Queensland government says it has not decided if it will kill Turnbull government's energy policy
Queensland has struck back over suggestions it plans to wreck the Turnbull government’s flagship energy policy, as Energy Minister Josh Frydenberg ramped up pressure on the Labor states by accusing them of risking higher electricity prices.
It has also emerged that Queensland’s energy minister Anthony Lynham, is out of the country and will be absent from crucial discussions over the energy plan, potentially thwarting the ability of Labor states to form a unified stance on the policy.
Tensions are high in the days ahead of a make-or-break meeting of energy ministers in Sydney on Friday where the fate of the National Energy Guarantee will be decided. Business groups and the federal government, as well as some within Labor, are pressuring the Labor states to sign off on the policy and end more than a decade of climate policy paralysis.
Queensland, Victoria and the ACT are concerned that the level of emissions cuts to be imposed on the electricity sector under the plan are too weak and will undermine their own more ambitious renewable energy targets.
In a statement on Monday, the Queensland Palaszczuk government rejected reports it had already resolved to scuttle the policy.
In a statement, the Queensland government said: “We’re not killing anything because we haven’t seen anything. When Malcolm Turnbull gets a coherent plan through his party room, we’ll talk.”
Labor states are reluctant to agree to a policy framework on Friday for fear right wing federal Coalition backbenchers may seek to amend it later.
While Queensland’s statement indicates the state has not ruled out backing the Turnbull government's policy, it does appear to be a rejection of Mr Frydenberg’s offer of a phone hook-up with the states after the party room meeting to check they are still happy with the policy before it proceeds.
Speaking on ABC radio on Monday, Mr Frydenberg accused Queensland and Victoria of “politicking and posturing”.
He insisted the majority of the party room backed the policy aside from the “usual voices” of dissent. Climate-sceptic backbenchers Craig Kelly and Tony Abbott have been most vociferous in their concerns that the plan does not provide enough support for coal-fired power.
“By and large there is strong, overwhelming support in the Coalition party room for his policy. We saw on the weekend former prime minister John Howard came out and supported the national energy guarantee too,” he said.
“I’m advising my colleagues to listen to the experts as we should always do.”
Mr Frydenberg said the independent experts on the Energy Security Board, which is devising the policy on behalf of the government, had described it as “the best in the world”.
“If the Labor states were seeking to delay or obstruct the national energy guarantee they will be held to blame for higher power prices,” he said.
In its statement, the Queensland government said it wanted “a clear national energy policy that will lead a transition to a renewable future and drive down prices for households and for industry”.
“Queensland cannot support any policy that would drive up power prices.We cannot support any policy that would jeopardise our target of 50 per cent renewables energy by 2030”.
Queensland also wants the emissions reduction target for electricity to be set in regulation, rather than legislation “so that any future government can increase the current inadequate target”.
Mr Frydenberg on Monday indicated the Turnbull government remained unwilling to budge on that point.
Meanwhile, it has emerged that Queensland's energy minister Anthony Lynham will not be present at Monday’s critical cabinet meeting to decide the state's stance on the energy policy.
Instead, the maxillofacial surgeon will be carrying out voluntary work with charity Youth With A Mission, on a boat moored off the Papua New Guinean coastline.
The work, to which Mr Lynham made a longstanding commitment, involves extracting wisdom teeth and other surgery.
Pulling Mr Lynham out of the trip would have disrupted the work of nurses and other staff, a spokeswoman said.
Mr Lynham is not due back at work until August 20. In his place at Monday's cabinet meeting will be Cameron Dick, Queensland's minister for state development, manufacturing, infrastructure and planning, who has been briefed by Mr Lynham's staff over the past week.
An executive with a major energy company expressed surprise that Queensland would not be sending their energy minister to the Friday talks.
"This could change the dynamics" of the discussions, he said.
Queensland's cabinet is due to break up by early on Monday afternoon but may withhold their stance on the national energy plan until they hear Victoria's verdict. The cabinet in the Andrews government is expected to meet until about 4pm.
The ACT, which has been the most critical in public comments about the scheme, is not expected to announce their position until 5pm after the territory's cabinet meets.