The Coalition party room has approved the Prime Minister’s plan for a National Energy Guarantee. After a morning of debate, Liberal and National MPs have endorsed the NEG, but former prime minister Tony Abbott has expressed strong concern about it.
Prime Minister Malcolm Turnbull said it meant the nation was “one step closer to cheaper and more reliable energy”.
The meeting lasted for almost two-and-a-half hours and has been described as “testy”.
Mr Abbott has previously spoken against the plan in relation to its commitment to ensuring Australia meets emissions targets agreed to in the Paris climate change accord.
He and three colleagues — Andrew Hastie, George Christensen and Eric Abetz — have reserved their position on the legislation, meaning they could cross the floor to vote against it.
After the meeting, Mr Abbott issued a statement that said most of the explanations of how the NEG “might theoretically get prices down” sounded “like merchant bankers’ gobbledegook”.
He acknowledged that there was support for the plan but said much of it was conditional.
“Yes there were lots of pleas for unity, but as one MP said: ‘We’ve got to be loyal to our electorates and to party members too and not show the unity of lemmings.’,” Mr Abbott said.
He said at least a dozen members of the Coalition expressed serious concerns about the NEG or the Paris targets, although it is understood the number of dissidents is disputed by others in the party room.
Other concerns raised about detail, no price target
Senator Abetz is understood to be concerned that only a two-page document was provided to explain the detail of the way the NEG would work.
Liberal backbencher Tony Pasin said he could not support a NEG without a price target.
He said the NEG focused on reliability and emissions reduction rather than the cost of electricity.
Mr Pasin described the assumptions in the NEG modelling about the price of power falling as “brave” and said he wanted to see a target or Government expectation that prices would fall.
Energy Minister Josh Frydenberg said the Government had a “laser-like” focus on reducing power bills.
Mr Turnbull said the concerns expressed in the party room were about cost and pledged that “everything we are doing is seeking to bring down energy prices”.
Mr Turnbull is now pressuring Labor to agree to back the NEG.
“The Labor Party has to decide whether they want to support cheaper and more reliable electricity,” he said.
So far the Opposition has not announced a final position on the energy plan, but it has argued that the target of cutting emissions by 26 per cent is too weak.
Mr Turnbull said Labor should back the NEG with the current target and it could argue for a higher target at the next election.
State governments will now decide whether to sign onto the plan. ABC News
