Cutting transport fuel use: the priorities for climate change and uncertain future oil supplies.

The purpose of this paper is to show that a paradigm shift in transport planning and provision is needed to cope with peak oil and future oil shortages and to reduce Australia's contribution to global warming. Of particular concern is that in 2006 and 2007 sound research became available showing that uncertainty about future crude oil supply makes it important to develop a strategy to address the oil peak, the increased cost of oil imports and inevitable oil shortages. New transport policies and innovations are proposed to reduce carbon emissions and to fulfill Commonwealth international obligations. The first task is to use market instruments to encourage carbon neutral trading and energy conservation. It would be prudent for the Commonwealth and state governments to develop a risk management strategy to deal with the uncertainty of future oil supplies. An early start in implementing the Senate's February 2007 Oil Report recommendations and to introduce energy conservation initiatives and transport innovations is urgently needed. (a) For the covering entry of this conference, please see ITRD abstract no. E216058.