New research finds that transitioning to a low carbon economy is sound economic development and will provide many social and environmental benefits.

SGS Economics and Planning Principal and Partner Ellen Witte and SGS Associate Dr Marcia Keegan co-authored the report Australia's Clean Economy Future: Costs and Benefits with the Melbourne Sustainable Societies Institute (MSSI). The report offers a comparison of the costs of emission reduction in Australia relative to the potential damages from climate change under current policy settings.

This report finds that transitioning to a low-carbon economy is sound economic development: even when the benefits of reduced emissions are ignored, the economic benefits of a transition to a low-carbon economy easily outweigh the costs.

These findings will equip state and territory governments – particularly the Queensland and Victorian governments - to transition to a clean economy and:

• avoid future damages due to climate change
• be at the forefront for low-carbon business and innovation
• smooth and enhance the transition to a low-carbon economy
• reduce the financial, legal and strategic risk for the state and the economy.