KANGAROOS could be a climate change saviour for Australia's sheep and cattle producers, the federal government's top climate change adviser says.
Prof Ross Garnaut has also predicted a shift in meat consumption and production towards other "low emitting'' products such as chicken, pork and fish.
In his final climate change report, Prof Garnaut said the carbon costs of an emissions trading scheme would hit sheep and cattle hard because of the substantial methane gases they emit.
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There were also few opportunities to reduce these emissions cost-effectively, the report said.
By contrast, kangaroos emitted negligible amounts of methane, which could be the source of international comparative advantage for Australia in livestock production'', it said.
"For most of Australia's human history...kangaroo was the main source of meat. It could again become important.''
The report referred to recent research that showed kangaroo numbers could increase from 34 million to 240 million by 2020, potentially replacing an expected drop in sheep and cattle numbers (by 36 million and 7 million respectively).
The meat from just 175 million kangaroos could replace lost lamb and beef production and become a more profitable activity once carbon prices exceeded $40 a tonne, it said. There would also be a net reduction in greenhouse gas emissions by about 16 million tonnes of carbon dioxide equivalents a year.
But the report acknowledged ``significant barriers'' to a shift to kangaroo farming, including livestock and farm management issues, consumer resistance and the gradual pace of change in food tastes.
In his report, Prof Garnaut also said soil, vegetation and forestry offer major opportunities for farmers to absorb carbon from the atmosphere and offset other emissions.
He said agriculture should be covered by an emissions trading scheme _ due to start in 2010 _ as soon as possible.
But this would depend on a major research effort to overcome measurement and monitoring problems, and changes to international rules to better acknowledge agriculture's role in the carbon cycle.
Overall, he said Australia should indicate a willingness to cut its greenhouse emissions by 25 per cent by 2020, compared with 2000.
It would probably have to settle for a more realistic 10 per cent target as the first step to deeper cuts - but only if there was a global agreement to tackle climate change.
Otherwise, a 5 per cent target should be adopted.
Further out, Australia should aim for a 90 per cent cut in emissions by 2050, he said
