Chris Trevor (Flynn, Australian Labor Party) Share this | Hansard source

I thank you, Madam Deputy Speaker, for the opportunity to speak on this bill today. The specific bill is the Australian Energy Market Amendment (Minor Amendments) Bill 2008. From the technical side of things, under the Australian Energy Market Amendment (Minor Amendments) Bill the Commonwealth government must pass legislation to apply the National Gas Law in the offshore area and external territories. Of greater importance is the need for the Commonwealth to consent in legislation to the conferral of functions under a state law on three Commonwealth bodies—that is to say, the Australian Energy Regulator, the National Competition Council and the Australian Competition Tribunal. This was perfected by the Australian Energy Market Amendment (Gas Legislation) Bill 2007, which meets the Commonwealth’s obligations under the AEMA by amending the Australian Energy Market Act 2004 to make it the Commonwealth’s application act for the NGL regime and amending the Trade Practices Act of 1974 on the conferral of powers on Commonwealth bodies by state laws as part of the NGL regime. This act also amended the Administrative Decisions (Judicial Review) Act 1977 to provide for judicial review of decisions made under the NGL. The Australian Energy Market Amendment (Minor Amendments) Bill 2008 is a mechanical bill to achieve this purpose.

In addition to progressing the National Gas Law, the Rudd Labor government, in a new era of cooperative reform with the states, has already made significant advances in implementing its plans for energy market reform and energy infrastructure. Only recently the Hon. Martin Ferguson MP, Minister for Resources and Energy, and I had the great privilege of announcing budget funding of more than $200 million to a Central Queensland clean coal demonstration project. The funding provides $206 million for the Callide-A oxy-fuel demonstration project in Biloela—a three-stage demonstration of carbon capture and storage technologies. The project involves a retrofit of technology to a 30mw unit at Callide A power station in Biloela that will allow capture and storage of approximately 17,000 tonnes of carbon dioxide a year for up to three years. CCS involves capturing greenhouse gas emissions, predominantly from coal fired power stations, before they are released into the atmosphere—with the gas then injected and stored deep under the ground in geological formations similar to those which have stored oil and gas for millions of years.

CCS is essential for the long-term sustainability of coal fired power generation. With 83 per cent of Australia’s electricity generated from coal, no serious response to climate change can ignore the need to clean up our coal. This project aims to demonstrate a complete and integrated process of carbon capture and storage at an operating electricity generator, and it is vitally important to the long-term future of the Central Queensland coal industry. This project will yield detailed engineering design and costing data and operational experience to underpin the commercial development and deployment of new and retrofit carbon capture technology for electricity generation. In addition, it will produce detailed geotechnical design and costing data and operational experience to support the development of geological storage projects with capacities in excess of one million tonnes of carbon dioxide per year.

The commitment of the Rudd Labor government to this clean coal project in Biloela combines the government’s commitment to tackling climate change with ensuring the energy and industry security of Central Queensland, where I live. There are also a number of major industrial developments under construction or investigation which will see my electorate of Flynn, in particular, and the Central Queensland area boom. The sleeping giant is awakening. Some of these developments include but are not limited to: Belvedere Coal in the Banana Shire; the Xstrata Coal seam in Wandoan; Anglo Coal in the Dawson Valley; the Monto coal mining project; Alinta Limited; coal seam gas producer Sunshine Gas Ltd, teaming with Japan’s Sojitz Corporation to develop a $570 million liquefied natural gas plant at Gladstone; the LNG International and Arrow Energy coal seam gas to liquid plant; BG; and seam gas Anglo Coal, a development program for the Mungi coal seam gas field in the Moura area within the central Bowen Basin—just to name a few.

The Rudd Labor government recognises that energy security for the electorate of Flynn, for Central Queensland and for all Australians is absolutely paramount to their continued wellbeing. This bill, I am proud to say, represents the government’s unswerving commitment to addressing climate change and to the energy industry of Flynn, Central Queensland and Australia generally. As the member representing the powerhouse of the nation, I wholeheartedly commend the bill to the House.

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