Abbott warns industry will go over energy

Former prime minister Tony Abbott says industries will leave Australia because of a lack of cheap power.

Former prime minister Tony Abbott during Question Time.

Former prime minister Tony Abbott believes Australia is "sleepwalking" into de-industrialisation. (AAP)

Australia is "sleepwalking" to losing industries and jobs with its energy policies, former prime minister Tony Abbott says.

He is worried the coalition's proposed national energy guarantee - which will be put to an energy ministers' meeting on August 10 - prioritises cutting emissions over generating cheaper power.

"I don't think our children will thank us if we damage their future in order to make the world a bit colder for them," Mr Abbott told 2GB radio on Friday.

"My fear is that we are sleepwalking toward the de-industrialisation of this country.

"We have got to get new coal-fired power into the system if we are going to be a country that continues to make things."

Mr Abbott won the Liberal leadership in 2009 after a split over then-opposition leader Malcolm Turnbull's support for an emissions trading scheme.

He then campaigned heavily against Labor prime ministers Julia Gillard and Kevin Rudd over the carbon tax.

And Mr Abbott has continued his energy crusade while on the government backbench, despite the problems it causes for his party.

"I can absolutely understand why people say don't rock the boat, I can understand why business wants a quiet life, I can understand why my colleagues want a quiet life but I'm not going to vote for something that I think will jeopardise our future," he said.

The Australian Competition and Consumer Commission on Friday was due to hand a report on electricity prices to Treasurer Scott Morrison, but it is not expected to be released for some time.

The inquiry looked at the key costs driving energy prices, and how companies have gouged consumers.

ACCC chairman Rod Sims told a parliamentary inquiry hearing on Friday affordability, through having more players in the market, was a key focus for the watchdog.

"It would be better if we had more competition in the system," he said.

Quizzed about the Liddell coal-fired power station in NSW, Mr Sims said operators AGL had given "considerable" notice to the market of its closure, unlike what happened in the case of the Hazelwood plant in Victoria.

"They are providing enough notice and if others think the capacity will be short they can build it."

He said there came a point with power stations that as operating and maintenance costs rose too far "you close it".

The coalition is negotiating with the states over its national energy guarantee, which is designed to ensure reliable and affordable power while also reaching Australia's emissions targets.

Mr Abbott signed up to those emissions targets when he was prime minister.


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Published 29 June 2018 4:02pm
Source: AAP


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