Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Hansard source

There is no doubt that the problem in the energy grid, particularly the exiting of supply which has occurred over the last nine years, is one of the factors contributing to higher energy prices. It's one of the factors. I know the senator may have a different view about this, but it is very clear from advice from energy market operators and energy market suppliers that the cheapest form of new energy is renewables. I know those opposite, in particular, have such difficulty with that, and their difficulty with it has contributed to the mess and chaos that we have seen in energy markets in this country to date. I know that the senator is concerned, as we all are, by rising energy prices and the impact that has on family budgets. What we—

I'll take the interjection from Senator Rennick, who just asserted that renewables are more expensive. That falsehood is one of the reasons why energy markets are in such a mess. Under you, four gigawatts of dispatchable capacity exited the system and you put one gigawatt in. Anybody who understands basic supply and demand knows that if you reduce supply there's going to be an effect on prices; that is the case.

We may not agree on everything, Senator Babet, but I do agree with you that this requires urgent attention. We believe on the basis of the advice from the industry, so this is—

Honourable senators interjecting—