The National Greenhouse Response Strategy agreed between the Commonwealth and the States has failed to make any impact on Australia�s greenhouse gas emissions. After two years of its operation, there is no evidence that even one tonne of carbon emissions has been saved as a result of the NRGS and Australia’s excess of emissions over the target of the Framework Convention on Climate Change is likely to be far greater than has been admitted by the Commonwealth Government. This paper suggests nine key elements of a moderate but effective national greenhouse response strategy.