Tasmania's hydroelectricity resources mean the state's electricity sector is virtually non-reliant on fossil fuels, but the Labor plan - announced by party leader Anthony Albanese on Friday - will also focus on emissions-intensive industries.

In Tasmania, manufacturing and construction, agriculture, forestry and fishing are the largest source of emissions.

Speaking in Launceston, shadow attorney-general and former junior climate minister Mark Dreyfus said reducing emissions could be a source of growth for the island state.

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"People have identified for a very long time that carbon sequestration can occur through land management practices, which includes of course forestry activities, the planting of trees, I'd see a role for Tasmania in achieving that," he said.

"We need to make sure that when renewable power is being produced here in Tasmania, that where it exceeds demand for power in Tasmania, that it goes off to the mainland.

"If there's a need and it stacks up commercially to build another interconnector then that should happen."

The most emissions-intensive industries would be the first to be investigated for emissions reductions, Mr Dreyfus said.

"The starting point has to be the electricity sector because it is the largest contributor to Australia's emissions," he said.

"After that we would have to look at the transport sector, we will have to look at emissions from gas production and coal mines, we will have to look at the land sector, we will have to look at agriculture - all of these are sources of carbon emissions in Australia."

Tasmanian Energy Minister Guy Barnett said he was always concerned about the impact of Labor policies "on jobs in rural and regional Australia".

He said climate change mitigation in Tasmania would depend on the management of water resources.

"Tasmania is 2 per cent of Australia's land mass, but 12 per cent of Australia's rainfall, and we want to use that water very wisely," Mr Barnett said.

"We have 25 per cent of Australia's water in reservoir and again, we use it wisely for hydroelectricity and of course our irrigation projects."