The Inaugural Australia-China Energy Transition Forum & the 13th ISETS Energy Transition Forum

Electrifying Tomorrow – Advancing Cooperation in the Industrial Chain of Electric Vehicles between Australia and China

Host:

University of Technology Sydney

International Society for Energy Transition Studies

Organizers:

Australia-China Relations Institute, UTS;

Faculty of Engineering and IT, UTS

UTS Business School

1-2 August 2024, Sydney

Introduction
The transition to electric vehicles (EVs) is a crucial component of the global effort to combat climate change, particularly within the transportation sector. As Australia and China stand at the forefront of this shift, the “Electrifying Tomorrow: Advancing Electric Vehicles in Australia and China Forum,” under the auspices of the Australia-China Energy Transition Forum (ACETF), seeks to highlight and foster dialogue and cooperation on this vital issue. The event will inaugurate the regular Australia-China Energy Transition Forum (ACETF).

Background of the ACETF
The ACETF aims to become the leading platform for fostering dialogue and cooperation on energy, critical minerals , and climate change issues between Australia and China. Initiated by the International Society for Energy Transition Studies, the University of Technology Sydney (with a focus on the Australia-China Relations Institute), and Huazhong University of Science and Technology (focusing on the Institute of State Governance), the forum is a collaborative effort aimed at facilitating mutual understanding, collaboration, and the sharing of solutions.

Jointly initiated by key organizations such as the Green Channel/Net Zero Working Group of the Australia-China Business Council, the China-Australia Chamber of Commerce, the National Resources and Energy Commission of China Chamber of Commerce in Australia, the Centre of Policy Studies at Victoria University, the Center of International Energy and Resources Strategies at Renmin University of China, and the Collaborative Center for Emission Trading Scheme Co-Constructed by Ministry and Province at Hubei University of Economics, the ACETF represents a comprehensive approach to tackling the challenges and opportunities presented by the energy transition.

Rationale for EV Focus
The transportation sector, one of the largest contributors to global greenhouse gas emissions, faces significant challenges in decarbonization due to its heavy reliance on fossil fuels. Electric vehicles (EVs) represent a pivotal shift in this quest, offering a sustainable alternative to internal combustion engine vehicles. Despite the current energy landscape, where a significant portion of electricity is still generated from fossil fuels, the shift towards EVs is a strategic move towards reducing greenhouse gas emissions. This shift is bolstered by improvements in battery technology, increasing the affordability and efficiency of EVs, and the expansion of renewable energy sources, promising a cleaner electricity grid. Thus, EVs are not only a cornerstone of modern climate strategy but also a catalyst for technological innovation and economic growth within the clean energy sector.

China’s Leadership in EV Production and Exportation
China currently products and markets more EVs than the rest of the world combined. Last year, China overtook Japan as the world’s largest car exporter. In the final quarter of 2023, BYD, the Shenzhen-based company, outsold Tesla as the world’s largest EV producer. Moreover, Chinese EV producers are sitting on enough capacity to supply 75 percent of global EV demand. The rise of affordable Chinese EVs, which account for one-quarter of its car exports, has made carmakers nervous and prompted protectionist governments to consider trade restrictions. The US government has responded with subsidies to encourage domestic manufacturing, excluding Chinese manufacturers. The EU has launched a probe into China’s industry, a move that could result in raised tariffs on Chinese imports. However, restricting lower-cost imports could stymie the development of the electric vehicle market for countries that try to limit fossil fuel emissions and work towards outlawing combustion-engined vehicles. Western policymakers considering blocking China from their clean tech supply chains will need to consider the impact on their net-zero ambitions.

Australia’s Emerging EV Market and critical minerals supply
EV adoption and market development are also speeding up in Australia. Although Australia started behind the rest of the world, it is quickly catching up. EV sales more than doubled with 87,217 vehicles sold in 2023, translating to 7.2 percent of the market, a jump from 3.1 percent of sales in 2022. Electric, hybrid, and plug-in hybrid vehicles accounted for 196,868 sales overall, which is 16.2 percent of the market. This surge reflects a growing public and commercial interest in sustainable transportation options, spurred by government incentives and increasing awareness of the environmental benefits of EVs.

Australia’s rich reserves of critical minerals necessary for battery production position it as a key player in the global EV supply chain, promising significant economic opportunities in mining, technology, and renewable energy sectors.

Forum Themes and Objectives
The “Inaugural Australia-China Energy Transition Forum: Electrifying Tomorrow – Advancing Electric Vehicles in Australia and China” sets a comprehensive agenda to address the multifaceted aspects of electric mobility, such as EVs and critical mineral supply.

By exploring the following key themes, the forum aims to uncover opportunities, navigate challenges, and highlight the collaborative efforts essential for the successful adoption and integration of electric vehicles in Australia and China:

Environmental Impact and Sustainability: Assessing the environmental benefits of electric mobility, including reduced emissions and the potential for integrating renewable energy sources into the EV ecosystem.
Policy and Regulatory Frameworks: Assessing the current policy landscape and regulatory frameworks governing electric vehicles in Australia and China, with a focus on initiatives fostering sustainable transportation.
Market Dynamics and Consumer Adoption: Analyzing market trends, consumer behaviors, and incentives influencing the adoption of EVs, and exploring strategies to accelerate mass acceptance.

Infrastructure Development: Sharing successful experiences and practices in development of infrastructure to support sustainable mobility, including charging networks for EVs.

Innovation and Technology Trends: Showcasing advancements in electric vehicle technologies, battery storage, and sustainable energy solutions, with a particular emphasis on research and development initiatives.

Industry Partnerships and Collaboration: Exploring potential collaborations between Australian and Chinese stakeholders such as advancing mutual recognition of EV standards and certification systems and Facilitating enterprise-to-enterprise connections to establish supply chain partnerships as a regional ‘hub’ .

Investment and Financing: Discussing funding opportunities and investment trends in the electric vehicle sector, and identifying avenues for financial support to drive innovation and growth.
Cooperation in the whole industrial chain: Discussing the respective advantages and cooperation space of China and Australia in the whole EV industry chain.

Expected participants

We anticipate the participation of around 40 key representatives, with the capacity to expand to 100 participants should external sponsorship be secured. The forum will include: Executives and professionals from the electric vehicle industry, federal and state government representatives, representatives from industry bodies, environmental advocacy groups, investors, and scholars and researchers from both Australia and China.

Forum Format

The forum consist of an public forum and a closed-door dialogue:

Day 1 (Public Forum, Hybrid): The forum will open up for broader participation, including live broadcasting to engage a wider audience. This session will feature keynote speeches, panel discussions, and Q&A segments, allowing for interaction with the public and remote participants. The open forum will serve to share information on relevant issues and lay the foundation for the closed-door dialogue.
First Day (Closed-door Dialogue, in person & by invitation only): This session will be reserved for in-depth discussions among key representatives from the ACETF initiators, academicians, industry leaders, and selected participants. The focus will be on identifying challenges, opportunities, and strategies for accelerating the adoption of electric vehicles in Australia and China and collaboration between them. The closed-door nature of this dialogue will encourage open, frank discussions and the sharing of sensitive or proprietary information in a confidential setting.