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What does the Strategy address?

Future Energy Strategy

What does the Strategy address?

Direct emissions from road, rail and ferry transport. Indirect emissions from electricity from electricity used for road, rail and ferry transport.

Future Energy addresses both direct and indirect emissions from road, rail and ferry transport.

Direct emissions are from the use of fossil fuels in internal combustion engines of transport vehicles. They also include emissions from vehicles used for construction and maintenance activities.

Indirect emissions are from the use of fossil fuel generated energy to power transport vehicles, as well as emissions from construction and maintenance activities.

The National Greenhouse and Energy Reporting (NGER) scheme follows international conventions and classifies emissions into scopes at a facility or business level. Although not strictly applicable at a sector level, it is useful to think of the direct emissions from transport as Scope 1, and the indirect emissions from electricity generation as Scope 2.

  • Scope 1 emissions are the direct result of an activity or series of activities. For example, emissions from the exhaust of NSW diesel trains are Scope 1 emissions for Transport for NSW. Scope 1 emissions are required to be reported under the NGER scheme.
  • Scope 2 emissions are from the indirect consumption of energy. Scope 2 emissions from one facility are part of the Scope 1 emissions from another facility. For example, the emissions from the generation of electricity to run the train network are scope 2 missions for Transport for NSW, and Scope 1 emissions for the electricity generator. Scope 2 emissions are required to be reported under the NGER scheme.
  • Scope 3 emissions are indirect greenhouse gas emissions other than Scope 2 emissions generated in the wider economy. They occur as a consequence of activities of a facility, but from sources not owned or controlled by that facility's business. Scope 3 emissions are not required to be reported under the NGER scheme. Scope 3 emissions from one facility are part of the Scope 1 emissions from another facility. For example, the emissions from electricity used to manufacture a train would be Scope 3 emissions for Transport for NSW, Scope 2 emissions for the train manufacturer, and Scope 1 emissions for the electricity generator.

The broader, economy-wide indirect emissions – or Scope 3 – are not covered by this strategy, as state, national and international initiatives are working to reduce Scope 1 and Scope 2 emissions at a state, national and international level. As Scope 1 and Scope 2 emissions reduce, Scope 3 emissions will fall naturally as a consequence.

Six principles for Future Transport

The Future Transport 2056 Strategy is focused on six key principles for the future of mobility in the state, which together aim to positively impact the economy, communities and environment of NSW.

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