Australia's pledge to cut emissions by more than 62 per cent but up to 70 per cent hits the "sweet spot" between credibility and ambition, the prime minister has declared.

Unveiling the long-awaited 2035 climate targets, Anthony Albanese described the commitment as responsible and "backed by a practical plan to get there".

The biggest cuts to greenhouse gas emissions would occur in transport, energy and industry, he said on Thursday.

The roadmap included a $5 billion carve out from an existing fund for decarbonising heavy industry.

The Safeguard Mechanism, aimed at big polluters, and the New Vehicle Efficiency Standard, which targets car emissions, could both be tightened and are subject to review.

Thursday's commitment builds on Australia's existing 2030 target to cut emissions by 43

See Full Page