Sam McMahon (NT, Country Liberal Party) Share this | Link to this | Hansard source

My question is to Senator Birmingham, the Minister representing the Minister for Energy and Emissions Reduction. Can the minister update the Senate on how the Morrison-McCormack government's plan to ensure reliable, secure and affordable energy will support jobs, particularly in my Northern Territory, as part of our economy comeback from COVID?

Simon Birmingham (SA, Liberal Party, Minister for Trade) Share this | Link to this | Hansard source

I thank Senator McMahon for her question. She is a passionate Territorian who knows full well that the natural resources—the energy resources—of the Territory are crucial to its domestic economy and to so many of its export opportunities as well. Indeed, our government is focused on delivering affordable, reliable energy to support the economy, including the economy of the Territory, and new jobs. Affordable and reliable power will help to lower cost-of-living pressures on families and to ensure local businesses can grow and thrive, which in turn helps to ensure that comeback of jobs and the economy across the board that we are seeing right now.

Australia's competitive advantage has always been based on its cheap energy. The right mix of renewables, gas and energy sources is central to our ongoing economic recovery and competitiveness. We expect to see those natural resources working effectively for Australians. A key part of this is to deliver to Australians, and to industry and businesses that rely upon gas, the gas resources that are necessary, at the right price. Our focus is on unlocking supply, ensuring efficient transportation and empowering Australian consumers. We know that gas is a critical enabler of Australia's economy, supporting a manufacturing sector employing 850,000 Australians across the board. We know also that the Territory relies on gas generation to keep the lights on, with almost 60 per cent of electricity generation in the Territory coming from gas. Though that mix may change over time, it is an important part of any transitional growth in the renewables sector as well.

The Territory is in prime position to take advantage of the opportunities and benefits of gas. With a skilled workforce, this can grow to both onshore and offshore development opportunities. It can help with the transition in terms of a lower emissions future, without imposing new costs on businesses but whilst growing jobs and opportunities across the Territory.

Sam McMahon (NT, Country Liberal Party) Share this | Link to this | Hansard source

Can the minister outline to the Senate how our government is investing in new energy technologies that will benefit Territorians?

Simon Birmingham (SA, Liberal Party, Minister for Trade) Share this | Link to this | Hansard source

We know that, for example, initiatives like microgrids can help reduce electricity bills in regional and remote communities, helping those communities to adapt and achieve innovative technologies, or distributed energy sources like solar and batteries to reduce their reliance on costly diesel generation. Round 2 of our regional and remote communities reliability fund opens on 16 December and will help fund feasibility studies that will look at establishing a microgrid or upgrading existing off-grid technologies which would better meet the electricity supply needs of regional and remote communities.

Under round 1 of the program, $5½ million was delivered for the Territory across five grants in 25 different locations. We have also invested more than $2 million through ARENA in the Alice Springs future grid project, which aims to overcome barriers to generating renewable energy and support affordable renewable energy for 30,000 residents in Alice Springs and communities up to 130 kilometres away. (Time expired)

Scott Ryan (President) Share this | Link to this | Hansard source

Senator McMahon, a final supplementary question?

Sam McMahon (NT, Country Liberal Party) Share this | Link to this | Hansard source

Can the minister please update the Senate on how our government is supporting gas developments, including in the Beetaloo Basin, that will drive down prices of energy for businesses and for consumers?

Simon Birmingham (SA, Liberal Party, Minister for Trade) Share this | Link to this | Hansard source

As part of our government's policies, we look to unlock, as I said before, new gas supply that can help to drive down prices for all Australians, particularly those job-creating Australian businesses and industries that rely upon it. Under our reforms, the Beetaloo Basin is one of the first of our government's five strategic basin plans. These plans highlight the ways that the gas development in the basin can be accelerated, and we welcome the opportunity to work with the Northern Territory government on this. Unlocking the Beetaloo is an exciting economic opportunity for the Northern Territory. It is a world-class province with an estimated size bigger than any other known gas resource off the North West Shelf. Early drilling activity has confirmed the positive opportunities there, which could not only improve our gas security but potentially Australia's fuel security as well. The development of gas reserves in the Beetaloo has the potential to generate billions of dollars for the Territory economy and create over 6,000 jobs. This is a great opportunity for the Territory, and we are committed to delivering upon it. (Time expired)