New South Wales (NSW) is taking a tougher stance on greenhouse gas emissions with the establishment of a Department of Energy, Utilities and Sustainability (DEUS) and a new Greenhouse Office, says state premier Bob Carr. DEUS incorporates the old energy ministry and the Sustainable Energy Development Authority. Under energy minister Frank Sartor it will develop policies and initiatives on energy demand management. In addition, a new A$6 million a year Greenhouse Innovation Fund is to secure further greenhouse gas reductions though waste, transport, forestry and land use policies. "Despite John Howard refusing to ratify the Kyoto Protocol, we must do all we can to reduce carbon emissions. It makes good environmental and business sense. My government's world leading greenhouse benchmark trading scheme for electricity retailers is a perfect basis on which to build a national emissions trading scheme," says Carr.