Pauline Hanson (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Climate Change and Energy, Minister Wong. Minister Wong, people in your state of South Australia are paying an average cost of 35c per kilowatt hour compared to: 22c in Victoria, 25c in Queensland, 26c in Tasmania, 28c in New South Wales and 30c in Western Australia. Will the minister please explain why the state with the highest penetration of renewables also has the highest electricity prices in the nation while your government keeps claiming renewables are cheaper?

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

Thank you to Senator Hanson for the question. Senator Hanson may be aware that the transition from carbon-intensive energy generation to renewables did occur earlier in South Australia. I think we all know there have been challenges with how that has been. With that, given the speed with which that had to occur—

An honourable senator interjecting —

It did have to occur, yes. I would make this point: the reason that we say renewables are cheaper is that's what the data shows. I would refer you to—

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

What data?

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

Well, the AEMO, the electricity market operator—

Honourable senators interjecting—

Well, this is like the fact-free debate we had in the coalition for 10 years, and which is why we are where we are. But, if I could just go back so I can answer Senator Hanson's question, the electricity market operator said:

Less volatile market conditions, improved generation availability and higher renewable output put downward pressure on wholesale electricity prices, increased market share of lower marginal cost renewables, helped push down the wholesale electricity cost from Q2 2022, despite the quarter having the highest Q2 underlying demand recorded since 2016.

Senator Hanson, I know you don't agree with this, but I'm simply saying to you that the advice to government and the advice from the market operator—not a politician, not a lobbyist but the entity in charge of running the electricity market—has made clear that renewables—

Sue Lines (President) Share this | Link to this | Hansard source

Senator Roberts, on a point of order.

Malcolm Roberts (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

Senator Wong is talking about Australia, not South Australia. She's hiding behind averages.

Sue Lines (President) Share this | Link to this | Hansard source

That's not a point of order, Senator Roberts. Minister, please continue.

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

I was responding to the point that Senator Hanson made, where she disputed renewables being cheaper. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Hanson, first supplementary?

Pauline Hanson (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

tor HANSON (—) (): I remind you that your state runs on solar, wind and gas. You blew up your power station in 2016. That's why your prices have actually gone up and the rest of the states have coal.

My question is: on 28 July, Clair Lehmann reported in the Australian that, 'when taken into account the full cost of renewables to an energy system, solar is 14 times more costly than nuclear energy, and wind is 4.7 times more costly.' Will the minister please explain to the Australian people—

Sue Lines (President) Share this | Link to this | Hansard source

Thank you, Senator Hanson, the time for asking your question has expired.

Pauline Hanson (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

the real cost of intermittent renewables in their—

The:

Senator Hanson, when I call you, you are expected to stop and to sit down.

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

I've asked about what Ms Savage said, and I have a quote from her, from March of this year:

We have seen unprecedented volatility in our wholesale electricity markets over the last couple of years, we've had very high coal and gas prices as a result of the war in Ukraine and the recovery from the pandemic. We've also seen a number of outages in particularly old coal plants.

She's making the point that there are a number of reasons that electricity prices are being driven up. The reality is, all of the advice to government and the data from the market as well, so not only—

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ruston, your constant interjections are incredibly disorderly and disrespectful. Minister Wong, please continue.

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

The advice to government, very clearly, is that renewables are the cheapest form of new installed power. I would also make this point. I've looked at the electricity prices across the states, and I have to say I don't necessarily agree with the premise of your primary question. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Hanson, second supplementary?

Pauline Hanson (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

This is solar, gas and coal from Australia, so stop blaming the Ukraine war for this. Under the National Electricity Rules, wind and solar operators get the same price as gas operators. They are cheaper to produce, as you declare, but are charged at a higher rate. When are you going to stop this rorting and bring electricity prices down for families and businesses?

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

(—) (): In relation to the latter, Senator Hanson, you would know that the government has already put in place measures to seek to take the edge off the electricity price increases that Australians are facing. I would make the point that, obviously, those opposite chose to vote against it. We know that that was, in effect, a vote for higher electricity prices. In relation to your point about Ukraine and Russia, we work in an international market. The price of coal and gas, even if produced in Australia, is not disconnected from the international market and the fact that supply is constrained. You may shake your head, Senator Hanson. It is not disconnected. We may be an island continent, but we work in a global market, and we are not insulated from international movements in coal and gas prices. I make the point again—the evidence shows that renewables are cheaper, and that is what the government is focused on. (Time expired)