Australia produced 585 million tonnes of greenhouse gases in 2007, 6% more than in 1990.  Under the Kyoto deal, the nation can increase its emissions by 8% of 1990 levels by 2012.

However, the data also shows that emissions from electricity, farming, industry and transport are soaring.  Only a reduced rate of land clearing are keeping emissions in check.

Federal Climate Change Minister Penny Wong said the report showed there were challenges ahead.

"While still on track to meet our Kyoto target, it's clear we have a lot of work to do when it comes to reducing our greenhouse gas emissions.  We need to change how the economy works, to remove it from a high emissions economy of the past to the low emission economy of the future," she said.

Senator Wong said the reduced rate of land clearing had been a significant factor in restraining emissions, but that this option would be less useful in future calculations.

She reiterated her support for an emissions trading scheme, but would not be drawn on whether petrol or agriculture would be included.

Electricity emissions have increased by 47% since 1990 while emissions from transport rose 27%.

Opposition climate change spokesman Greg Hunt said the data showed Australia had long been on track to meet its Kyoto commitments due to "real action under the coalition".

Australian Conservation Foundation spokesman Tony Mohr said "We got a real free kick with reductions in land clearing emissions.  Twenty-eight tonnes per person per year is still amongst one of the highest in the world."  THE END.