Sydney, Australia (BBN)-Australia plans to cut greenhouse gas emissions by between 26 per cent and 28 per cent below 2005 levels by 2030, PM Tony Abbott has said.
The target is less than cuts pledged by other developed nations like Canada and the US, reports BBC.
Australia had previously set a target of cutting emissions by 5 per cent by 2020 compared with a baseline year of 2000.
The country is still largely powered by coal and is one of the world's biggest coal exporters.
The change in target comes ahead of an international meeting in Paris in December to agree on a new global climate change strategy.
Australian business groups had reportedly been pushing for a target of about 30 per cent below 2005 levels while environment groups and scientists are calling for even tougher targets.
The Climate Council of Australia, an independent non-profit research organisation, says that to stay below a 2°C rise in global temperature, Australia would need to cut emissions by 60 per cent by 2030 on 2000 levels.
It says Australia is the 13th largest greenhouse gas emitter in the world and has one of the highest per capita emissions rates.
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