Climate ‘ideological war’ led to energy mess:Perrottet

Premier Dominic Perrottet has blamed Australia’s energy woes on the “ideological war” over climate change scaring off private investment,saying his state’s renewable targets will help future-proof its power supply.

As stress on the east coast’s power supply reached critical levels this week,Perrottet said what had been “lost in this entire debate” was the impact of Australia’s climate policy on investment.

Treasurer Matt Kean and Premier Dominic Perrottet say NSW will need to rely on private investment to secure its energy future.

Treasurer Matt Kean and Premier Dominic Perrottet say NSW will need to rely on private investment to secure its energy future.Louise Kennerley

“The issue here,that NSW,Victoria,Queensland and South Australia are dealing with now,has been the ideological war when it comes to climate change and energy policy in this country,and that has led to a lack of private sector investment,” he said.

A quarter of Australia’s power supply was offline on Wednesday,due to multiple plant failures and rising coal prices,leading the Australian Energy Market Operator to suspend the energy market amid the risk of blackouts.

Treasurer and Energy Minister Matt Kean had advised NSW residents to reduce their power use by not using dishwashers and unnecessary electricity that evening. However,by Friday blackout warnings had been lifted and the AEMO said power supplies were expected to meet demand over the weekend.

On Friday,Perrottet said the start of the controversial Narrabri gas project would be crucial to NSW’s energy resources,an opinionshared by the new federal Resources Minister Madeleine King. The project has been opposed by climate groups and local Indigenous elders.

Speaking on Saturday,Perrottet saidNSW’s renewable energy target of halving emissions by 2030,announced last September,meant it was well-equipped to attract private investment in energy and secure its supply.

Victoria and Queensland have since each increased their energy targets to match. South Australia aims to achieve 100 per cent net renewables by 2030,while Tasmania has committed to generating double its current power needs through renewables by 2040.

The new federal Labor government aims to reduce Australia’s emissions by 43 per cent by 2030,keeping its predecessors’ 2050 net-zero target.

“What is most important now as a state and as a country is that we put the climate wars behind us,and we actually focus on the future,” Perrottet said.

With a colder than average start to winter and electricity price increases from July 1,many are bracing for a steep increase in their power bill later this year.

Kean said NSW’s strategy was to “safeguard” electricity bills against international events,citing the impact of the recent war in Ukraine on demand for Australian coal power.

“The more gas we use to provide our electricity,the more expensive our electricity bills will be ... what we need to do is modernise our electricity system to future-proof us from global shocks,” he said.

Asked for his opinion on federal Labor’s commitment to reducing power bills by $275 a year for homes by 2025,Kean said he welcomed “any initiatives by any level of government to help put downward pressure on electricity bills”.

The Morning Edition newsletter is our guide to the day’s most important and interesting stories,analysis and insights.Sign up here.

Mary Ward is a reporter at The Sun-Herald.

Most Viewed in Politics