Andrew Broad (Mallee, National Party) Share this | Hansard source

On behalf of the Standing Committee on the Environment and Energy, I present the committee report entitled Powering our future: inquiry into modernising Australia's electricity grid, together with the minutes of proceedings.

Report made a parliamentary paper in accordance with standing order 39(e).

Throughout 2017 the Standing Committee on the Environment and Energy examined the important issues facing Australia's electricity grid. Not only are we experiencing a changing mix in the source of the electricity generated but consumer preferences are also changing. The modernising of the electricity grid in Australia provides an opportunity to reconsider what the system could seek to achieve and how the different priorities of stakeholders could be balanced. Four key issues under consideration are the ongoing security of the system, the reliability of the system in meeting customer demand, emissions reduction and affordability.

Industry experts, energy users, electricity distributors and regulators all gave evidence to the committee. What was striking was the committee heard the same evidence from each witness—the importance of a consensus approach to energy policy in Australia. The committee took this evidence about consensus very seriously and applied it to all the inquiry work. This report reflects the absolute best efforts of the members of this committee to find common ground when it comes to delivering a modern electricity grid to ensure the secure and reliable delivery of electricity whilst balancing emissions reduction considerations and the important issue of affordability.

Of course, as members of parliament representing different constituencies, many of us have different views which we had an opportunity to test and discuss throughout the inquiry. Yet this report is the unanimous report of the committee and the fact that it is unanimous is a source of personal pride to me and is testament to the professionalism and goodwill of my colleagues. The collegiate spirit that was fostered in this committee enabled us to consider the evidence and prepare a report in a manner which enabled us to put consensus and pragmatism first.

The witnesses spoke, telling us of the energy industry's need for certainty. The committee listened, and we have delivered a comprehensive consensus-based report that provides recommendations which will enable the grid to be modernised in a manner which provides the certainty the stakeholders expressly requested. Four members of the committee, including me and the deputy chair, undertook a delegation to visit parts of Germany and the United States. Benefiting from a comprehensive program, we learnt more about current electricity markets and policy landscapes in each country. We collected evidence from visits to the mainland National Electricity Market states, submissions and our visits overseas. We gained genuine insights into how we can take a grid that was built for very different conditions in the earlier part of the 20th century and transition that same grid into the 21st century, and, in so doing, futureproof it.

There is space for big thinking when it comes to modernising the electricity grid. Additional interconnectors in places such as northern Tasmania could provide a platform for truly innovative practices such as wind farms taking full advantage of the Roaring Forties winds. A Mallee interconnector, which could be linked into Snowy Hydro, could capture the advantage of east-west solar resources.

I thank my fellow committee members for their collegiate and productive approach when considering the issues raised during the course of the inquiry. The committee was fortunate in the assistance it received from submission makers and witnesses, who provided a strong evidence base which informed our deliberations. I would also like to the thank the staff of the secretariat for their assistance with our work. They are in the chamber here today. They worked very hard.

This report canvasses important issues and makes timely recommendations that seek to ensure Australia is not left behind in the electricity revolution that is occurring all around us. I call on all my colleagues in this place to take heed of this report and the evidence of witnesses everywhere. This evidence was a call to arms: abandon partisan politics and unite to deliver the certainty the energy sector requires in order to deliver secure, reliable electricity with lower emissions and—of paramount importance—that is affordable to all. I'm very optimistic for the future and what can be done. Our electricity grid will transition, and this report will form a body of work that will assist in that transition over the next 20 years. I thank my colleagues for their hard work and I commend this report to the House.

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