Penny Wong (SA, Australian Labor Party, Minister for Climate Change and Water) Share this | Hansard source

Senator, I do not know if you were here when I gave two contributions which did address those issues. In relation to the 25 per cent/15 per cent carbon price, I have referred the senator to the modelling that was produced last year. The government has, for the purposes of this and all of the costings before the parliament, modelled its unconditional commitment. Obviously, that is five per cent. If the government changed that position then the government would provide, through the parliament, to the Australian people an indication of its remodelled costs in relation to the CPRS, assuming whatever target the government committed to.

In relation to the low-emissions technology incentive, to understand that I would refer you to my answers on the power system reliability test. In other words, as the focus of this package, as the government intended, is on ensuring we have a package that delivers energy security, we put in place criteria which required that a generating capacity not exit without the market operator’s consent. What we have said is that you can, in terms of maintaining the available generation capacity, invest in low-emissions technology—that is, lower emissions than best practice coal—in order to meet the supply availability test. I went through this previously with Senator Milne.

Question put:

That the amendments (Senator Milne’s) be agreed to.