Another promise included not building, financing or acquiring any new conventional coal-fired power stations in Australia – which specifically means plants without any associated “carbon capture and storage”, clean coal-related technology.

The utility also committed to not extending the operating life of any of its existing coal-fired power plants under the greenhouse gas policy revisions.

AGL managing director and CEO Andy Vesey said he was proud to spearhead the company’s measured process of decarbonisation.

“It will be an ongoing, progressive process, managing the efficient operations of our assets, and the transition of our people into new generation technologies and careers,” he said.

While he said AGL would continue to invest in low-emissions power generating technologies, Vesey added that he would like to see more support from lawmakers.

“It is important that government policy incentivise investment in lower-emitting technology while at the same time ensuring that older, less efficient and reliable power stations are removed from Australia’s energy mix,” he said.

“Decarbonisation and modernisation of Australia’s electricity system are important goals requiring effective policy.”

AGL supplies electricity for more than 3.8 million Australian households and businesses.