Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

I thank Senator Lazarus for his question. What the government is trying to do in reforming the renewable energy target is ensure that it operates as it was originally designed to do. Originally the objective was to establish a renewable energy target that would see 20 per cent of our energy come from renewable energy sources. Of course, given the falls in energy demand across the Australian economy, effectively now we are heading for a renewable energy target of 26 per cent. That is hurting the Australian economy, hurting business and hurting families because it is pushing up the cost of electricity beyond what it should be.

We want Australia to be, as the Prime Minister has said in the past, the affordable energy capital of the world. We want to ensure that the renewable energy target effectively goes back to a real 20 per cent target. We do want to quarantine the small-scale renewable energy target. We want to ensure that we provide an exemption from the renewable energy target for emissions-intensive trade-exposed businesses and by doing so get ourselves back into a position where we are pursuing a real 20 per cent renewable energy target. That will help bring down the cost of electricity. That will help bring down the cost of doing business in Australia. That will help make us more competitive internationally. That will help us strengthen the economy. It will help create jobs. Of course, that is what we are all about. We are about reform that will help us build a stronger and more prosperous economy and create jobs where everyone has the opportunity to get ahead. I say to Senator Lazarus that it is a matter of getting the balance right: it is about providing support for the renewable energy target but in a way that is actually sustainable and responsible. (Time expired)