' ((ml
R!I.lfu/mm:'/ kft1(JsUl'l.l sjfll' 1?l'%H/(:(llly Sm"I(I(lmbl(ll)el.I(~/(1/mwlII* wns {!nt~·w"1!d by
theOOVttmlumt..
1'u~ Trcnsutyetnphnslscd the need ft.) tlirget the w\rinhle o.f
~~Ol1CCl1\ nod supported the use of mnrket mensutcs for uchieving cnv.lrontnentnl
l1bJcctiv~~s
whet'ever possible.
consulting widely.
•
seekins consensus in the l'e~ommendnti()nstnnde to the Clovemmel1t: by the
Working Or<>ups. llc).wcvcf\ the P"ime Ministct nls() ~mid HI dO'tHU wIsh to have
t'Ccmmnclldmions thntcmul' to the lowest common dermminlltol'
or views t)f'
working gl'mli) members nnd that d() littl¢tl1pmgl'css II move tl1wntd~ c{~()logicnny
slJMnmnbJc tif;.'vcJopmcnC',
Nine \Vtwktng Group" Wl~t~ c\tubH~hcd. Tlm:c chnil1'Qfsons WCI'C nppoil1tcd. with oneh
having m~pnnsibIlH>' fllr' three \Vnrking. (Jmup!i, The \Vorking Clroups on
Fishcl'ie~ un"
ReM)Urt'e~
Agl'.h,.~tlltut'Cl
Ftwcst the were clmin~d by Dr. Rny ltrcen. l,)h'ct!tor of the Institute of Nnttll'U1
and Hnvtfonnwnt 10 CSUH). Ill" StUutt 1,hU1\hh Pmfcs'\ot' of IntcmntionaJ Rclmhms
nt the Au',u'alinn Nattmml
l:ni\,t~l'!)jt~'. chuirt*d
theWorh,lllp, Ot'()Ull~ nil
l~ncl'gy Pl'Oductiml~
Mnnufn..:tut'mp mHI Muung. 'rile \VtWKtng Ol'OllPI\ on Bncrgy Use, 'rourism nnd Tl'UnSpOJ't
\\CI'C ~hmfcd h~
Dr
l)~\vld
'rhro\b)'. u Pl'ofc,'1sOI' of Bc:onfHnjc~ nt Mncquut'ic University.
In udditton to til,· nine ~ccttW repot'hl the \Vol'kmg Cit'()up Chult's pt'Oduced "CPOI'ts on
JIlI{'rwr/oral !s.\lWS tU1d
()tl
Or('l'llhou.\l'. The eXt!(.!utivc Munmarit~~ of the sectOl'repoJ'ts wel'e
reproduced m n M!ptlmtc vnlun\(?
'l'hc
(/~\prlllip(,
Summarit',\).
ttl"" of u~sc~~ing lllfJ clcv(m nSf-) reports, even in overview Hlshinn. is n dUlIlltlng
one. t h;,\\c fuund the job mudc mm'(~ nmnngcnhlc by hcorhll} in mind thmughout cCl'tuin
pl'opo""Unn~,
TheM! Pt'()p!l~,ilion!'. h(,Jp to nmlnlnin pCrs}){!ClivC in louking at the Intlge bndy of
mntcrinl in the BSlJ f'Cpml', Afl.Cl' the dIscussion of the opening propositions. the paper
contains ...
~cc:ti()ns.
FirM thel'c is u considcrntion of the tlIculllnp; or HSl) in tho W(wking
Oroup l'CpOn~. Second. the U'cntment of some key ptinciplcs in the l'epol't~ is (Jiscmisccl. These
principles nrc:
IIllcrg~mcmtiol1nl
equity; inttogcncl'Utionnl C{lull),' dculing cuutiousJy with riskt
tmd glob,\J issues, Third. un ovcrvi.cwis pl'ovided of reoommemhnions in th¢ r¢J'orhh Some
concluding ubscrvndt)ns ute then ~)rfercd.
I. from tl .~'al1(11 \'few .... ~·m·ll'om Ilw Iuuw/Jc!l*tiv(l oj' u !tI(1rUcw .,-, it is susltlill(llJl/lt)' in
R01V thut is impoJ'fClIlt. Appn)xhlltuely ')9.5 per cent of world lmpulndmt nnd n slightly smaller
shure or (:lr)p I~ Im:ntcd in or gcncl'utcd in.RO\V. AuslmUu·s Uny share in wCJrld POllulutlon
ntut output is likely tn ruBin comhl£ decndes, It is not, much of nsimpUf1cntiOliHl equate glt)bnl
sustulrmbillty with sUNulinnbility outside AustrnUu.
:. tlustralia ClIllIwt ('.\11<'('1 to ().\llJ'l morl? ,/tall" IW1Jfiglhlc» lmpuct ollllw SIl,w(1[lIl1bfli!.v (~r
(lcllllomit'·('/H'il'lumWIlI .\'\'S(em,\ in
fUJ\V. AustmUu's smallllesN in the world cCOIwmy meuns
(hm It hu, hu.lf! m' no inf1ucl1(."C on fhe putlern uf rclutive JU'ices III ROW, \Vi(ho\lt dismissit1lt the
pns!,ibility of Au!\tl'almn inventions such us the Surich cmginc being significnllt imcrnmiomtUy,
twcrull Au\tmliu will have little impact on the the Htchllologich used in ROW in futuro.
Similarl~". hecml'~l
Au\tmliu nccnunt~ rut' only 1",2 per cent of ntlthJ'OponlUrphicnlly~cnuscd
llrccnholl"'f.! gil\(!" it ... actilm\ cnnccrnit1!:,! cmbsions of lhc~c will fot' prnct.icul tHU'pOScs Imvc
lCl'O effect
on the ClitlliU('If~xpcl'icncC'd by RO\V. Tuking nnothcr uu:k. if' ;"'lstrnJin were to so
mi"iusc its ,,;nil nndwnlcl' resout'ce~ that Uttl'icultlll'C hud to be nhundnncdt there W(}I1/(/ be
iml}uct~
on RO\V. ·rhe pt'j\.!c of wool would "ise strongly und some other cutnmoditicr-. slightly
us ROW chang.ed fnnn n net imp()11cl'lo u not cxpmtcl' of the
itetll~.
However" susminubility of
eCUf10IllU;·CUVU'OIHucnt syhtcm" fOI' the 99 pet' cent of human· kind Iivil11! Ifl R()\V would not b~·
thr'ctltClicd.
3, [)t i \'(llopl1wtll.\ in UOW /tW't· a bl,q (~llf!cl Oil tlU' sustulnabllity llt ecmwml" .
(l1H'inllwU'1lI .SYSfmn.\
In AlIstI'CI/ltl. Those effects impucl on I\ustl'ulin tht'llugh world prlCCl!i 11U'
trudenblc cnn1ll1o(\hiu&. t!hnngcs in the openness of murkms. clllll1gcs in intcnmUollul fuct()J'
",n',/!menth, udvullces in knowledge. nnd technological devcloJ}mcnth. 3",ne ovcl'seus
dcvclopnmnts l'elevmu tl) USl) in AUMt'lllin OcCUl' us gt'owth nud chtmge euust! shifts ill ROW
demand or supply. ns when l!lsill~t incomes hl Asia IU), the demand i'm' bue!' nnd imll orc. or
producdvhy lnct'cuscS ttl ROW ng"icultureput downwurdpressUrCQh world tood pl'ices, Olhen'
devc}opm¢nts ndse frmn pohoy chnng~s In J~OW* Some policy chttngos Itt liOW «ffect
Am;trt.~l in's
imcrnntitmnl tenl\S(1ftf1tdc! or its llC"(!SS to.ROW i\1u'l'kCtth
Otllt~r policy changes
tlmt Impoct on AusH'aUu rep"esent'~O\Vefr()f1S tonchieve environmenml objectives; e>mrnples
,u'e mundmm-y hnprovcments tn ruel effichmcy in motor vehIcles undrestrictions on pesdcide
use in ngricultlu'c.
tl11CSC nnd
t.lthet d<,Wclt)l,n\<mts ill 'the giunt ROW sectm' nffect relntlve prices
null the disu'ibuuon of income nnd wcnlthin the dwarf sector Ausu'nHn, 'rheynlsoinOuence the
stnte of the etwironmclU in AusU1lUnt und the distdbudotl ()f' clwirolUl1cntnl goods und bnds
n.cross gr()ups tll' Austrnlhtns. trhe distdbmionnl effN:ts ill Awitt'tdin or developments ill ROW.
which tny l1(~ I'cgnt'dcd tt!'l either nW()Ul'ubl~ m' \Itlrnvourablc_ m:\y themselves. lx, u(tefcmliruun
of the Mate of nSf) in Austrnlin, What hupficns in l~()\V in the next ten ,)f fifty yctU's mny well
he mnr(~ impnt'tunt limn dcvelntmumt.~ ol'iginming in Austrnlin in detcnnining this cmlnu'is
pro!lre~s
t(lwm'ds nSf) in the period cmu:erned. Indeed. if ESf) i" not uchieved in RO\V. it may
be imp(J~"ilblc to nt.'hicve it tn A.ustmlin. In the pmti~'ul(\r cnsc of gl()bul clitmuc chnllgc n
stt'OflllCJ' ~tntcrncn.t cnn bemndr. If odVntH!US in kn('.wlcdg(~ sln)w thm it is imptlt'tant to reduce
CIllI\SHlll\
of gt\!tmlmuse !lU~C'lln o.vOld or ~low global \VUl'mtng, AustrnUu will depend utmost
totull} on I~(}\V I'lli' nction to impmve its (.'lhnat.c .
.:I. 4u.\l1'1IIia ,'WJ C!, /tllllce its awn f1J'()tf~f(ISS WU'{/I't1,\ / :Sl.> /.1\ f'llnwt'iIlJ! j'rlilul'(w III /1,\
l't'ollomifef'Il\'jroIlIlWllt S\ jtt~ms.
It can do this by introducing pt')th..·i,,\~ that improve the
working of c~onomic~~:mvh'omllcnt sYIi,cms. One WHY of dnscribing this is Ul sny dUll it menns
hnpnwinl! pohdes in two nreus: polides t'tw the (It.'muml.\' nud policies for the (l/H'inulI1u!IIt.
Thl!\ npproach hll\ t.he mruot' (IiMldvnntnge of implying thot th~ ~collonly and the environment
arc ull~\mmcctcd ~>'stmn~. Such un npprmwh i~ inconsistent Wltll n hmgstunding t.mdition in
ecnnml1ic~
ofvicwlng nntuJ'ull'cs()urccs ' ~ often nggregutcd undCl' the heuding "lundH
us u
fuctor of rm)dm:lioll in economic n~·ti\liU\!s. To put the pt'Oblem another way. is n policy of
tnxing or mguluting un ccoJ}mnic uctivity to i.lltcrmtUse nn ~nvjv()nll1cntul exumlUlity nn cvonomic
policy or un cnviromncmul poHe>'? If there I~ nclenl'tUl mtswcl' to this question il. is not
nppurcnt to me. The need to HI\SWCt' the question. und
.4
' 1 <lJstil igulsh between cconnmic nnd
enVir(Hltl1C.lmtlpolicies. is removed irwe tbtnk,fflterrltf:l or nn ¢cQnpmi~"envirQmnent ttystctn
rHlherillu'l t.he e.conomy mltl the envtrolummt. Adopting dlisnPl;m~leh hns the consequenc¢ thut
the c(mfnslng dlstinct!{u\ between l!f,wwmfcct'flcicncy nndel'ficietlt use()t~ envit'mmumtul
resources f(lund in mnny discugsh:ms or CllVir(lmnCIlUd issues .... includlng (he nSDWorkhlg
OrOul~t·ept)l·ts ,-"
is nvuided,Just!!lul.,themore coJt~cptunUy oppcnUng tmd tnore useful
uPl>!1}uch ()f thinking of Ihec(t1cirneyorrcsmm~e use iUlhe single, econml1y-environmem
system cnn be f«lU()wed.
1~hereis un ultctUuttve WIlY nroundthe problem
of two systems {lnd
two n~n.iuns ofefn~icncy. Thnt i~ tnd~t'ne the ~~conmnyto incJudethec.t\virotmlcntt (lt~ vice
versa \VhHc that nppfUnch IMS rhe udvnumge of fucUitudnu shl1rthnnd expressioll., it-iJwolves
the prob1t\nl of dC(;lfidinp. which system
cfwi.ronmcnt or economy
is· to be ~mbsumed itl tlle.
oth,·,;
ThcI101.h:.tc!\ that cun he u"i\~d to incr'Cil"U the cfllciency of' the ecoll(m1ic~envirt)nmcm
!i,~"tcm m AUMralia tncJudc~
J'(~,emvh. uvuHahilitl
I~O\V th~H
pnce policIes. rcgulnlm', policies. uud pOlicies c{)tlccnling
or ultnrmaUnn. cdu(;'ution nnd nultudhltll chnnl!cs. l ..ike ocvclopmctHs in
impact on Au~trahu.l)nhcie~ mtrmluced in Austrulin for BSl) will nffbct f'clntivc
price\ untl the 'hklt"ih'lUun of incumt~. \Vith income distribution being J'cgnrcicd nsimpm1Unl.
~md t~H'n u~
u component uf PSt). Au~u'uhu hilS nchoice of how to denl with income
dl~trlbutum (.Hfc(.~l~
uf it'-. uctJml!~ to improv() cfflcH.mcy of the ecouomlt'"cl1vironmclll system. It
cun uHO\v dilitUihutlunal (~fre~t' to infllWnct' the choice of siumtious in whfchlt intervenes in the
CCOtlotnw"clwironment ~l~lcm to IIlCf'Cit'\t' (!ffki~~ftc>'t und the choke of policy fJ1Cilsure.
AUC!fnaHv(·I.y. it CUll tfent the re~oUt'ce cffi{:i(!l1c), umt disn'ibuliunul obJectives us scpnratc. Thi~
npprouch would mcun
SOlUt'O
u~ing:
the Ilotie), mCUIOiUft! dUH.lh best fOl' dfJuting with un>' IlnrlJ(;~ulnl'
nf ecmmmlc<-cn\h'tmnwm inefficiency. uud nddrcssiJlt~ disr.ributionut objectives
separntcly. Ml> by income tux cum j'·mciul wctfurc poJjch~~.
'n,c reader muy find uscfu.1 n few i1:ll1urks Ofl the thrust of the HS1) ,'cpm'th in ",-JuUon tn
the four P"(lposhioflk outlined nbuvc. First the terms of t'Crct'(~ncc of the W(}rkiJlt~ (il'llUP5
m:c'~ssitutcd
fhm the focus of their repurtsiu Uf} rtlovlnu towards US}) in AustrnUUt BOLin ROW
which is ct'liciul f()r global sustulnnbUity. 'rile question l'u.ised b)' Wills rt qCJ2) nud olhers uhnut
wheOtetsu$(Uhmbilhybi tlleUningful (ttJl level ,other thantboglc.bnluue .ts, n()tc()fisiderc(l.
1~her~ is. however', ~l)llsidcrnblcmt(mti()nln
the nt~ctorre,port$ uAd In(j)nuUfmwlls~~u(!s - nod
eSJlcciuUy hi GrCt)JI/taus(l- t(l nctlonby AuswdJn Juthe nume()tpttncQth~s' th~gll)b"J
cOlmmms.[.t is ncklmwlcdgedthQush not empllAsisedin th¢report-;thAt,AuSUtl,Un: 1ms very
thde Influence OU lht:segtobnllssues*fvlnch, butnot,nU. of the N\lbstunthd~tn\ce, devoted 10
plob:U wnnllin!.~ is cOllcemed with IU1W AustmHncoUld bestmu1icipateittJluy tmcllulthllluJ
USl'eem~nt
mI'cdU"'CClllissions of gt'ccnhouse snses, I'nlf: fcportsnre concerned whbnsscsslnn
what AUlitl'U.Jin cun dc) f(' cnimuc.m USl'. 1'he qu~sli(m of tht' 1'('{tUiv(} c.mlt"IIJ.mimM~ tn' Ausbl,Uah
iniUntivch nnd devclnpmentslnRC)W: u) the sustuhmbUUy or ct:onomic-envh'oumcnt,syslems in
AustruHu i~ nm mJdrcsscd. though it is rec()nniscdinpluc~s thut: prices nnd tt::chnologics in
RO\Y will bClnltjlw dcturmhHHus nf d()n\~5tic ES(:). A'UUtJm" theme of the reports is bauer
intesrntlon of cc(mmnj~ mRI envirmummtul dc~isi(}n making. Thiscun be hUcrpl'et~~d us
improving lht! wmking of ucum:mlic·cnvtmnmcm systems. TIt.s tliruHt of theHS()tcpm1sis
'~nnsistcnt\\ itb manl~U'Cmll t!cunmnics thinkiut~
that decision nmkcJ's need to foce ull llu; cosfs of
their nctiwPh including cnvitmummtnJ cost.~t ttl nchicvc cmclcnt rcsO\u'ce usc. The existence of
unccrtuint,~
nhmn the w()l'~dn!th of cCllh'lticul systems ond about their iJucrnct(ons with t~()n()mi<:
'SYMenl!\i~ ~CCI1
U\ Um~lj()r dlfficull>1 m uchicving the couditiolls ror efficient functionins of
economic envimnnumt sys.t.cm~, The \Vorking (}t'()UPS Ul'e C(HlCCI'ncd uboUl ndvcl's(~ effects un
nln.-udy diMtdvnntuyed grou,,~ of maion lUken to protect the cnvh'()IlIHcm, Some l'Crmr't~ m.'guc
thut, mcmhet~ of lhet'tc lU'nUPS should be cump('!IlBntcd. while mhcl's suggt~st that di~trihntionnl
tonM!(lucncc~
ut'c ~l cmtstruint un AustmJiu t & cnpncity to pursue cllvironnmnud hnpl'ovcmcnt.
Hquity cfrect~ nt'i~in~ m l\ustrnJin t,'lCcnu~c of mmnnln HOW tu enhance ESt) rC(lUIVC no
attention In th~, rcponSt Umugh (.hey ttlu)' be ,note impottunt Umn urrccts J'(!sulting fmtn policy
il1itintivesin t\ustrnIin.
rheper~llectiv~OJ1SUsUdnnbU.ity tn ~heaSOrcpOiiSh~tm Austf'41hm on~.
1'hefocusis
Uli whnt Aush11Un cun do U1 mUke hSOWfi· eC()Ilumh,!·c.mvlromncnt sysu~ms m()resust~\ltmbJef
tluJUSh some unention is I)aid ~o ways ill which Ausu'uUn,ctm mnku n.rmruiuu' convibuti(lU to
s\JstuhmbUhyin ROW. Prom nGhlbnll){!l'sl,ectivegu~U'h1UbUily in th~ huge RO\V sector
swumpsRustninnblHty in· Austrntinns un issue. An importumqucsdon is to whut extent. CUrt
sustninuhHit>f uf ccunomic*(HWh'()mmmt systQIl1S in AliSU'ulill bec()Usid(!fCd indcf)CtldemJy t1f the
sm~minuhiUw of 8u¢:h sybtcms
itl the vnst ROW scctot'towhich lhe AllstruUml CCO t10 my is
elosclyctltlnC.C1Cd ! *this question is not nddreSSf!d head ,un in ih\) Yt:purt.8. though instunces ure
l
noted where the potential ftlr susminuble dUYt~lopmcm ill Austrnlin depends on what hUPIlCtlS
OVCI'Sea\,
btllJ/',\{if/oral bMW,\. pt't!parcd
h)' the three \Vorkillg (iI'OUtl Chuit's contained u brief
(hM:tlsllmn "f d~·finitlunnf mnUcl's. Twu ndefinitioHl',n were mentioned there. One wns the
wIdel, ctted dtlfulltmn pmvulcd Hl (he UrumHlund ReJmt't: ", •. dUvt!lopmem tlmt mect1\ the
needs of Uu,,· prcM:m wHhnut cnmprnml.,mg t.he ubility of {'utute llcncmtions to meet thuir (WIll
nced~"
~11'!l,
The \t!cnnd dl.!fimliun (lile ,. wu~ Mud to be "slightly more pi'cciM~1t nntl cume from
1hutcher linn t,!,mc.'ution has u freehold un the earth, An we huve is n life tenuncy with
n. ruB rcpiliJ'mi~ Icu\~" cp, I). The Working (Jroup Chait'S chose not to offer n dcl'inition of BSt)
of theu' own
It
Itl~upp()rt
of that decision Ih(.!y sajd:
A muruh!i ctunpaigmw. once uskud to define t}ornnlU'ul.lhy. ~uid he could nm do so. but
ho would know it when he I'iUW it. HSl) is n little like thnt. nHhuugh in its CUM.! we
wuuld be tllOl'(! likely to know it by its nbsencc, thut IS when we bccutllc uwure of un
LH1MfMnirmhlc situation or when cHvh'OIHl1clltul (Inmngc bccumc <wident" (p. J ).
Usc wu~ ulso mucic OflHlllfogies with sume of the highet! things in out' 1-)ocicty'
Hln 1~enctnlt BSt) cun in mUll)' .'cspects only pnwid\! u Rtm'tht~ point. from which rule·,
of'.. thumb decision ct~jl<!rjn und whut we huv(~ tCl1l1cd social guidelines CUll h<! dt~.vclopcd,
1
Moreover, ht mtUW CJlSCS. wlmtconsthufesSusmitHlbJedevelopment ina specU10
~OJUeXJ ClUl ()rU~n
he dctQ'1nim:d (mly lntlun Cl)hieKt,
Ahhou~h thiss(lUnds
ndmhlistmdvely us well tiS lmcth:cmrdly mlfldy•. w~ghould keel) in mind thAt other vitnl
but in~donncd con~cl'ts suchns dem.ocrucy~ humnnrights.UldoccupntlorU\lsarct~
t'cmttin powerful lllllic)1 influences de,SI)it~Hlueh' untidiness" (p~2).
I'nlO
mcnlbc.t's \)t~ the Wm'kinc C:lroups were COllscious ()rth~ fuctJhut· nil de.f1nlUol1s 011
£IS[) involvo u high level of ,.bstmctiou. umt dUll their chu.,·uwfroIU MI!f ~Jnwke tcqufrcd them tt)
pn'Khlcc pructicul gUIdance fOf' the Clovcmmeru. 'Nith the hu~ge U!.lUhUlt ()f worku) be done in n
~hmt
wm,-. pcrhuph the)' thought it. wt)uld not, l~ ellS(. cffccuvc (0 dcvmo substum}nl t'(!Sllut'Ces l4)
l-.pccH'ymll fll'C<"l~cly \.~·hat £iSn mcmH.
Not hm'l')fl>lJn!d~l. pcrlulJHh the \Vot'kJng (Jroup (1lmil's were ntt'H'''' expuflsivc ()tl the
1l1l'llmug of flU! IIth:vc)opmclll" coml'nJ1Ctlt of ES[) then tIlC~! were on rhe mtcrpl'cWliol1
"el:nlop:t\:'Jtll~
"\Vt~
nr
\u\tuumhlc",
know thm ESt) uwulvc'* both twtmnmic Cim:ludillp. social> development und
ecnlugUiuJ ~u\tam~Jhllity f)cHnill{t (;'f,'nrlnmh: dcv(~lnr)tlWIU provid~r, ICM. nrnbiguily in
prlm.:lf,lc thun \.lctito~kul \u\tutnnbilH.y. .., Dcvelnpm<.'111 tnclud,'s material w\!ll . heing
hut arM) lHuHnalcnal
w~·11
ll<unp.. »aU,f'ntUon nud qunhty·of·lifc cJcmt!m~.
tfltl'in~j(:
to
lhc\(.* Cnn\HJcnttJmttt " lhe quttlil,Y of tlu~ cnvlt'Olullcntt the cvtdcm:c being lfmt in
Au\tmfm. u" in tnl'k\. cmHnl'h~;" tlflvimnm",lIH,lJ condUiml, nrc un inct'cnMng.ly U11pOf'tnnt
contrihutor In qmtlily 01 W'c. The MlCitJJ U~Pt~ct\ of economic dcvel,'ptl1cnt encomrUlS~
cCnI'IOnm: Mahiht.} und M!ClH'tty Cim:ludinp. freedom rmrn \lrunt) and sodnl equity
Oncludmll "qwlIHy of 0J'pnnunitYJ, 'l'hCM! f!O well beyund what. we liOl'llmJly menn by
c(:omHllh: gn}wlh, nlthouph wtthmll ccnnomh.: grnwfh. other "~mlomfC und S(wial
o11it::ctJvc% will be diffh:ult to uchicv(.~" qt21,
In the nille M1<:10(' f~cpm1"'. nl~o.liulc effort. WitS nmdc to clnrify Ihe mcnninp. of ESf),
PCJ'hup., thu \VorJ\.ing Clf'Oup~ chuit'cd by Hoy (jl'ccn tt'i('d hattle'i!. Hnch of their' f'CpO/'t.,
\,It)lltmncti t,l1(! fnUnwjng scmlCm.:c!':l!
Hrngenurt\J'ei'ln5ecolo~icnUy susu\hmble devclopmout.i8 SC¢tl.US tho w,~y Wt) usc.
ctmserve and enlHulce .the comnumlty ruso\U'ctJs sn tlmt {nu~tt)tnlqmJlH>, OfU(flboth
now und lit the (tUut'e, is s(!cured,lu prrlctictdterms Udsmenns dev~lovin!t Jtn r:cont)my
thtH constantly seeks to hnproveits eff1citmcy nnd llroducHvify.n (!lRl'lrulmN' /),5.
ItlfslUJrlcw pi), Fort'Sf !/,f(" />/1).
;rhe ..'st. J'tltwly eXl)t'usscd, seHlCHce provides JUde heIr) to tJn)s~~ trying U)undcrst.~md the
meaning of HSD. The s(!c(lud SCnfcnce C()JJCet'us the (*{)Iullliolls (or uchleviuIt: nSf). rnther ttum
th~~ dofinitilm
TJH~
Tjhd~JJ
of it.
\Vnt'kjng CJl'mlp~ mad\;l little effort tn cXI1\ore ultcnmtJvc hH~WJlr,mUi()ns of
nal')'
{.J 90 J, p.:! J{}h fh" L'xumplu. nntt~S fiye pussihle smmtinuhHity ot~fecUvcs: Stt8Hliltitts
intt!l'gcncmtHlflUI ccommli~' \VctfHI'C uf InHlliUls; cllsut'ing survivnl of the humull species fm~ os
lonp; n~ p')'~lhlt~; !'(!ckmp r{·~Uh\ll\:c ill pl'nt.lucHml UlulC(;llnOlllic s>,~tems mul/or smtlonarl~y of
Huur Hunhutl?~. cn\ut'int! ~usfUiHuhflHy of cnnmlUttity; cmd MIMairting biodiv\'rsU.y 'rho
\VmkUl!~
OruuPIt UCCt~pt,~d as n s.ct or genet'al J)rhWiph,'s (W ot~jccdvc!j rOl' l!Sf) cermln tlt».\Ic/prlllU
~pCCin(R'
11) Mr, IJmvkc In c~luhlJ~hjn!J fhem:
impfOVUl!! mawrhll nnll nun·,multlf'ial wcU"bcin!<t;
jnt~11Wnct'utionlif cquity~
IIlH'upcncrathmu) equity,
•
UliIHlUHflffl!I hiodivel'~hy und ecologh:ul systems:
dcnling \UHH.inusly with risk unel 1Illct!l'taimy; nnd
rccnymsintt the glohal dimcllsic)tJ"
Willie the Cil'Oupl> suid in n fHllnf>CI' uf pJuccs 111nl h wus d,~siluhJe Wh"'flCVC.· po!)sibJc to nlUk4~
changes which udvuttccd progress on nne or mom objective without reducing Ht1tl other's. they
had HIlle to Rny nhom how to nmkc Jrndcoffs in the C()Illnl()I1 sh.umion whlJf'e these m'o
\lIulvoidnbJu, tf'hc WOJ'kJng (Jmups would ngrcc with VccmiUl (l'J&f)J (hm ~ustuhmblu
devclopn1unt nUM u gl'Owth cOl1lfmUUIH, u distributional component und uncllviromnClltnl
(:ompommt. Uut when huvlng mot",of)(m~ COtt1jlOI1CIU hOB ncostfn,tcrms ot'l~ss ofnl\oUnw.
lh~y huve lIule, to sny ror the guldnnct} ofp,)llQymuk~r6t
The W()I'ldng Group Chuff's m:ccptcd in 11ll1'/WC'(lioJ'(lll,v.\'u(lS dun n:mclcty should puss
on t(l ftHUI'c gcnct'utJolls flO less thun it inherited. They poimed out thutJurlgumellts UI'~
nCCChsm'Y in us~mssing WhtHhcr pl'c"it)l(s gCllcl'uUons did this; us they ntc in deciding whnll'ulcs
tim flJ'cscnl generation needs fO follow in ()rdcI'l() hcqucmh us much 10 the mlXt gum,H'utJO!l ns it
r'cc~Hvcd
from tim prcvioulJ one.
The Wcwkmg Group "hnit'~ vi~~wcd twu qucMimls os fundmmmtnJ in thinking ubout
intcl'gcl1CI.'utlunnl equity in Upl'Uctlcnl wny: the t'(~lntionhhip txHwccn Immru)"J)I'odm!cd nnd
nuUlrnl (,'upHnl~ nnd lh~~ dl~C()lIm I'UW npl')Ucd to flfWf'e IxmcfttN und cost';.
Tlw d,s(,'u~sinn uf iIlWll1,(mCl'Uliooul equity in !tUt'l s('f(tJr(fllssu(~f docs not itldicntc the
PCl'ioJpccttvc :wnhill which L~ithtH' intcrg(mcl'utionnJ equity 01' fllntmnining thc. st(.)(:k of llnlUl'ul
cnpit.nl i~ tn be cl1llsidercd. ts intcl'gcnCI'!Hinnnl elluity tn be imeJ'J)J'clcd nt the gJobnl Jevel. the
Austt'Ulmn level or ~omcthjng d!-le'! The mUllC question oppUcs tn the concept of U110n ..
dccl'cu~ing l1nttJtlrtl
cnpitu!.
In \DI11C ur the sccto.' nmorts it jl\ tc(.·otmjSt~d Ihut AuslI'nHn cun oxen only n neglIgible
jnnumu.'f! nn intcl'lltHHU'lHinnul c(tully in ROW und thnt fllO mufn focus should be on rhu
diMJ'ihulion of incomt~ hClwNm gmH,mUin!ls of Austmliufls. HOWCVU1'. ncccpling ,hut: the focus
is to be 011 Austl'ul.lu. tho sc~tOl' s'cpot'lS nhm contain sOlne dubious ullWIl1Cnlti cOllccl'ninl}
intcrgencrnUontd Issues. It is suid lhHt Uth(~ mining ~cct(}J' flus ~pcciu( ctuu1dct(wistics fn its
rclurlnllship 10 HSD. because
or the nnturc or nml"I'QIlCWnblc I'csmu'ccs" (Nllnlng, p.xvlIl), 'l'his
sWWlncnt wns 'lot (~JubC,)J'Iltcd urmn, The gcncrul WJlOJ' of lhe UJ1~unltmlln 1¥1I1l11l,q iN nno of
10
X'
"'!
&1
"f'
±rl±1rviiiiW
'I'
/""
optimism about the respous"u of cxpJol'utlorh . !Ud(tuUon mn] recycling to B"nrqHY".lnduced
prke rises, ttho pCJlspl!.ctlv" in thet-;c· n~'IJ~ssmrm,~ is ~lctwJy un lntcrnntionul on!): it Is
pl'(!dominnntly OVCI1SCUS dovcJopmcnt.s whk\'~ will detlwmine movetmmts in fclntlve lwices nnd
responses to those prico movemcntsl At the Austl'uUnn level, kilnIng to.ported uViCWB dlffct'.
hOWCVCI\
on how t'~Hnnt Amurullu. slmuld \'0 un the cxpJohntJou of IlUUmtll'~SOLU;CCRt some
rWtwking (Jroup1mcmbcl's seeing thoSQ UI· It bl'ldgc to the futuro" (p.78).lt wns.rccognised
thut lho cnptUtllng by g,OVCJ'1lI11CmS (,1' t'csruJ'CC l'onts f)IOIn exploltl.ng mhlornls, nlld the us~ of
these t'cnts In wu}'s thut benefit t'utm'4~ g~nci'ntionli. cun cont1'lbutc l() intorgcncmtionnl4.!qulty und
nSf', fr AustrnHn ch,)Oses t.o slow the cxplohntlon of its mincrnl resOlWOCS for' the benofit of
future IJ.cm,wufiomit ,~url'~mt AU8ttuJhms m'o Inude WO/'SO off Ulld thero iN nl l8k thut future
l
Awnmlinns will lose nlso, hmh bccmlso of the lowel' currem invosttncnt induced by n It)WCt
level of im:omcs IIlld bccnuso nf the posslhUity thnt murkct developments wllll'cmkH' cmlsCI'Vcd
rcsoun:cs leNS vnhmble. This considomtiuJ} is )wt dlscussud in IYIfIlIIl,qt
The mining SCOWl' is nssignccl specific requirements for nchlovinglntcl'gcllcmdount
equity. uTn Illcet intcf'gcnol'ntJOtlut equity objcctivCh, un cc[)(oglcnJJy slIstninnble mining seem)'
wmfld ensure thut. oPPJ'Opf'iutc considcntt.ion wus given to balnllcing tll(~ discoVCllY of new
depo~its, doplct.ion
f(H'
tut.cs fot' potctaiuUy S<:UI'CC l'osow'ces nnd the infr(',:,ction of tecfmoJogfcs
J'ccycHng und SubslHuti(m. with the nccdx of the future us well HS thu ptescnt. gcncnni()JlH
<MilliJlll, p.79). Tho cnnt(~xt here ,. glohut 01' AURtl'ulinn'l
is again not '~xpHcH. It is Buroly
Iloll'cnsonnblo to expect. the Austt'lllinn mining Rcct.cW to bnlnnco dmllcslic \;.!xplnltnt.ion with
Intcl'l1atiotlul devclopmcnls In r'ccycllng nne! HuhRlltlllloll. m' to bnlnnce tho needs of pl'esent Hncl
futlU'O g~~l1twutions
of Amtll'uliuns.
Although there j1-> some vagueness ubout the w()I·,Ung. 1*rUI/.)l)()1'I scemh to ntguc (p.53)
that Austl'ulin IS CUI'J'cnt ll''iC of fossil fuolsllluy be: inconsistent with inlCl'guHcl'ntionnJ C{luhy nnd
hence BStJ bacuusc it diminishes the fmd optionfl ovnilubJc In thfJ future, Thil> tU'gUfn~1H rosts
Oil the view thut AUSti'u1iu IS fmure cOrlsumptlon pOImlblUtlas few pUl~tlculur iWlllS such ns fossil
fuels dopcndoll Its own l'OSOllrcc endowments of the Items rutllel' ,hun on u'udfllg opp· "tuoltlob,
Surely tllQ roallty Is thuL, !'cgurdlcss of the CUITom J'uto of usc of 011 in Austl'ulhh fmw'(!
H
1
at
1m
Atlsu'ulhms \\Illl be nble to obtnin nny um~1unt ar oil tbey wish, provided they pay the wOl'ld
price nnd whntov(.w tnxctt nrc imposed by Austmlhm govcll1monts; MOl'covel" given the
smnHl\es~ 01\ Ausu'allnt)
Cl1flS\uupt.imlln n global. CtHUext. its cUI'tcnt ruel use will f<.w pmctic.ml
plwposes hnve 1\0 effect on the wodd plliCc ttl, which future AUSUltlHnns CUll buy fossil fuels, It
may be ttue thm n highe.,' usc nf dmmwt/c ()II by Ausu'nlhuls now reduces the tltllOUtlt of
dmncstic ()it tlVullt\ble for futtH'c Ausu'ulhms, but it is not cletw thut that should be nrllnttcr of
~oncel'f1
on int~I'gcnct'nlionlll equity gt'ounds, If (lil is produced In the ROW it) future.
AUsu'nlinns will be nhle to buy it nt thl~ going wm'ld p"ice. If' oil is not being produced in the
RO\V it will be l1C~\lHlSC (cchllologlcnl nnd mher nlUl'kCl developments have r(mdt,wed Its usc
lIIUlttt'UcUvc In tlmt CItSt~. AUSLI'llUU'S oil will not he WQI't.h CXLI'ucting fmm the gl'Ound (:Hhcl"-"
tlllles" pCl'hnpl'l. ,'\usu'ulin hus ceused
tt1
be integrated closely with the HOW ccollomYt und
opted I'm' n polh.\y ur sclt'..suITiciency.
'1 I'c/JIs/)o/'{ SCl~S Ausu'nliun fuel usc cHusing
il1tcl·gan~1'IltiOlml
inequity thJ'cHlgh ullother
MHu'ce, n, chnngcd global clinmte. HOWCVCI\ with Austmliu bcifl[l effectively u globnl c/lmaul
tukc'/'
t.hut
Au~tJ'uHn \
i~.
unable to influence wOl'ld climate th,'ol.lgh its output
or grcclllmllsn guses
own pl'Oductmn of greenhouse gnscs is not rel(~vurlt to equity between dirf(~l'cl1t
gencl'Ulions of Aus,tl'Ulinn~ (ut' to il'lt(!lgcIltH'nHonnl equity in R()\V). Thix is not tc' deny that
there may bl~ sound I'(..lasnnh 1'01' AlIstmlin to participate in international U!lt'eClllcntN to I'educe
cmissi()n~
rCU~Ollh
of g.rc,mllOllsc fase,", und,
Ics~
clcUI'ly, to luke sLlch action unilutcl'ully. But these
arc relnted to ruelot's such nl\ intcrnntionnl goodwill ruther than ndvnncinll
imcrgcnerntimml equity.
In dlsclI!olsing. . briefly, the l\I'gumcnt udvnnccd by Pcnrce N al (1 CJH9) nnd othel'S thut
tho IltltuJ'ul cnpitnl htock should be at Icnsl rnnilltuillud, tim \VoI'king GI'OUp Chain., wrote:
", It
most. economists wuuld Hl'guC that then! Is some substhulnbility bctwcml
hurnan"pl'Oduccd cnpit,,1 nod nutm'ul cnphut in sntisfylllg human WHntS.
Ncvcl'thclcs~,
the pmblcms nssociutcd with tlH' lUCUSlIJ'cmctlt of both hllmnrl"pmduccd and nutUl'n)
cuplml nrc lurge, n~ nrc the potcntlal l'isks nnd unccl'tulnUcs f'Clnting to nuturnl ctlJ)itnl.
12
~t1leSIJ cotlsid"wntiot1s suggest thnt un obJeotive of Cl1tlS(wving existing stooks
of nnhmll
capital wmtki seenl to be os good nt,rnotiGul guIde ns tiny atherund beUel'thnnmosl.
This is PlU'ticulnrly rcluvnnt to qucSUt)l)Hconcctniug the o~onelnycl\ nnd ylobttl cHumte
clmngc. In thesecnscs the very I~mg dme.. frmnes involved, "ud the need t()compnre
unccl'tnin costs in the I'clutivuly nenr futtu-c ngulnst: much llll)ro uncerlain benefits (weI'
gcncmtinns, menn thnt, discou!ltcd tlttCS of t'ctm'Jl nrc 11m ve,!'y useful cl'it,ot'in for decision
mnklng. Nor do they pmvidc nc(mnHC ways ot' evulunting qucstiollli of h'l'eVOI'sibllity.
ill which tho balmwc hns to be cstnblished between the bcnctlts to this gencl'mioJl 'lgninst
the (,-osts which m'c hu.mtrcd by nil flltlU'C guncf'uUcUlS" (P, J4}t
'l'he c>ti'itencc of fundanlClltul pt'ublems in defining and mcnsuring nntut'nl cnpltnJ wus
ocknowlcdgcd by the \Vcwking Clrnup Chnil's. The 11J'ObJcms m'c indeed fOll11idnble. Nuw is
f
the quantit) of it ttlUW"u.UJ'ilmtc l'CSOUl'CU such ns soU to be nlcUSUI'cd ! flow m'e resources
or
\(HI.• wntcl'. fl1r~st\. fishcric'h ~nNtl~' !lud otllCl'11liueml t'esmu'cc~ to lK cornhincd to give IUl
overull trlCnsUl'C or~tnck uf nntuml (.~npitul'! Hm'r arc projected "CSOW'I:C dis(!uvctics to be
u'cated? \Vhat ullnW'1I1<.'C 1\ to be madc ftw tcchnoh,1!licnl chnn~c \vhlch increases the efficioncy
with vvhich natural rc~ourccs nrc cntlvcTt.cd to l!oods nnd StH"icc~'J These unci uthe!' very
difficult rwohhmh CXl~t
ttl clllY Itlvel
In cnll<.'cplUillt\lIlg
und npplymg the nOIl·(,lccmw·,in!t lliHlU'nl cnpitnll'ule
\\,nl'ld. nnlimmJ 01' rcgl()l1ul.
The CIHlIr~ thd nnt d\l~cu~"I the par'ticuhu' {1t'Oblcms of giving m~ulljng to the cOIlSH\ncy
of nmumt cupitnl
r'ult~ III ~cC',kjntl
unihltcl'ully to ft)1'multuc rcqt.lU'cmcf\ls foJ' ESn in AusU'ulia.
[lid they cn\li~a!te the rule ht~lIll:! upphcd nt the AUMmliull level? 01- wus thei!' mtrnction to it fit n
higher levul'! The Un\W4,-" i\ Ulwleur',
It IlU\ nlrcnd>' heen \uggc1-ilCd rhm lhe CUS(~ foJ' Austl'Ulin to cunserve un cxhuustihle
u'udcnblcl'cSOlU'CC such HI) oil
beyond the level of c<lllservmioJ} t"csultinil ft'OIl\ pf'ich1ll lcveJ~
that ndl(~ct wodd vuhu)\ of oil and cxtcl'IllIl cnst~ involved in its USt!
.
is wcuk. '1'11(,,\
impJicntion is thut n cnnstnnt nntut'ul cnpunlmlc for f'csonrccll SHt~h '" 011 is not SCll'()()lc for
Austl'Uliu.
Ooosthe nutl"dcct-ensitln Juuunll. t'nllitol t1de mnke fll0l\}SCnso·l'(w AustrnUnitl the; cnso
t)f IXH\cwnble u1\de(tbleres(l\u~cCS such os ltn'Cstproducts nnd Oshil0rl'csources ustmlly' u'cuted
us l\on"trndcnbl~~. such n~ soH und Sl\'lund wlne.,11 t'crh{tps it docs. b\uthe ct\S¢ Is notmndc in
the \Vm'king (jrtlUps repmis,
1~he\Vorkins Ormlll on Agd~~uhUl'e snid Ihm Uinterscncmtionnl equity rcquh'¢sduu the
pj'~~scnt
gcncmUou pnsses on to the nuxt£cncI'lUh:m It st(lCk()fhmnnu"nludc lUltl nntm'ul cnpitnt
1m lCRh
thun thiU inhcntcd b>1 ourgCfl(.H'lHionu (A.~rlculmrt)l p.58.emphmds ndded).trhls SCClllS
to I'Cpl'C~cnt supp\wt Jot' nnn~d~cJ'cnsiIlB total cnpiUtl fot' 8UCccstVQ gcncl1ltions. nndimf)Ucit
I'cJc~;ti(ll\
of \ht~ nmlntcmu1~e l)f tUmu'nl (,:apllnl, upp,'ouch rnv()Ut~d b)~ the \Vt1rking (h'oup Chairs
in hU(ll'wrtorallnw t.\. rU!oicwhcn" III Aqrirullllrt? It was accepted thut Hthe nhm of Mnble nntund
I.'npltnll'~qmr~,
hll'thcr rel incltlcnt hufhl'u it CUll he used t\;-, U guide fbr r,nslninubte ust'icultuml
development" tp,q J ).
The rate Ul \\ Inch future l:O\t~ and lxmcfit.\ m'c dis~tmllltcd ,,·nn hnvc nn ImpOl~mnt
mt1uc.nu:e on the \\u> future l':itttNl\ Ilre nlfecwd b)<' 4,,'\U't'cnt lhlli{\'lons. Pmum effects th,'ou~h
sllch pott~ntlal Hil\UCs n'f hnh'\ln tll(~ nl011C In,cr~ tl~ well u, thl11ul~h
mH~MI1'tHU~ nrc
th~~ (WCt~ill1
nHc of
hnth mt1uenccd by th(1 dl,cuum nue u,cd Ul th(.' CtlJ't'Cnt cvulunUUll of J)1'Olccts
nut! J~Oltt.~le,.
*nlC
\Vorkmp Onlup CJHlIr~ odvum:ed t\\'u lltu!, of thinking on
u~intl
as all inSl!+umcm tn ndvam,,·c itllcrgcncl'ntionul equity. On the one hnud lhey
the di~cmm'
It •••
ml(~
ucccpt dun a~ u
gCfltMrnt rule nltcf'uttml\ to di\coum f'Ules nrc not by rhcms~lvcs nppml)l'hm~ ways tn M~l'VC the
hltCl'csts of future gcncrntinn~ .... (hcJ'(~ urc Jlructi~nl difncuhic~ in govcl'Inmmt'l udnpl'in~
,H~cmmt
rmes I'm pmjcct npprnil;ul that utc mHrk(!(Uy lowel' thon Ilu\I'kct mttts. In ~implc lcnns
thclic difficulties n~lntc to the C().".t,S to 1:,tovcl'nmcnt of investing fund" yiolding rCHu'n\ ',hut (u-c
npPllruntly lowel' thun could be curncd \!lscwhcJ'c. ()t~ thut urc lnwct' thun the costs t)(' l'Ulsmg
tlmsc funds" (p.16). Hero the Chuil'~ side with mainsu~,mlll cCOlmlllic~ mthlH' than th~
c()J1!\crvntionists who support the U"{' of low nt' tel"> discnunll'utcs.
14
ThcChnh;s.t)ft>ce.cdcd. h()WCVlU\ ttl ndvmwe tm nrgtH\\¢tlt.whiCh ctUl'ies the Ol)posit~
P()Ucy tmillicnthm tathe nrgumcnt outlined nbov~, Scemhlgly influenced by n pnptw prel)lu'ed
for ntl ESO \V(lI'ksht1P by John Quigf;hl (Quluain I ()9l).the Choirs t\tgucd thut the costs of
using: dh~(:()ullt mtcs mat'kedl)' lnw~~I'thutl motkct tntcswould have to be borne by S()t~iClY Iii •• if'
the p,'i nci.ple of intcrgencNuimutl equity is ttl be served ••• n <p,16)1 Thts urt:mmcnt wns t'cncctcd
fll the t\lllowing rccnmmcndntion:
"in public decision mnking. including in the nPPt1lhmi of hlrge Investment projects,
!trcuter wcillht l1C given to imcl'gcncmUotlnllssucs. ir)cludlug the usc uf disctnUll rates
Ulnt'e n~t1~·t:tlvt!
of the \ocial rule ufthnc p,'Crcronce (p 16).
li
'rhe (\rlll~r t'ccrmummdilfttm cOI1t'cf'lling iut(!I'l!cIHmUimml cquil)' WIl'i thm npPt'aisuts of hwgc
r~uhh~
nnd (lIH'ille proJt'ct'l, ilH:ludmll environmental impnct U~\~SMI1CmSt should include n
,tuhNnent of lIHet'I!(~fl('l'ntionnl iIl1J)JicUlint\\,
httrngcncrnt.ionnl CflUUy
The \Vurkmp, Group ('hUll'S l'(tc{)gni~cd that imrugcncrn!ional equity hud n natimml und
un lntct'm:ltmml dlmCIl\imt Thmr (hell\.
Au"trali~l'\
undel'~tandably
in vie\'t oj tll(~h' ~'hm'tcl' and of
,mati country \t;)lUs, wu"! prcdmntnulltly nn the fomwr. No ntt~mpt wns l1mdc to
define equity The Chilh'~ uJlPcarcd~ howcvc.t\ to see tlu! followillA conu'ibuting to gn.mtcf'
eqmty: reductluns m the dj~pcr\hm of ulC'nsul~~d iU(,'(lmCSi inCJ'(!{\sed uvnilnhHity ()f s(wiol goods
(c~pecU\Uy
hculth. cducminn. hnllslIlg. nnd tmnspm1 for the diMldvunU1I:\cdJ; nnd n rnh' shating of
the COM\ of t'nvirunment;!' dcgmdnthm und of the COMs of prolc"tilll;:t the environment. Mtu'kct,s
whi,lh functioned well were 'iccn by the Chntr~ n~ effective crcutol'S \)f~ w(!uhh. but very poor
di~U'lbutm'l\
uf wCilhh.
tnH~
uppl'ouch widely
equi.ty M!parutcfy from rc~ourcc uUocution
example
,wn~ seen
~uJlPort.cdin nmin~u'cnm economic!\ of trt~mjn!;
thl'ough the usc of n progressIve tux system, fUl'
as hludcquule bccnusc it Ims not 11J'cventt~d a widening gop between "feh
und poot' in AUJ)u'ulin.
15
For intn,geI1Crttli(ml1l.e~luity toplny its role futlyns 4 fundnm¢nudpdnciple oreSO,the
Woddtl~ Oroup
Chtilrs suw two hn{lOrnmt tcquirem¢nt~()f eC(Hlomt¢poUcy.
"'rhe fitst is thut the less(!nlng llf economic incqunHty will hnve tabe sc(m tlS n prhmu}'
poul of ccotmmic policy rntbel~ dum us u secoudn.ry or sepnrnteproccssl tn other words.
rcdisu'ibtUive mensures wiH need to bccOlne m{}rc'~l()scly intcgnncd with poUci~s nhned
nl impmvcmeJU. in "'~()Ilon\k~' efficiency lmd sh1wtlU'ul refOt1l1" (p,20),
'rhete was no discus~ion of how this might he nchicvcd, or "rthe extent of thu income
redistribution considel'cd nppmpl'inte for nSf'. 'rhe secondrequitetll(.mt Is that in evnl.uatiug
P()U'~iC' mmed nt
other u~pelJts of' nSI),cxpHcit nccmUH be pnid to equity.
The nrgmncnt mtvnnc~~d in 11lI111',\l'l'tnra/ l~tHIl'S on itlfJugcncl'ntlOlinJ (!quityis found l~SO
m nmsl u1 the t\cctnr repulis. Tim,. AtWfU/(U'uo'ill.q snys:
HDj\trihmionnl chungc'; will rm;ult ft'om the npphcutiml of the full social value discipline
to elwil'onlm~ntnl
re,..nurcc~.
One imwitnbtc outcome will be dml some who huve
ctlJnycd free use or thl! rcsow'ccs will be requited tn r)U)' fm' them. fl1l()Se nln:ndy
disndvnnmgcd \llithm the c:dstinh~ sociul oml economic system may be
dl~pJ'optwtjomHely
affected,
Ju~t
what. menus should be used to offset nny udvul'se
mpnct\ on social equit~\ whilst, impnrtunt, i" not un it\sue llun. we have uddrcssed in
demil. NcvcrtheJess there is n strong case: fllf some offsetting nClmn to Hvoid
t
!-tuMainablc development wursening the C'xisting distt'lbmtoll of mnl<.'rinl und /lOU·
nlUtcJ'iul mentHa." (j~/{m(I}(lClllring. p.3).
A similur statement npp(mrl<. tn BIU'I',qy Prodm'lwn, whlk A~rit'lIlmre SC(~S n need for /oiocial
l
eqmty mcnSUf(!~ HlO ensure the t'{}Ultublc distribution of till.! costs und bcncrhs of moving
towards
nst'u (p.9),.
The fnUUl"~ to sa)· nH)I'C ubmtt lhe SC()PC und nntu.l'C nfdesit'nbJe policies for equity in
moving U1wnrds nSf) is u sigtlilicnm limlullion of the W()rkint~ (JI'OUP repOf'l,s. By implication.
the !l1intnmmincon1e.schemc$ which f(lftnlhccenttnl.ptttt of Allstt~Ult.' s sccinl, sccurHYHystCtll
nrc 1tUl(J¢quut~ fOJ.' l)rovidiugth~ e<tuity Judged neccssnJY bytheatQ~lpS't Is it: el\,vls~lg~d (lu}t
th~sc seh~me$
be modifi¢(W Or iSnplj()(!ess t)iC(lm.pensntinG dcselvins ,)()$cfst)'olnindivlthml
ESt) nlensutCs prcr~n'f'¢d~lltl viewo( w¢Uktlt)wtl di(nculth~fi with each ()r the lie, uPPl'oUQh¢lh it
is tmlbllunm~ dmt lhe \\Jarkins OI'UUPS tUdmn ,)m~t· ,nor¢; guidullcu on ht)wm nQhleV(~cquity
in m(wiug to\H\rds USO.
1"hcre is umlth~r fundnmcmulqucst}ou lobt~tiiscdc('mc:c.,t·llit1g the lnmtmclnofcquity in
th¢ \VorkJns (h'l1Upn![)t1rts.
knti~ is the (,bsenc(}of nnyctlnsidcrtUion ol~wlml' Austt*nlhm
u(wCJ1Unenh ~hmlld donbom undesired effects rm equity UJ.'ising in Austl'nUn us n result of
tiSr)·cnhf!.·l~in!l devch)l)mCms in UO\V, Onee.~mnr)le is nn inct~cnslJ tfithe pt'icc oftrndcnbte
food ~:ommodities in AUM.mUa tx:~~uuse maj<w ROW countries rJlncc tcsu'k~tinns tlIllhe usc ()t
~(.))H't~ducmg chemical pcsUcidc!\,
lit
(won the us,.! ()f ffngile land for crf)ppin~. Ant)thcr exnml'le
Im:rct\\c, m pnt:c'!\ or mutor v(!hlcl(~~ due to tmuufmcd deSlsn chtU\!te~ on CIlVh'Olullcmnl
grounds Should the AUMmlhU1ll0VClllment 4:0mrH'UMue lho\c AUsu'~lJjnu.s
m'e {dr~·ad)1 di~udvuntn!!cd
espcciuUy iftlli:W
who hv\c from r.hc!\\c duvclnJllllcmsin RO\V?
'111C questIOn l~ Il·nH~1 hmmh:r than
indicated nbuvc.
Sim~~ tlll.V development in ROW"
Hmluding Chnt,C.'~\ in productivity nnd the p~u,t(m\ ()f dctnund
tiltH hnlMct8 on incmn~~s in
AnstraUn ."t relevant to Au\tralin·s ESt') pcrf(mmUJ~~~\ dne» itutugcm,wnti()fml equity in Austrttlia
rct'lujru the CnJlpcl\~ntiun nf I01el'~ • or cerudll group!'! of Inscr~
frnm uuy overseas. \.'llUSC·!
!n ~ccking to ul\\wetthis question, uin~principl(~" consfdcmtimls nuti I~ntcticnt
cOllsidefuttlllls ntc both rulcvmu. TluH'c m'o tUrfer'cut, Ul'gumcm~ (If IWlfwi.}llc lltnt eun lll!
advanced und tht\lr policy nnplh:uLion~ nrc not uU tIm SUIllC.
One urgumclH is thut Ninco Anstrnlimi consumers nn~ Inu1llcd ns mm:h by n l~iven
incrcnsc in price of fnml m' cut'S due 10 HO\Vpulicics ns one duc It) AUslmlinn policlus. (hel'e
~hould
hem) disthl\;UoJ) bct.wten the t,wt) ;n eligibility f(1I" ctJnpcnsmion. -fhis w'gmncut ctlUld
be bolstered in viu'jouswnYfi.
llllh~ ('mse t.)f AmafuUa~s uxpo.rt cOilunodlth.1s,
AU5tmUu w()uld
gulnovc'l'llll frmn ROW poHcle~ thnt pnshed world prices up; In pJ'jm:ipk~.thercfOJ'C. tho
l1
(mp"ctty tocbm~nsute losers exists" AtlOUlt!tClltlsider"tioll Jsthul since wotJd'~ustulnt\bmty
depends. (1ft wfmt buppenshlRO'W t~thetthtm on whut hup~j1s hr AusttuHn,. Ausm\J inn.s whose
pdority is the henhh ()rthe(~CattondC"envlrbumetlt systemyl(11mll,5'mf~ht~e 11 CUSe for
compensu,tingS(lme d(lmeSUC Inset'S !'tom susmitmbHhy#entnmcingp()Uciesbl .ROW'-
AdmHtcdly, there lm~ tbnits to \vhnt: small AUslndhH!()ulddo in Ihisrespcctt espechdly .ifgllUH;
RO\V W;lS sU'iding fttpfdty towmdssustufrmbIHw vinp()Ucles dun rniscd Ihoi)ric¢s of tfudcabJo
it(!fUSf
Pcrhups S()U10 Auslttdinns wmllds(:~, this ~()fnntujnt on AustrltUnbelng cMcd if .it w~re en
tux those Austrnhnn firms
rood prt)ducers nndcm~ nmnWl,tfJwrcrs In the above txnmplcs _1l'
lIUll gained frOfu the nltwcs to s\lsmhmbifir.y in {toW.
l\ dif!(!rell1 ill.ptlinclpk~ urgum~nt is thut Aust.ruHu dm:s not: hu:ve rcsprmsihUhy for RtjW
policies, nnd should not CtlnUlllt Itself to cmnpellsutin,g AUsttllHutl Inset's (ton) those poHcics. It
may he noted. hn\vevert thut mintrnum income schemes which urc nd.hfsf,t!d by movements in
consumer pticc\i do incnmse us~iSlmlce to recipients in responsu to price: hlCrCtlSes Ol'jginnti.nt~ in
R()W U!i well U~ incrci.ls'~s gcrumHed wHhm i\HstrnHu.
As fur ns prn~tJcul COfl~id~tjujon,* nm ~mn;ctnt~d, ,here nI'e two mnin poims. Fit'st. it is
difficult to dcvist! und nperutc n~ystcrn of ~nmptHl'iatjflg lnflcl's fl'mn ~ffh:i(nl<.:~"'cnIUlnciulJ
deVt~t()pmetH~
in purtlculm' mlll'ket~ tuwhir~hthere Ufe not mujm obj(.~tions~ This considcmtioll
may not; 00 ~wy weighti,·.> in the case of comr)en~uting fot dqvek.l,mcnts in R()\-" HHm it ik fut
compensuting 1'01' policy chungc~ in Austrnlin. Secund. it is hut'd to (ixdudtl price flllWCllll.mt'i
due to nver"iCUS developments wll(~n u~inp, cmlsnmer price jnd~!XCb to ndJust minhnuul incomes
rm:wided tht'ouyhthe M,uhdwcltltft! sy~tem,
Willie AJtl'l('ullW'(t, A1allf(laflUrtll,~ and 1~'IUJl'g.v firm/lie/fOIl SUPIWl1cd compcllsntiotl fot
disndvtHnngcd cmtcnt Josers from poHcil~8 thm enhum:cd HSD., BlUtl'~Y UsC? nppenrcd l.O foIl*C
mlvcl'Bc equity cffc«.!ts ns n fUlls/nl/1II In nuopUng p"icing pnHcies thnt improved the urn{.licl1cy nf
ecunomic"cnvirnnlnt~nl
sysfe'tls.
HWhifu in ~l~tlCru' terms
H
....
(.he hcneficintics of encl'gy u~c shmdd puy the fhll cn"lt~ 01
the Cm)bequenc~s nf' dun usc, It.i wUl uJwuys I:m nccessnry to consjdcJ'limit~ to the
J8
Or)(~rj\lionorthist)rinciplebl~scd uJ) nbHity to; pay fovlbc energy tr4uired(~lSU8U'in
nn
ucc~pmble mininmnlHUUtd,nrd ornvlna nnd:by the cupnclty nndopt)orttmldcsof vut'ious
gfoUl)stl\ (!hmlsetheirconsuU1tltitll\ t1CluwlourH (1ItUtrg>' (JS(~tPp.42..3).
1l1is fCl){lff snys Umt inCt'C;lsing' theipri~~ (ltcncfgywUlbe tcgrcsslve while H tupoUcles
dcsit~tledtohlcl'el\SC
the crn~icncY(lr enel·~}'.usll1g'.l)plinncQs lUld l)t\s.s em lhe lowl:f:apcrntlup,;
Cllst.sto COtlSnU1Cf'S nt'C, likely in huvc soc;ulcquhy beneOls us w~n ns¢tlviromn~ntnl
ndvnntugc~r (l~/wr:q)'
If,Wt 1,.43), ft'hc muurcofthc 8ucl'irfce hlCfflcicllcy (lr A\lS1rnlhl~s
c.wollt)'nic~(m\!il,\lImlcnt
systemllcces.sittucdby uvuiding, ptlllcicswith regressive c.t't'ccts wns not
considered. fl'h~ \Y~)I'kitlg Grout) {'hni"s fccOlnmcnded dun In Utl<h~t'mkinl~ sn.Htil~s utr (!tlCl'SY
t~ricjnp: nnd C<.'(lJHlmic inMt'UtllCIHS,
us IlI'oposed by the linct'I}Y Ustlund J'rruuf'lpm1 Clmups.
uucntml1 he directed (0 ,'qult).~ cffcctJi nnt! wnys of denBo)} with rhem.
Ucnling cnuUously with j'lsk
Under thi~ hCillhnp: the \Vol'king timup Chuirs disl;us,\ uncertnint>'t il'rev~rsihmties and
1H)tl .. ~uh'tHutubiHl>
u, ••
Thew phl'llUmCml r,'alUl'e pmnlinemly in conCCl'nit uhum the CmVIf'()llfncm.
de;lllng wuh um:cl1umty Ub(lUt Hmils is the fuudnnlt'IHullssnc IIn the s\lstuinnbHUy dcbnml
H
(Co~tantn
tOX9.1).5),
Unc<wtaint)' OCCUfloi on hoth the supply tind dcnullld side.
fI',},'cchnulogi,:ai oml M.".icmific Ul1cclt_mltic~ muy t'CMlll in the lu'anuuun: use or
te<:hnnJogic/\ dnmntJing to the mnurnl environment or public ht:'nlrh; nnd demand
tm\:Cl'tnirHlc~
uJfc(.'t mil' nS\C"\Hltmt (If th{! future vn.luc" of cnvironmcnrul
n~soun:cs,
.".
n pm'ticular urea of concern j'i the \UlClH'toint}' thm Ul'iscs (I'mn the limited scicntit1c
umlcf'Mundillg of how nUluru.1 ~nvirmHllelml und cc.nloLllcnl hystcms funclinu. in~luding
the wuy In whlch the>' SUPPOI't cCOI1Urnic syf.item~ CUvcn this, wu fm:ecnl\~idct'uble
unC:C!l1uimy about what would be tim CJlflhcquCml,cl\ of J'mminy dnWllllntw'ul cupilnP'
(p.38.).
In euch l)f th¢ ~·)lne. '\:cttW t'Cl)()t1siJl1P"OvCnlcmtslnknowledg(} weltS~en l\S c.'lcinl t'or
~
d(.welol)ing muru susmin;~bJe ul,!1mnchestoj'csQul'ce Otltl1ng¢m¢Jlt,t
Consldet~ the tlulc~ rCp~1l'ts
on sectots bm~~d "n licnewnble untut1nl reS~Jlm:cs, In 1\81'1(1II11IIn.1 it Wtl8 suld: *4AgJ'icutnu'nl
5~stcms nre (mmpUcmed und lUll well uuderst()od nndwe nc.:d mfind ()lIt ml~r'~nbout .them f1"
tlmt they cun be maung,edh\ ncctmhmce with ec()lo~icuUy sustulunblu d~yclol)tncnt p.dncjpl~s·
(Agl'kullUl'll l
p.xvii i). US Il fOIl ristlfJrieswus seen as "equh'ing>ecosy~te}u nmnugclllclU. n
with fi~hing nctivity l~cmnillg UMlbsctlu (wernli manugclncm ()f the nqmuicresoutce.
~yMl!m"i nrc cmnplcxi nnd ()m~ tmderstnnding elf tln:m J~ rcJmively
I' I
III
these.
f'udhl'lcntut'y'(Plsltm'/fJs.
p.x\~iil (·lll'~1\t sy~ltlnl~
m'e comf>lcx ulso. H, •• and both tJu~ nv"Hnbk~ infornmUofl base und mlt'
undcrf\tnndm~J of it nrc
fur from cmnpletc" (Forest v'\'-'I p*xvH).
Advuncc~ It) kno\\,lcdl~C
winch rcduc~ Unc.cf'tnmty and cnlmnce lh~ su"minabUity of
Am,lmlm', ccnnonlk,,~mVIJ,(lIlmC'n systems Ilmy occur domestically Of' in JUJ\V. In s'ml~~ cnBes
Au,tmlm Inll} ht' able h} rei), lu(ullyon RO\V fot· ,'cscul'ch uml technology which rCMtlt, in nlot'C
enYlromn~nt'll'lCIHlIy
pmducuon "}lstc:mlt. Thi" i~ "0 hw much I'chcnrch und tt!chnologh,ml
dcvclopm,mt m miUlUfn~turmg: if the envil'OmnentHl prim'itics nrc t'cducin~~ ,he pollution of nil'
unci \'tmt~l" plU~:!re~\ nVN~ea~ l~ dm~clly nPl)hcuhle in AUMI'nHu.
'11m ponl' lmd(if~Ulldinp of ag.r'icuhuml. fl~ht!ries und fnn!M y,ystcms acknowledged h)l
the WOl'kUll! Oruup~ reline, hll'p:ely to s/>t'dllcallv AUMflllulJI cct)~yf\~(*rns und their' interuction
with (he rwodlu:tmn
\y~tmn',
Impnwcnu?Ilt.\ in tnldcf'~mndjng in tJ\ik ureu, wluc,:!l nrc !'Iccn us
vaal for prnJlrc!>rt\ lowunJ"t BSn, wHI depend mainly on AUI)t/'ulm's oWIlI'c~ou.rch ~ndcavn\lr1).
The ideu that Austmlln i~ mur'c dcpcndl:nt on it~ own resenrch fot' slIstninnhiJity of its rcncwubh:
mltUl'UJ
rl~t)\Jn:c ha~cd il1du\'ric~
Ihun it )f" for hll)o)tuinahilit>l til uthe.· orcaM MICh a~ tJ~4msJl()I't.
mmmfm:t.uring und p(·,'hap' mining lind clwrg)' prmJucuoll tlm,!k not Cmc1l!c f)'nm llw \Vnrhmg
CJmup rcpnt't~.
Cml'iCI'vutinnisls ma~ IHU wchmml! l)UJllli of wfmt the ('hail's Imvtt (0 ~ny un
JtTcvet'"ihilit IC'.
IITh"lll~
nrc dcgmc,,* of ~ut:h hTcw.m'iihilittcs. An (>lunc, laycH' may l'cpuh' it!\eIJ'
ovcr fWl'llUp'. fifty to nlm hundred y(;!U!'s. tmpicnl thms(s nmy. nguin (.lyel' t.hu yel'y lml!! term,
be. cnpnbl~it)f~scnel'ntingt nnd. de~mdc~tlml(i cno uUhlmtclYl even with ~retlt dlrncuJ~Yt be
restored" (1J1ltnwf!t·lfJr{ll'l~~SIUlf~. pI38)~ In ,AUSll'tdiu.lhc bmnc.t)f ,il'rc\!~mllbHlly It; mdd to bemo8t
notew0l1,hy futile Cl1tHCXI, lltthubHm tU'()lecllon undspecfes llrcsul'vlltlt)U.
Sp(!cicsprcscJvtUIon shures with tho pr(;ventJon
bciu~ Utlint(H'tUlliollnJ public gmxL trh¢e~lstencc
NdSlCtK~C nud nr)tjou vnImn~ in
0'· eIhmue ~luU1se the chnt'uutef'lsdo ()f~
of} II sJl{!cJes unique to A\lstrnlin gcm:mllcs
now u8Wt!H ns in Ausu'unu~
WHh nbuost nil of globu!.
POfHllutiun nnt! hlcot'llC llccmmtcd rut: by ROW. It Is pJuuslbJoduu ttm vulue lOr~OW uti sllvillg
un AUSlrnlmn~pc(;i('S SWnlTlpS il~ vulue to Auslrnlinns. rr'his c()f)sidut'Jltion ruJscs some
nnpOl'tant I~~UC\ whtdl
WCt'c nut c:xplored In thcWm'Mng llmullrCpof'tS. ()ne immc ccmcurns
the tnternuti<mnt Cllolwl'uUnn nc,-dNI t() nchlevc un cffh.'icm: iJohnl uUocntioll t11t l'csmu'ceH to
r.mltcctinp hfwcics!fur C'xumpl,!. nrc Ilulwwntiul puymt'n!" n'om lurge ~collomicH to cOUlltl'ies
m which 'nn~t of UwwOl'hrs plum ond nnlnml bPccit~S
\\Jth rllrl!~ arL·U\ uf trnpkul minfnrcst
,m) tt'l tx" hlund
HltJi,,'uwd') Annlhcr IM\UC IN
p~l'hup~
t'ven mon~ fundnIlH~ntnl. Tim nlct; thnt
rspl!J:J.e .. r>rt~'t:rvntl()n invnJvft\ ilH(.'t'IWlhlmd puhhc !Luod; i~ mw r~w\on for (fUCMioning wht'dtcr
It t~ Il1(Mtllfl!ttuJ to ~~on\ldcr HSD from lh~ point of VICW uf n singl.c CmUltl'y,
TJw CIHlII'~ Hc~~~pt~-tl that llllccrwHlty ullom 11m ftmU'tl vaillc of (Hltun\!
f·t~HOUl'(*I.m
(Juuscd
nmhlAluit) 1fl (lH.' cntwcf\· uf ~tuh,tittltuhilit)' of nnLUmJ cupitnl. BUllhuy ~()uJd sec no vnUd
human~lnudt'
dct~rndcd
land, If t1lJ~ meitn' that 1111 tncn!u"c III ttu'uctures, equipment nnd knnw~IJn~ could
cnmpt!n~ute
i~
"tuh;tltuw 1m' n lu;! SP'!CIC" m hH' 'he UlotIC fuyc,.. the gfohul cfinmtc ()J' non··
fm n Ilmrguml dct~!rlOrnllon in hmd quality m' n mm'tWHlI chnn!%t~ in plnhnl dhllHtC. it
not u tenuble
pmpm~Hlall,
Why ~houkJ unlimited ~IWfttlCC~ 114.! nHHlt~ to pl'cvc.mt u mnnll
umh:eIJircd dlnn~e In the t\onditiun 01 lund or in climut(* when no ~m:i(!ty. how,~vl'l' l'wh. n4.'(~t!pt~
thrJ unn U'udcnff~tI nolmn itls n !mid,~ in ullm.'tHitlg t'esoUt·cc~ to SIlVC human hHI"i? It \jhould Ix!
(.!mpJlU"IM.~d
Ihnt futum lWJH!I'UtiOll"tl Ufoi Wl~lI u'; th~ present Ullth will ItHVC It~,!if.t hUtlUUHnnde
cupitn} if flO u'uding off of tHHtH'tllcupitul f{w hlulUm·mndl~ cnpituJ is llCCCPll'd now,
In tin! pr(!kenC~~ or lU1CCl'tninfy, irl'cvcl'sjhmtje~ nnd notl~suhslHumhiJHy the Chairs SllW
two genaf'ul objU,'liv(!b IH» helpful in u4 hiuving benutlciul C{.!OllOlllic dcvcfopJmmt.
1
21
Th~!
fil'st
wu~
ncc¢rHinsth~ need ladenl ,·nmlousfy with risk.
dC(;islan·mnking pl'm:cs5,
'r()
'rhe se.cond WitS fobulJd this cnutlonhH,l tho
kc~m in mc~th)L~ tho s~cnnd ()bJc(~tlvo theClmh'8 pt'()pmicdsctUnt!
up un Office t)fncol()!~tcnUy Su~tnin"blu J)(.w~I()pmcntJ rrhe fUllctions
or tbls Office would
Jnclude cOl)l"lim\th\l~ WlH'k (m dcvclf'ning dcctsion~muk.ing und J'cpOf1lng pl'ocesscs f(w (lcnUny
cU\Ulougl~
with dsk. It would lnclud~' n1so conunh;sJonhlg w(u'k H I,.to develop the lnfot1nnUOll
nnd unulyticnl m¢thods fur d~nJ111g moro cffccUv~ly whh j'isk nud ullcc,·tt~imy in dcclsloll
nUlklnn at nil levels of govct1untJntH {lmmW(,1cIW'lIllsS1UW, p.44)1
H, ••
improved dccisioiHlmklng gcncmHy. InclmUu!! thnt. whit!h will follow fl'olH
nliqt'()c'~nnnmic
rcfnnu. wilt itself cmul'ihutu to Htll()t'O urnchmt intcgmtion of ccolml11l~!
and crtvtronnwurnl
i~~u(,~s in
pulicy nWfmgumcnt. Thus. UprJmlwintu pt'lcing of
AUltf.mUII's IllHuml rcsmm:cs would in jpiclf rcdtlc{~ prcsslU¥Js on Ausu'uHnls
cnvu'o)llllcntnll'csuurccs tlnd impmve tlwi,. mlmUl~Cn1(!m in UWHY fhm would minimise
IOlllHCJ'IllI'i~h
"ntl reduce UllcCl'tuilHY ubout theil' lonv,"hmll Mistnillubllit.y" Ullw/\wc/o"a/
!.\.\lIc'.h pA j}.
Olof.mt issues
It I" ncccplCd h)' t.Iw Wmkintl Cl"UlIPfij thut inlCl'IHlltOllul u'uclc. by im:I'cnsillg (he
I!fflciency with which
I'CM)\II'CCll HI'IJ usc<11 contrihm~~s to
the nchicvcmcnt of ESD, Fol' this lito
be complctl.'ly truc. huwcvct\ sm:lul cnstR, Incll1dintllhuM~ nl'lslng fl'Olll the LIM) of
CflVh'Olllllclltlll I'CMHII'CCSI
(/llfllI'MI('tnral /.\SIUIS~
need 1.0 he fully incOI'pnrnl(!'(1 into th~~ Illlll'kut pl'iccs of 1.l'Udcd ponds"
p.54 J. The infcf'IlufisnUon of cnvit'onm(Hltul CUSlH is needed
Illlernul/OIU1l/y if the pntenthd guilt!) fmm U'udc {,<:tween countries nrc to h~} J'cnIiM~d. The
WUl'kin!l CJI'OUp Chaif,'} thlm:f(wc ,.,wUllimclldcd fhm Austmlht t'O/ltinuc to lHllC il) InWrnutionnl
fnnln1!:1 the rClIlovnl of suhsidim; ulld Impediments to free cnlllfll.'nHinn jn foreign murkets whkh
Iln~
inccHlSiMcm with r,:S1,)
l"'inclplt~s.
In making this I'CcUllllllondlltlon the. Chnil's cmpJmsilicd
the Importance of ilHcrnntlo\H\1 trude 1,0 nSf) glohnlly, nnd the tm,Hi!Cl' "upm!ity of t\uslrnlin to
uchl(!vc nRD if lis (!xpm't sectur III sll'(m~t.
22
'rho r(lmninhl~ conmlclHs ill this S~Qth)il· m'e dir~clcd tl~ 8~)1l11,} tu~gumcl1fs in thC.Wollklnu
Clt'()Upt'oJ)oJ'ts nbout dlO tolntJoflshlp betweon CCt~toLti~ml sUMnhmblllty tmel lntel'nntk'mnl
cmnpetlUvcness unci ubout gtobnl wrlm'llnSI
Tn sevc,'nll'cp()I'ui it is stnted that. ilotwJthstnnding thc,lmpoJ'tnnce ()t~ lntcrnmlollul
compctHJvcllcl"" thil'i should not bo uchhtvcd ut the eX1JcnMc of tho envh'onment,
'nnw
Alam(j(/t'lUrlllg snyst nuHlmmcty. hmvcv(w, that ItmcllmtJonnl] cOlnpeth,lvcl1csS has ttl be
suslnJnnblc nnd cannot be bn~ccl upon un cllvh'ommmml sl,lbsidy' (p,7). The need t~ot'
developing nnliollul lind intemntlonnl npPl'ouchcs to prevent dcpm'tlll'cS fronl fmc lmdo being
Imposed in the nnnle of cnVh'OfltllCmnJ pl'otectlon wns cmphuslscdill Nlallllj(lclIlrlllg nnd In
II1f(,Jrllm/olltlllssfI(w. The squcnky ChUlIlliSCl' pays appl'oneh tt) tho crlvil'Onmcnt nntcd ubove
Wll~ Illll in evidence
tnX(JN
thmu1J,hmll the WOl'king (h'oup "CPlwtS. While 7'l'anvj)ol'/ ucc<lptcd that
und chut'gus were ~emU'ulJy officie.)!' menus of nnsurlllg thm the full cost of using
r,~s()ul'CCS
wel'e met, it ndvnnccd nn inu'lguing. quuUf'lcmlon to this view: uwhcn such chUl'ges
nt'e hnposcd nn Ihe Input side. th~ln may b,! n loss of (~ompctitivcncss or Austl'ulinn Indusu'y.
unless simiIm' taxes arc Imposed by olhol' cOlIIW'icfot C'l'/'(IIMj101'l, p.122). Thinking nbout the
Implication of thil; stHICl11cnt I'm' AU!",tl'Ulin 111ny be fuciHtutcd by rccutling thut thCl'O Is Jess
pl'(:ssun~
"m indu!oItry to m,", to prnlccl.lhc environment In Austl'nliu thlln there i~ ()VCI'scns
CIvI(JIIlljacllwlliMt p.7), tn the context of 1·~(ILIcing. the I'isk of globnJ wUl'mllllll~/wl',~y Prot/llf'/foll
fmggcMcd thnt "." hhnuld the Commonwealth {lovcl'nmcnt
H~!C
the need to p!'Ocoee:! with n1m'c
subsUlntiul hlslII'lIncc UCtimh it, mny wl~h 10 cOIl1',idcr cxcrnpllnl~ Il'ude cOInpcting scctm'~ from
thtH netlon pending development of UIlIlPPI'oJ1I'Intc illfcmnliol1ul rCNponsc SU'utcgy "," (p. 147).
The W(H'klnl~ OJ'()up clOCk nota thnt rhls uPPl'oach would J'opnHll!tlI (l suhsldy, ns well us bclnl~
hurd to udminisllll',
In NovcmbCl' 1990 Pt'lmo Minlstcl' Hnwke fielded 1.0 the rnsk
or lho JJSJ) W()J'kinl,l
OI'OUPS by Hsking t.hem to repCH't. 011 options rot ochic·ving the OUVenIIl1CIH\ illt(.wim planning
wl'got of' "educing gl'(!cnhousa cmiHslons 20 pCI' cem below Iheil' 19MB Jewel by 2()D';,
Consequontly, globnl wUl'mlng consid(!I'tUitltlH recolve signlficnnt ntlcntion in cneh of 'he sector
t'cpotts and in /tw11W(!c(()J'al',\'SUl'S, In EIWI'B.Y Prmluctiml t\nd lln(!r~qy U;~(J reduoing Austtuli(\~s
emi~sions ()f g,'eenhouse gnses
is nmuJot' COlleet1l, 'rhe Or(~(mhous(! Report drnws togethe,· the
options re<!t)gnised In the sectol' reports few ,'cducinggl'ccnhousc emissions und assesses S(1)10
of their effects.
Thcr(.! m'e uckllowledgcments In the I'QPO\'(S tlmt developments il1 global cllmnte -
though subject tC) much Ullctwtninty "'' '.. will be Innmmced VOt'y lltUe by AustmUu's notiollfh
Howevel'. t,his "entity is not highlighted. Some stutemollls cl)tlccming Austmlln·s global
signU'iclll1ca involve much undcl'stntcmulU, POI' exnmple: Hin our own reglem, the globlll
significunce of uny Australhm greenhouse reduction policies may well be ovcrshudowcd by
forecast etlCl'gy unci industriul developments in Asiun
COUlHl'k~S"
(ltm)I',IlY Use. Pit (8).
It is I'et~ogllised that f(w AustJ'ulill IIlhe most illlll'lcdintc socin"ccollomk' impact of thu
cnhnm:cd J:U'ccnhnusc effect b Hkcly t.o come, fl'Om response measures mther' than the clltllute
chnnge itself (GJ'{ll'llll01l.W Repol'l, p.xviil. tn unothel' instnnce of 1I1Hh.u'smtclllcUt the
Oret'llhOllMl N('IWI'I says lithe impacts of the actions of nUlel' counll'lcs nrc pntciltinlly at Icnst os
slgnificttnt us thm~l~ resulting fl'Olll dOIl\(!stic policlett (j'rt'(/II/tlH/Sl' Nfl/wrt. p.xvii).
Cmhistcntly wit'h AustJ'llliu\ sHlnl1 country stntU'h Ihe WmkilllJ Groups I'ecommcndcd
thut Pl1tt)l'ity be given 'no "egrctl~' t1ctions thnt I'educed gl'cl~nhousc clnissiuns und wet'e
wo!'thwhile
H
or "t lonst not disndvlIlHugcous
on nthcl' grounds. These Il1CnSlll'CS Include
removing Huhsidi\cd encI'gy pl'iccs, providing infol'tllHtion. nnd undcl'tnking ,'cseal'ch, The "isk
thut the no l'cgt'(!ts upprouch could hitl~ the efforts of policy ndvi~Ol's nlld rt~scUf'chcl's uwny fl'Oln
wot·thwhil,~ nctivities
them·
which confer 110 reductions in greenhouse cll~lsslon!ot
01'
which incl'cnse
is not mentioned. No regrets mcnSlIl'CS would not he suffiCient to nlto\\' Austl'Ulia to
meet its emissions reductiOtl tUl'gct.
Snmc or the Working fit'oups accepted thut the I'isks nssoclmcd with greenhouse
WHl'nUlted I.ill1ltcd IIIM/l'lll/tt' nClioll in uddlUo/1 to the ItO regrets tncnsurcs.
RIIl!I',qy
Productioll
suggested lhut the ansa fot' insw'unco wns bused more on J·jsks I'm' Austr'uliu Hl'ising ft'OIll ()thtw
l
COUlHl'ies responses to tim gl'ccnllOlIsc thrcm
which could Jrnpnct on Austrnlln ts t.mde.
especinU)' in conl-· thrm ()tl the rlsKsposcd by cUnuue change itl{elt~ Hin the cnd.
t'¢comtnended insul'nl1ce manstn'es wtwe hU'g¢ly limited to further rcseurch und nnulysis, to
reduce Ullcct'tni,nty nbom ~~lImute chung~~jlsclf nnd the impncfs ,of "espollsC men~ut'esln Austl:illlu
nnd mtlel' cmtnU'ics, nnd research, dcvctof)n1CIHt demOtlsU'tttkm und commal'ciulhmtloll of' the
technologies necessnt)' for emissions nbmemcnt," (Gf'(!Nllu)J(s(J R(!pon~ p,xxiii),
The \Vm'king Ot'OUPS ncceptcd that (!n~l'gy prices m~cd~d tt) rise to nchteve ESt) - nnd
Ausu'~\lin's cmissil)ll t'cdu~tlotl
"dvcl'sc cconmnk effects
~missi()l1~
tnt'pcts, However, bccnusc hiL~her em,wgYPI'ices would have nct,
vio!nt!l1g; the Oovcl'mllcnt'l; conditions few unilntcNtl t'cductiolls in
, the C;f'OUPS rccmmncndcd nguinst unihnct'ul imr()duction()f n curbon tux OJlothCl'
pf'icc~mcrensing
meusurcs. Ruprcscntnt.ivcs or the Ausu'ullnn C'onscl'vmJoJl Poundutitm 011 the
Hnclig; Production Wot'kin~ OI'OUp disl-Icntcd fhlln this recommendation.
'fhe llltHl M·ctOI' n·pnt'ts contain 40S recomm(!ndntJons, ()f' 11l0l'e thnn 500 if sub ..
J'(~cnmmcndatit1n\ nrc
~mn(!
ilwludcd. Thcl'(\ nrc ndditimmJ
rc,:oJ1lmCIHlntion~
Il1lnters(tC(ol'(lllssues,
of "hiah hnvc ah'tmd~ h<'cn mentioned.
'Jfhc gl'ctH bulk of the rcconltncndminns enn he viewed n~ attempts to impl'ovc th,~
working of the CI.1()n()ml<.~"cnviJ·OImWIlt "ystcm. Most of them nrc inlended to uddt'c!>is prohlems
urisillg fl'Olll mfumliltion dcflct(mdCk~ cxtcl'lultitic~, myopia in dccision.,t\mking. nnd
govel'tlmcm .. induccd (h~hwljom~. In terms of Ihe nU(nl'C of th(~ l'ccmlummdcd policy
instrunwnUh ugam tiler,,, 1\ lIule that. (.'ullnot be cnB!gol'lscd llndcl' such tI'Hditimml hcmli.ll11~ n~
mscur'ch. infnrmatinn und cdU<.,'ntinnt Pl'iC(H)U ...cd mcnMlrC~1 J'cl!ulntiotl. nnd mhninistrntivc
reform. Tlum.! 1\.lmwcvcr\ Stltlil" emphasis Oil UlculcuUng U s\lsminnbility ethos in deCIsion"
mnkcl+ij in I~h! hOltst!lmld und pmduction scctm's.
'rho u\;hnnwJcdgcmcl1l of doubts nhom the cc(»)ogicul slIhtulnnbIlity of' present
upprouchcs to rCSOlm;e usc in A,qri£'lIlrunl ) ~~lsluwl(w "m' Port'Sf Use wns noted CUI'UCI" ft is not
SUfjH'ising. tlu~rQf()ru, thtn muny (1(' lh~ recmnmcndntlons In tht~SU du'cc rcpOI'ls on J'cnewnhle
25
mnnrull'csom'Ct! ur~ dh,~ctcd toimpt'()vinSUIldcrsumdhl!! of biojjbyslcllll'elntlunships ~lnd of
socinl 'V~dunUoJls ur the vnri()us outpufsol'lhe tes(Jurce~ysteHJs* Apuckugo ()fmeAslU'cs
imended (0 cnhtmce Imlg. tt~nn lU'txftlCtfvfty tty blliwoving lnr()rmntilltl ucconmed f<w ltUll'C ttl,m
hulfl)( the costs nr rec"tlltm.mdnlions mnd(!in A\ql'itultul'e. IThermckngo emphnsised g,'oup
upprnm:hcs (such as fht~ lond cnre prOsrnm}to ngricuUural rCSOUl'(;!e and busi.f)cs!J numunement
und imcitt'Ufcd wlmh:"furm nnd \J~ncIHncm"bascd plannins. Hcstmrch imo nS,llculturt\l chQmi{:~ls
unci pest nmnugenmnt were viewed us pno)'.It.y urensfur i"Csem'ch. 'rhc 1'~pot1s Ott PlslWl'/{~I\' und
FtU't'M llM.'wt:re not. ~n ~pcci.fi(; nhoiu t'cseurch needs ns A/lrieU/lUr/!\ but both8upportede;nmt~"
cmpho\t lol un t'C'~ctU~b t:wnvltIUlp, the kl\nwlcdg~~ m~cded rot· sustnhntblt: rcsolU'CC mmmgmmmt in
tho\!! M~~ttlr\, In nddltfOlh Illimy l'(!cotlltl'lCndanuns t~nnc(~,'nmJ} plnmling and nmnugcmClll:
f.)r(l\:t*Me~ m fh~~ thr'Cl~ f{fp(lW~ WN'C:
itnc.tndcd to Cfl"sure that bt!Uer'infmnmtion wus fl110duccd nnti
tnade u\~utnblc: to dCCI\ltHllllUker,
AI'I'efritm~
the "(4·cent
taU III Cnl~l'!\!r' n!M~ItJ'ch.el\pccmll~ rcnl!wuhl~ an~rg)" r~,seurch, \\'us
~cen us it prtol'lt}' Ul BHi~I'N.} Pratlllfftoll.
HeUtlf Ultt !-U'alIHU uf c(:mltUuu,: und envU'tmmenml cun~ith:mmnns In dCci!;tun nmkiu!!
1
wns u thetnel'LHUUn!~ through
an the I'cport\. 'Thi\ mcmH t'nsm~m~ UUH crwironmcntnl cmit~
were ,y,tcnmtu:nHy ~'ml,tdcr(!d m dc("'hllon"
('Ofll\tMemly wuh
lhe uppmm:h of th~ Trt'usury (l{)t)O), Hccclncd b} the Uovcrmnent
mo\t uf tht! r~ptwt~ N;rm!~!s\~(1 inpr'tl1cipf\! pl'cfm'cfl(.'c
fOf·lmu~~.ct npproncher;. ttl
envil'(mml.!lltnJ l'e~otlrcc\ b,mt!l'. rnlhct' thun t'llllulutmy unCh,
mo\t sU'on.!dy m AlJrllUll1ll (':
gcnCNtJ. u ffaM r(!~ot'f"
U
••
wJul~
Thl~
using
flrcfcrcm:e wu~ t~)\pt'cs~cd
regulauun ha~ its plac(!, if h cnnsh.JtaI'Ct.t ·/the. m
({~H'fll/tl'tt SumnwritJ,\.
p.2l. Mul'c (!commlic prtcill!~ ()f wntet' to
fnnllct'''t und tull U'iHl\feruhHity or wnter emitl(!m~ut~ includmg U'jUlsf'~,l'Uhilil.)
lrrjgntinn tmd (')111(.·" trc{'!I'emion nnd Ut'bu.lu USCf'f\ ultd h{"'tw(tcn Mute~
l)(!twl~cn
were ~jgtHfkunt rnarkct
mensm'c\ rl~colllnmmf(~d III Allricultun'. A mnjori.t>, uf the Agricu!tlm: Wnrkjn~ Group
supported s<:ttiug un'scls for J'cdm:1np th,~ llSt~ of ctmuin clu"scs of (;'I~(~micnlti, hut fh~l'c Wii"
dlsu{!l'cenwnt on wfu!rhcf' fhe wrgcty, should hcfndit:ntive Of mnndOfOly.hcm:c usi.n,g rhe nu.lrkct,
npp.'onch of tnxingchemicnl use tt) uchievc th~ "eduction *'-' us ill SOJn(~ ott,lCl c(nmtt'icR "" WllS not
1
recommended.
[tOl'lJSf Use "cc()nml~mtcd ncml1J)Cthiv~ op~n mm'k.~t..bnm:d system ()f
u'lmsfct'ublu wm:ul hmvcsdng dshtsmul upplicntion ot'the Iuscf;.paysl prin'~ipJct(l uU
\!o,mllcrcinl uml n(}n"commcr~iol "SCI'sot' fm-ests whct'Cver ft.mstblo.
Acc~'plnllce
mu~h
of the vhtllcs (If th(~ mt~rk(!t UPI't'llHCh wns not sn cvid,:m in p'ls!t"ri(),\'. tlilurc
scope was osttigncd In nmlHlscmcnt. nmll(H'ities, Jnn\lcnt~cdhy nud nnswctnbh~ to
advistlry cmumittees on which un bignif'icnnt g,·oulls using the resource were rCllt'eS(~ntc(t The
nuuHlgt'tlWnt umhnrUics would pn,~l'Hn'(.~ &U'tucgic mmlt\llt!nl(fllt phht8lmd 1I ...cstnbli~h the
,lPJ,rotwiatc tnlX of wlHIl nnd output cont,'ol mcchani!\tns to meet the susminuhUity indicntors
~mmun~d
in the tllimngcment phm
f
•
a~\t'{.'IIIH't* Summm'icl'~l
p.(7).
tl was :m.id. howover. that
the Hlc,,~h •.lnt~mS(l\mhh\h~·d ~hould let nuu'kc,tt sl!,!lmls mf1mm<:e U\Ct'1l ()f dl(,\ .'C~ourcc. It wu~
;ll"u n,ll'(lmm\,'lind~d that n,hcri(;\\ mmUllltmwnt nuthot'tuc\ he cnlpm\cr(~(.1 tn hrH1J), civillHigntion
u~;~un\t
interC\l\ that thUm1lic the fi,hefj hahHm ut' ht'eHch the manu!:tcmcnt plan.
In hoth
l~ iWrlll "I'm/I(( fum
(p .. ,) nnd Malllthit lUI HUt q)",.' It \\u.\ ~iud: ,uln the Cs,lent
thUI CllVul1tUllcntnl vhtm,'" CUll he lUl."tnl,omtcd tntn the tWice \)'\tc.tll. n dynullllc ncxiblt!
incclluve mcdlitlliMn j~ a\iall~lhlc to in{1ucnct? th~"I\itm makHl{!, .. , h \Va~ ncccptcd, hnwcvf:!\
If.
that ('(·gulutOl'~ m..t."uI'C\ will \0111\!(imct't need tu be u,",cd, The m'lHuncm why UU, H~ ~(),
ntl\'iJnct~d
ell)
m hoth Am'f.t'(Y
r, odUt'flOn nnd Mmllflmltlnlt.~. ill pUl/ling" It,.in IHiUl)1 in~mnce~ \H~
nut have the data In n:l1ccl udeqmHrJ)r the CIWJWnnU,-uhlt Clhth ',But lht" uh\cn~e of the
duta needed to l'tct un Uppml,)I'latc rmce on nn ctlvlrnml.cmnl rOMmrcc wm uften pose the Munc
pt'oblcrn\ ('OJ' achlcvHlll cni~itmcy VUl l't.:gulutinn n~ m m"thlcvJup. 11 throulth nmt'kl~l·ba,cd
uppmuchc~"
\Vluu t~ nllmnt. pt·t~\unUlbl)·. i\ lu.U lhe rc!!tmm:c pnce needed tn nchi,-vc u pl'<!"
dett:nnincd tH1VIt'()/lfm.mtnl ,-nc(.'t U"t;llg the market tlJlfU'l)i,lCh IS unknnwn. whih~ tlw cffvl:t
howevel' efficient tll' ltu' ffh:hmt it
i~
can lw M:curcd vIa t'cllulmimt
Rcrucwit1tl incfficiolct~~s in Pl'lCmlt clc~:U'i(;ity nnd naturnl gas i\ Ulllmpm'lUnt fll'jurity til
1%'m!rltY Prot/uctioll. Mony of thcs~ inefficiencies nrc cOllVcnlhlllal unes. uflt'(!Jnlcd til
cl)nsidetntiolls of pl'iciny; cnvh'Olummtnl imPllCls. lh:)wevlH't the USc of Hlnt'kCl mcnsm'Ct; to
improve the use Inude of enviromm~nttd r~sources()ccupie8.ll'1)tomifient partiflthis 'repe)rt, itS it
d()es ill t\1inflm nnet Ailam(I'c1elUl'[ll~q. The {tme,' reports pointed out.·thnt,nHhoush AusttnHn is n
signutot'>' to l.he Of2Ct) tecotnntendnti&)t\s on the IIpollutet' IlnysU r'tinclpl~.lts USc is nt)l\ weU
di.welo,,~~fin Ausnulin§.
In t;:m'1tq.v 11rmlurtlrm it wi\snrgucd lImt the ,pollmer {):tIS prtnciple did
nocgllfttr enough. Ulul Hun contl11J~ihB pollution withillccologicully Nuntnlrmblt! Umhsl'cquired:
dun 'tthcpt'icc~ f'org()ods und 5\!IVit:cs should ulsoren(,.~t the Roolal.envirotlllUmmlnml be~dlh
costs of nSliloointedpollutimt" (p.13S).
t)~8pitedU~fjculticshl npplying
it:·.. suoh us (!vulmnlns
the costs of' long'lcl'Ul lo\) level pollution on health uud 00 the CtWh'(llUtn,mt .'" this ext~ndcd
pnllutcl~ rmys UPPI'<lJlchwus seen IlS the f)rl·rel~I'cdp;lItdeUtle Jnpricing thecitvlr{mtnent.
The fiI'SlI'C('Ommcndntion in Minltt,l( wns fm' unincl'cnseinrcsenfchinto "1tuu'kct*bus~d
opt.ions to fu,~iht~ltc itHegt'ated decision making within the semOJ11I a~:\'(Jrmi"(! Rllmmtll'il1SI
p,IHI}. Sc,mrity
bl)nd~¥
tradublc pntlution rights. pctlultics nncl finch tU1d wnys of vuluittl.t rmu ..
tnnrketcd envi"ummmtni l'CSOUl'CCS wel'e liswd U~ cKumplm,. SlmiJut'fCt'Omrnt:mdmi{lIlh fur
r,,~eiU'ch
w'~re
into mUJ'kct measures fOl'lmpl'()Ving the working of ecmmmic"ctlvironmcnt, systems
mnde in l~nel'.tly Proc/lictiml nod A1aw'wrlllg.
in l~'lwl',QY Il.\i~ nod Tl'lw.\J'ol'/. pricing unci l'egulut()l'Y mensures m~e both sc,-n ns
impm'mnt tn achieving pmgl'CSh towUI'ds sustuinubilhy. "Pticing of fuel
i~
I'm' tho most cUt'eel
way of m:hicving hclmvlournl chnnpe to\Nurds HS[) ob.JCCliv(~s thl'Ough vehicle usc...
!!
(TrtJnslwr/ t p.) 35), Road pridng is set-In us imptucticnl nt p"'~!:icnt. A C'olllrtlOnwenlth study
into IIlww heM to incmpol'ate the full economic, social nnd cnvh'mm1cmnl costs HHoenorgy
price~ itl
Austrnlmn u'unsportll (~.lj5) is rcconmlcmtcd. hl nddit:t)fl. fni.,ing sutes tax on ftlC'l .
ineft1cient. vchiclc~ und h)\\(.winp. it on rucl~cfficlcnt ones wns supportcdtn further' uffcCl
incentives c()flccrnilll,! type of vehicle to own. The firM t'cconmlCfldntlon in Bllm:I.fY UM' wns
~ill1nnJ'ly direcfed In r\~t1ccting nil costs of energy
usc in enet'gy fU'ices.
r~xmllinmiun ot1 i1mlllciul
incentives I" oWIH~r"occllpiC'd hClUscholdcl'k 10 upgrnde theirmtlH'!1Y t~fficicm:y wu~
recon'uncndt!tL h SC(!tns \0 he hnplied(p.HO) thut Imus~lmldcrs nrc at prc~cnt, pussinp over
pos.sibiUtics to muke long term Nnvhl!~S in cllm'sy cost.s. The cnsc f()I' uslu!t subsidies JtuthCl'
than iufor1muiml pmgrnms to rectify nny JruU'kut fuilm'C in this unm wns nut 11lHd(~.
Mmi~;(!l
mensuteswere not so pt'omimmt In t()lIrt,~m*I'lowcvt.!f~. tolcs wct~ se~mfor (lurk use fceR.,
dnnmgetr~lut~'dJlCnnhiesrol~ notl"oohlpUnnce whhenvinmtu~nml reguluttons, tmd,pcftllrtlmncc,
btmdsus n c()nditlonuf:dovch)t1ttlt!tU where ndskof: "l1tlCc~J)t"ble~nvlromllentt\l.(lnmuse
existed.
Arnmtg lim J'cl,luJutory UR~UNm'es supportNl in T"'~JM11OrI
we.~ lower vehiole emis!;iotl
Hmits,lnbeUing ()f vehiclori ttl indicute I1lel crnc.iCtlt:y und mnndntory inclusimloflhffi
inftU1mnion in nd\!Cdising. pri(wit)' fm' tfunsil ,mIne and high ()ccupuncy v~hicle!it nnd
c(msidcI'ntion nf cmnr1ul«;m'Y cur nnd vtUlpooling.
c(mccttun~ nmndatmy (If\t\rg~)
ftlU!f'y)t l1slJc.()Iunim~d t'ccOlllJUt:ndtulons
JubelliflS of' nf)pHnnecsfm" th\) r~sidetlUult cOttUtH!tciulund
lmhlZttrinl ~ecrnr*s und ctlt1l'ditmtion tlfcllcrg~i mnn~ scltcmes (or residemial nnd ()ther buildings.
l ..nb:!llltl!t uf Utli~lianct~Hi to iudj~.lt(~ their enenw usc wn~8ullportcd uhm in Af',muj(lf/Urltliq~ us
wa", f~mbU!\hin~~ ~tmldnrds of ,ninitnuill encl'l~Y cfflcicncy for n runge of it.(mt~ f,'um white
g.nnd", In nmlnf' vctucl,l,
(Jnvcrnnwnt ,crcuted (hstnrti(ms\\i~rl] idemifi\ld Il!<S hnpm1mlt cuuses of thl'(mts to nSI) in
~evemJ r\!pOrl~WU\cr prIcing undtnx, cnn<;CS\lml~
I'm' hmd \!Icurjng (n{) longer preseut) m't~
example [torn ;t1.lJ'll'lllJm'(I. /;nrt'JIU.W referred t.o mcftlc.ient, upptnnchcs to pricing, wood.
Itl1pt!dum,mt~ u)
privutc forest.ry und unnecessnr>' restrictions on the use of timber "
A numher of gO\lernm~n' pohci~~ diMorting tl.Ulource us~ in u: WtlY hnrmfuJ to .USr) \\I~.r·e
idcnUfr\!d inl~m!J'R'v Un~ nnd TrUIJ.\luwI.'l"hcsc in~~luded; tax 'mcnsnrct't (fm" c~umplein(.t'·tHlvc~
to firms to provide ~mpluyccs with mowr vchiclcs)~ Icgul pwvhdons (such rl~ the hnlwdhnents
It) Jlrivtlle mntnri.-,ts clmrgiflg tlmsc WhOHl they trnllsp011); nnd plunning nnd ch.wclopmem
reuulutions. 'rhe nbsenc<) of' ncnpitnJ gnhus tux. ml the fumiJy honlQ wns fi(~cn u.s ()m~ ot' the
nlcfm\f~
eucmtrnUltlf!: u pnttern of Ul'han hmd usc thnt h not ccolugi(..!uHy sustninnblc.
AU rcport& suw n need for hnprov(!mcnts in educutlon at ulllcvcls on t'csmu"ae
m:mugcmenl f()rccnlogi(.mHy sHslninahJe development. Til Fort'sf 1l.wJ und A.qrirulmreJ the n~cd
for Icuchers to show bnhmcc i.n (fenling. with rwmhfctJon from thcscctOI" S rusources und wlt.h
COl1hCl'VUl.iCUl
wns f!l<prcsscd. 'rum:bers were not helped in uchicving this bnll1llcc by thu
disgnlc~rUlCn\fhf(mJil.:ntnl.r¢~()urcc·:kitm'Ql)utCd bythe.F¢d~u1llnf)vil'omnct\t.Mlnistcv*s
d¢parttllCUI,tn C(lnJunction whh Wo,dd f!tWirmm\~mtbnYtund dlstrib\lted.l<l llUAusltt\lhm
schools ft1mtd.. t992.bcrOl'e~(ng .oft'fclnUy wfthdrnwn (ftdwm'ds nnd UfCn 1992).
Inlhls pnpCf sonIC questions hnvo betn tnised which may hclpi;ltmnlngtht: Wtu'khl!.l
(lmuJ) repol1s illCOUlCKt nud itlf!vntumlng them. Amr.mll. these Jlnc~JJQus uro! to wJmlcxt~n~ls
pmsl'css t.t)wmds tiS))' in AustruUndcl(!nni ncdout~.ide Austtnlht'l whntconstrnlms does n~ st1\l\11
t,t'tnling cnuntl')" fmJe in pursuing nSrYl nml WIUHisthcl'ol~ ~)r mnrket mcnsm'¢~ und 01'
r~aulutol')l Jl()li~l~S'}
I'n initlnl nucmrn to exwllinc:the I'Cr't)t1S ngninst: the bnckdt'()pof~lhcse
queMitlf1S hu~ l>c'~n ()t'cs.ctUfd,
l~cudel's {If til,·
nSf) \VOl'kU1B Omu}) I'CpOl't~ Ond nn opcmhonnJ doflniUut} ()r toul.'ism·
tIll travel JlltJt:C than fort,y k.jJum~tl'(!s fmlll the nOl'mal plocc of residcncct('Xt~(~Jn commuting. to
muJ lhun the u~uul pla~(! nfwmk . but not of BSIJ, However. BSI) is hHCtpl'etcd in the rcpoJ't~
H) be tllS mm:h nhom ecnnomi<; gruwth and dCV~lloPfllCnt: n~ uhom ru'ot C.c Hrt!t. I,he envh'unmcm.
Tlm~c
\\ hn ~cc 1m" 01' lern '*c(,.~nnnmh: growth u" n rcquirCnJCfH f{)f' BStJ wHl find ,m ~uppt)l't for
their J)u~iUOU in the \Vorkr.ng' (Jrnufll',*ptll't~, Inducd.ccmnmJic: !lfowth, b)! cXJ)Undlrlt~, the
chmce~ open to
Au\truhtUltr"
i~ ~ccn
und uthe,. oh$'ctiv\!\ mure fully,
us cnhanr.:inp. the oj)porumHie~ to nchi~vc cflvit'nlHll(mtnf
Ncvcrthcl(~s!h the
potential f()J' Au~troHu to cxrmnd the
I'rcfcJ'wd nplimll.j uvmfnhte 1.0 lt~ citilt!nlil wiU unl he rcufisud unh:,s volues f(w the ctwit'mmlcnt
nrc htlt}? fencctttd in dc<.:isHnl nmkJlll,l throughout sm"i~ty.
1.)CSPitc lhe new unci imprecise tCt111 ItcC()J()glt~tlf}y slistHhmbJe developmem'\ there is
liule in lhtt broud npPI'()uch of th(! \Vot'king (lroup t'cIRlrts whkh SilN uncmufn11nbJy with
mninsUluun ~cmmmic pt'inciJlle",. Aner' nH. the Heed tOinc()l'pnrtlto cxtcmu.l effects in prh:os Im\
betH) the convmnimmf wisdom ~ince Pigott (t932).
p()Hcynmkct'~ fMV~ often puid
Ttl 00 SUt',l,
in AustmHn. os clscwIH.m,-.
tude f'cgnrd to cflvironmcnmJ cxtumnfities. This hns tl{!Cll due in
liu'gctpnJ1 tn unc(.mnimicSc ubout; the size of su<!h ,~ffccts nud to COlUU1Htdt.y vnltleN than to their'
exclusion ffom the ccmlmnic plU'ndigm. M;my of tho l'c~omm~ndnfitmx of the Workh1ll (h'OUPIf
caU r(wr~sentch byeconomistSJUld tUhers whl~h wmrncUhut~so"nd decisioll.~ Oft thfJpricing
ofmnurnlrcsQurccs in n,rongc tlf'.sUmnions.
Smut: wtitcts ({'(If' csnnlr~JetWmS 199~n lmvc \:titicised ,flU llSDpt·oc~ss for t\()t beh,&
suftlcicntly systt,~tns tutumed omlfor bettlg'tC)() imprecise nhout, ct'in~J'h.. for' evnlunthltl
pcrft)mmm:o in uchiuvins, susmhmbiHty*
ill their dcfen,'c.lhe \Vorklns (h'oups eml pt,lhu to:
Jimitnli(lllSm ktlOwlcdgo! their l~~nnsUr r~ftre,;,cc.iuctudinl:l th~ rcqull'cment; toprllVfde Pl'tlctiuul
ndvice to th<~ (luvcrnm<tm; und their r~Jl(Ulina dcnd'jn~.
f1110 COMIIltlN of thtJ J'Cc.omnlcmJi\ll()Us mndc illARf'ifuIlW't'l, Pllh(~/'(('S und FW'RSI Us,,
l"Sl) than $3(){) million ewcr nyC )lem'S
while incmuptetu, would gCllcmUy lx~ "Cgflttfcd ns u
low pn,,\! for ugmu'.uu,·c nfecnl()tlH.ml su~tnhmbilil}'.
nm lith t~ mlilike Uwt!
Th~I'C t\t'C no
l.!um"UtUeck uflhis ')[XL UnCt!fWHlty i~ n ma.JlU' chm'Hcft1i'IMic C{}Unlllltintt thoso whn f;ceK to
nffer MrutCI:tW' for' mnvJU!I tnwunh~ ESTl
ret:umlm!ml~ltlOn\
Advmlcc~
in knowledge whichmnny
tfllhc \Vnrkjnp Clmul' rcport\ !U'(.l directed In rwhic:ving will chunge
i\\SC.fit\U1ent\ of how ,:un\J~tctTt ~rc"t·nt and ufb:rnntJVtl mimu'llCnl~nI. l'Cplrn~s
\U\Mfnahtht}
and ~tth nSf)
:\1
nrc with (!r:nl(lg;cnl
!RltFJI!R.~N ct~s
c()mrnO~lWe. nllh of Au~trnUR (1900)t .l!ttl»l(}klc(II~~SUSUllll(Jlll(! Dtw(J/OI'IlJI,!JIt 10 A
CmmlUmwtJalthDtscussl(mP(mlJr~ AOP~'h Cun~rrn,
Costnu~u,ft
(19S9h UWbnt is ec~)logicnJ ecouornics?U
lrt'()logl(~(jll~;,ll)Jwmlt'sf
1{I}, 1..7,
l.~c(llogf(tnUy Suswimlblel)cv~~I,)pnt(mfW()tkiug Groups (I 991J~
Summ(l1'i')t~" A()PS. CfUlbCl'rn~
PIitrll Rl!fWN !iltr~(!cutll'(t
Ecolo~icnny SU8fttinubre ()cvclnpmclU \Vm1krng Orou(1s 09901
"fllml {{('PON ·llgl~lt·ultm·K?f
B~mtt,gicnH~ Susminnhte [)cveft)pmcm Working Oroups 0(91).
. ]'1Piuluf/bm. ACU)St C'nnbcl'n~,
Pfllu/ (~{)JJ()n '" 1~lImwwv
AOPS, Cnrl1~~rtfn,
rtcuft)glcu!ly Sustuinnhlc flovcIopment \Vm'kint~ (lroups (H}9l). Pfllfll N(J}UJrt " (tIWrJl.V US/I,
AUPS. C"nnbc"t'u.
n~()r(lgimIH,Y
su.stnitmble.· nc\"~I()pmcm \Vol'k ing (h'{lUllS ( I()t) 1). Pilwlll(WtWI" Pis/wries.
AOPS. C'unlwl't'n,
r:,,:ologlltullv SUMmnuhle IJcyclo111llum Wm'Klng Ol'OUPS (1991).
Aof>s. ('unhCt'f'IL
F11I"'/~.('''tJrt·
Fon's! U.\'(l,
Ih:nlnlli,~al1~
SU"'lHinuhlc Development Wmh.ing (]J'(lUP:; (J ()') lJ. Pillal RCil'tJrt ·lrlallll!iu'lUrill,q.
A(lf)Sf C'nnhet't'u
Hcolopu:nlfy RlIstnjnnhl~~ l'lcvclnpnumt ~\tt)J'ki" 4.' OI'OUP' ( I ()91), FII/a/ Rp/)tJrt ~ Nfil1lng.
A(lPS. Cnnherl'u.
H~otngJ. \:.'i.dl~
Sus.Ulinahlc [}~\"~Iupm(.lrn Wurkillg (it'oup., ( )9(1). /lYnlll ReI/JOn" Tourism.
AClPS. CmlbmTu.
Bcolngn:uHy Su,uunublc Develupment \VOl'klllg (lmups (1991). Filial Rt'/wl't . TrtlJtsl)(}/'I.
AejPSt CUnf'leI'J'U.
Hc()lnLlj~~illl)1 Sw.tnirmhlc
Development. WOI'kiny Ciroup ehai!''!; nQC)2),
IU/£lI',W/clora/l,HJIt',\
Bcologic.fr.d.Jy SUMlli.nr.l.,hIC ()cvt'lopmcm W(wking Oroup Chnh'~ (19 C)2).
AnI'S. ('unhcnu.
(Jrttl'lJ!toll.w R1VJrJI'I
ReI/wI'!. ACiPS" ('nuberl'u.
(l. nnt! (,J1'cn. N. (l092). i'(Jovcrnlmml in the C'JussJ'oom'! The Wnl'Jd Hnvit'Omncnt
t)ay Kn,:1 Po/u''\'t SUflmH~r (ftwthcnmlng),
Hdwnl'tl~,
Pignut
A,e. (1912).
Rt'fJlWIIJ;(',\'
ttf lVI'lfl/tIt,
QuiLn~in. J'. (J '.V.9 J)'. IJiHc.'oum t'utes l fUH,U'C ~CIlCJII.Hi()ns '.l. '.l.d.8.'US1UJnnhilit Yt Pnpcr tt) HS))
hHCI'SCCfnl'{lJ Issues First fJ'cchn;~uJWol'kHhop. CnnhtH'flt. Mil)' J')9 J.
TtsdcJl, C!. (f ()(J f ), l~'c(m{)mfrs of ((m'froIUJU'nml Cml.\'(,>rWlliou. ,.'UscviCJI, Amsterdum.
(1 Om)). n~on()mic lind l'cgulUI(wy n)cnsUl'Cs nw c,~oloL~iclllly MJstnhmblc development
MI'utcLdoH, Thcl Btttmmnlc NOIWdujJr June 1~)90,
~rl'cnsUl'Y
VcCmUth rl\S. (1989).'·,S uSlniunblc duvel()llmCllU its economio mennljn~ nnd t)otiuy
hnplicntiolVi," C(wmll(m lnurtlr.11 o/Agl'lcultut'(llllcmumr/cs, ~17(4), 87.5,;,.86.
Wills, I, (JJ)f}~). lutegrntlng thecCOllfJlny. nndtheellvltoumctn:lllu; theeeol()glcnUy sU8tuhmhl,t,)
dcvclopm~mt'l)r(}cess hulpedfl Palle,V, ( S p r i n g ) . '
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