Andrew Wallace (Fisher, Liberal Party) Share this | Hansard source

For all of the many distractions, the smoke and mirrors of politics—and there has been a lot of that driven by the Leader of the Opposition—there are always defining issues that make clear the very real differences between those on this side of the chamber and those on the opposite side. The issue of tackling our high energy prices is a perfect example, and this bill illustrates the difference very clearly.

In Australia today, we have a very real and very urgent problem with the affordability of energy. A recent report by the ANU suggests that average electricity prices in my state of Queensland rose by as much as 136 per cent between 2006 and 2016. As many of my constituents know, prices have risen this year by as much as 20 per cent again. In my electorate of Fisher, I've recorded more than 500 constituents during my first year as a federal member of parliament who are concerned about the cost of living and electricity's contribution to it. It's also been raised during most of my 26 listening posts and a great many of my business visits throughout Fisher. I know that this problem is an urgent priority for the people of my electorate and I'm determined to help achieve a positive result for them.

The coalition's approach to tackling this problem has been tough and decisive, but it has also been informed and considered. The government sought to fully understand the energy market and the levers that drive our high prices. Through the COAG structure, we commissioned the Finkel review to ensure that we had fully informed policymaking. The government ascertained that there were issues driving up prices at three separate stages of supply: at the point of generation, in the networks which distribute electricity and in the interaction between retailers and their customers. We are acting to make a difference at each level of those three stages.

In the area of supply, we commissioned the Snowy Hydro 2.0 project, which will add 2,000 megawatts of power to the National Electricity Market—enough to power half a million homes. We are working with ARENA on further such projects in Tasmania, South Australia, New South Wales and my own state of Queensland. We also moved decisively to ensure the security of gas supply. The Prime Minister and the Minister for the Environment and Energy acted fairly, giving gas suppliers the opportunity to ensure a greater supply themselves. However, when necessary, the government acted with tough new regulations to ensure Australians get priority access to the gas supplies that will help to bring down prices.

When it comes to the relationship between retailers and their customers, once again we got tough to make sure that Australians are getting the best deal possible. We directed the ACCC to review retail electricity prices to examine the behaviour of retailers and to ensure that customers are getting the benefit of competition in the market. However, we also went further. Last week, the Prime Minister and the Minister for the Environment and Energy called representatives of electricity retailers to Canberra and negotiated a commitment with them to help customers ensure that they are getting the best possible price.

This government secured promises from retailers that they will inform customers of how much they could save on a better deal, to supply simple fact sheets and to inform their customers when their discount benefits are about to expire. The government will continue to work closely with the industry going forward to ensure that families and businesses pay the best possible rate for their electricity. In contrast to this pragmatic and comprehensive coalition approach, tackling every part of the problem calmly and responsibly, what do we see from Labor? We see an unedifying race to see who can raise electricity prices faster through reckless environmental ideology. You could say that this is the true form of environmental vandalism.

Members opposite would deal with our energy crisis by introducing a 45 per cent emissions reduction target—one of the highest emissions reduction targets in the developed world. You know that such a policy can only be driven by ideology and not by the interests of the people that we, in this place, represent, because the Labor Party's own modelling tells them what a total disaster this policy would be for ordinary Australians. (Quorum formed)

When Labor were in government, their modelling told them that a 45 per cent emissions reduction target would increase wholesale electricity prices by 78 per cent, at a time when businesses were being driven to the wall and some of our constituents were going without heating because of high electricity prices.

The Business Council of Australia called such a move risky and unnecessary. It won't end there. The Weatherill Labor government in South Australia has shown what a Labor-Greens future would look like. Forty-five per cent was not enough for them. No, South Australian Labor insist that only a 50 per cent target will do for them. The results have been nothing less than devastating for South Australia. It comes as no surprise that South Australia has the highest power prices in the National Electricity Market, but that was only the beginning. Labor left 1.7 million South Australians in darkness in blackouts in December, January and February.

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