Anne Webster (Mallee, National Party, Shadow Assistant Minister for Regional Health) Share this | Hansard source

Every government must take responsibility for the investments it makes using taxpayer funds—every government. This week, a damning new report has laid bare the waste and cost blowouts of a transmission project through western Victoria that is threatening not just prime farmland and the livelihoods of those who farm it but the energy bills of energy customers struggling with the cost of living. The Victoria Energy Policy Centre, VEPC, has put out a report called No longer lost in transmissionan excellent title—which highlights that AEMO, the Australian Energy Market Operator, has, firstly, understated the cost of the Victoria to New South Wales Interconnector West, VNI West, and, secondly, is relying on outdated data. Can you believe it? VNI West is facing increasing pressure from the Albanese Labor government's Rewiring the Nation plan and from disgraceful ministerial orders from the Victoria Labor government riding roughshod over the interests and ownership of those who live in the region.

The VEPC report helpfully lays out an alternative plan B which would deliver transmission goals at a lower cost and with less disruption to farmland, communities and the environment. Plan B involves upgrading existing transmission lines on easements between Bendigo and Kerang, in line with the initial VNI West plan, rather than cutting large new swathes of easement for new poles and wires.

The state energy minister's ministerial orders enabled AEMO to change tack and move the project to run almost completely through my electorate of Mallee. This risky plan has communities right along its path, from Stawell in the south of Mallee to Kerang in the north, concerned about what it will mean for them.

I make no apology for raising this topic wherever I can. I stood with farmers at protests in Saint Arnaud and Horsham, where the Prime Minister himself was unwilling to engage with the farmers. I organised a town hall meeting at Charlton, attended by the Leader of the Nationals, David Littleproud, and me. I also hosted a delegation of farmers here in Canberra and I encouraged Australia's Energy Infrastructure Commissioner, Andrew Dyer, to attend a community meeting in Saint Arnaud this week—which he did—so that local voices could be heard. David Littleproud and I will attend a further protest at Victoria's Parliament House on 15 August—I look forward to seeing anyone else there—because city-centric Labor governments cannot ignore our farmers. That is what they have done so far in the interests of pushing their renewable energy dogma to keep those inner-city voters from voting Green—who would have thought?

Alarmingly, the people of Mallee will not even see much benefit from these proposed transmission lines that will be running through the countryside as part of a larger line along Australia's eastern seaboard. Leaving aside the tangible physical impact of the VNI West on farmers, AEMO so far haven't been explaining in their tokenistic consultations how much all Victorians will pay for this project. The VEPC plan B report costs AEMO's extended option A plan at $11 billion during the construction phase alone, which is significantly higher than what AEMO is claiming. This cost will be passed on to consumers—make no mistake, Mr Speaker—as will the annual operating costs. The difference in annual electricity bill costs between the VEPC's plan B and the extended VNI West is a whopping $940 million by 2036. That is a huge impost on Victorian families. Imagine the financial pressure on those families for years to come as they pay for these poles and wires.

Energy Minister Bowen claims that adding more renewables into the system is key to delivering the cheapest possible energy prices. This repeated claim by renewable energy advocates largely rests on the CSIRO's annual GenCost report. However, there are opponents who question the veracity of that report's data. For one, Sydney-based data scientist Aidan Morrison claims the CSIRO's assertion that renewables are the cheapest form of energy is a misapplication of the sunk cost fallacy. He states:

… the CSIRO treats future spending on renewables as sunk—even before spending has occurred—allowing the analysis to exclude this expenditure from the total cost ...

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