Australia

Damp carpets and strong debate: federal parliament is back for a surprise encore to debate energy bill

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KEY POINTS
  • Parliament has been recalled to pass the energy relief bill.
  • Labor has been accused of an ‘atrocious’ attempt to ram through bill.
  • The bill will see coal and gas prices capped.
Labor has been accused of an “atrocious and cavalier” attempt to ram through major energy changes without properly consulting parliament.
Politicians trudged across damp floors on Thursday — Parliament’s carpets typically receive a shampoo after they leave for the Christmas break — having returned to Canberra to rubber-stamp Labor’s energy plan.
The bill, which will impose temporary price caps on coal and gas, was agreed to by the states and territories last week and is all but certain to become law.

But Opposition leader Peter Dutton said on Thursday Labor had “cobbled together” the plan “essentially on the runway”, as Prime Minister Anthony Albanese flew to meet national cabinet leaders on Friday.

Peter Dutton wearing a suit and tie in Parliament House

Opposition leader Peter Dutton said on Thursday Mr Albanese’s approach to pushing through the bill was reckless. Source: AAP / Lukas Coch

He accused Mr Albanese of trashing parliamentary convention, and his promises to be consultative, by providing details of the complex package just 12 hours before the vote.

“The Australian public understands that the reckless approach of this prime minister is at odds with his statements and his commitments to [them] only this year,” he said.
“He should be marked down for it.”

But Mr Albanese insisted Australians battling a spiralling cost of living crisis cannot afford any delays to the bill, after the October budget projected energy prices to rise 56 per cent next year.

Mr Albanese warned his colleagues their choice was “very clear” as households faced rising prices.
“Vote against it and stand with companies banking record profits and sending them offshore,” he said.

“That’s the choice: vote for this plan and be part of the solution, or vote against it and be part of the problem.”

What’s in the package?

The bill’s passage was assured on Wednesday when Greens leader Adam Bandt revealed the party would support it in exchange for an electricity package targeted at low-income families in next year’s federal budget.

Independent senator David Pocock will also vote in favour of the package, giving the government enough votes to make it law.

The wholesale price of coal will be temporarily limited to $125 per tonne, after major coal producers Queensland and NSW agreed to oversee a price cap last week, while gas prices will also be frozen at $12 per gigajoule for 12 months.

Treasury estimates the package will slash energy bills for the average household by $230 over the next year.
Major gas companies have also baulked at Labor’s plan for a mandatory code of conduct imposed on the sector, which they say is proof Labor does not intend price caps to be temporary.
It will amount to an unprecedented intervention into the energy market, in a bid to ease a price rises partially driven by Russia’s invasion of Ukraine. But Mr Albanese said the Coalition had exacerbated the crisis through a decade of inaction.
“Those opposite want us to have acted quicker, but also want us to be slower,” he said.

“Having had 22 policies in government, but not landing one of them, they now want us to have no policy also.”

‘Ideological zeal’

Manager of Opposition business, Paul Fletcher, demanded more time to consider a bill which he said could have far-reaching and unintended consequences.
“[This is] an atrocious and cavalier way to ask this parliament to deal with matters of great complexity,” he said.

“There are very real reasons to doubt that it will [work] … those are the kind of matters the parliament should be considering.”

Adam Bandt standing in parliament wearing a suit and tie

Greens leader Adam Bandt during debate on the bill in federal parliament on Thursday. The Greens support the bill. Source: AAP / Lukas Coch

Coalition frontbencher Ted O’Brien said Labor would be unable to meet its net zero emissions by 2050 target without the Australian gas sector.

“[But] they have an ideological zeal to kill off this industry. They do so with the greatest overreach of government power we have seen,” he said.

“This is all about ensuring the government themselves can intervene into a marketplace.”

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