James McGrath (Queensland, Liberal National Party, Shadow Assistant Minister to the Leader of the Opposition) Share this | Hansard source

I move opposition amendment (3) on sheet 1852:

Schedule 8, page 121 (line 1) to page 122 (line 2), to be opposed.

This schedule modifies the Clean Energy Finance Corporation Act to enable the CEFC to receive additional funds to implement Rewiring the Nation, establish the Powering Australia Technology Fund and streamline the ability of the government to provide the CEFC with additional funds in the future. The explanatory memorandum clarifies that this is an $11 billion allocation of funding with an additional $1 billion going to the Department of Climate Change, Energy, the Environment and Water to fund projects that would not meet the CEFC criteria. A remaining $8 billion will be credited to CEFC at a later date to meet the $20 billion election commitment. However, Labor has not identified what these projects would be.

Critically, the schedule also amends several operational provisions of the CEFC Act. The legislation removes requirements for the government to legislate additional funding for the CEFC, allowing them to create additional accounts within the CEFC simply by general appropriations. The coalition has concerns about this schedule. There are billions in spending for transmission projects that have not been recommended by the energy operator and a hidden $1 billion fund for the Department of Climate Change, Energy, the Environment and Water to circumvent the independent CEFC process. However, following the Economics Legislation Committee's review of this legislation and recommendations on this schedule, the opposition is seeking to remove this schedule to ensure that the parliament continues to have oversight of the funding mechanisms for the Clean Energy Finance Corporation.