Nuclear energy: Jim Chalmers claims Qld $872bn worse off under Coalition’s plan

Federal Opposition Leader Peter Dutton has slammed claims by Treasurer Jim Chalmers that nuclear policy will cost the country trillions in lost energy output, labelling the analysis a “scare campaign”.

Queensland-based federal Treasurer Jim Chalmers

Federal Opposition Leader Peter Dutton has slammed claims by Treasurer Jim Chalmers that nuclear policy will cost the country trillions in lost energy output, labelling the analysis a “scare campaign”.

He called on Prime Minister Anthony Abanese to accept his invitation to debate nuclear energy.

“All the Prime Minister has got is a scare campaign, the fact is that our plan is cheaper than the Prime Minister’s renewables only policy which is driving up prices,” he said.

“Nuclear power is one third of the cost compared to what we are paying for electricity in Australia.

“The PM has no intellectual argument against nuclear power ... and the fact he still refuses to accept my invitation to debate nuclear energy in Australia is nothing short of embarrassing.”

Queensland-based federal Opposition Leader Peter Dutton

Mr Chalmers said the Coalition’s nuclear energy policy could cost Queensland more than $872bn in lost energy output between now and 2051.

Mr Dutton has estimated the operating costs of the Coalition’s plan to achieve net-zero emissions electricity by 2050 at $331bn.

He further claimed the policy would deliver a $263 billion saving compared to Labor’s renewable energy plan, which is the government estimates will cost $122bn but could cost as much as $642bn.

Treasury analysis of Australian Energy Market Operator data claims a $4tn gap in gross state product across the national energy market between 2025-26 and 2050-51 if the slower-growth “progressive change” scenario is pursued instead of the faster-transition “step change” scenario.

Treasury has argued that the Coalition’s nuclear plan assumes lower economic growth and reduced electricity capacity, with an average GDP growth rate of 1.89 per cent per annum, rather than the 2.12 per cent annual GDP growth modelled in the “step change” scenario.

The cumulative effect of following the “progressive change” scenario is projected to result in a $4tn loss in economic output by 2051, including $872.5bn in Queensland alone.

Mr Chalmers accused fellow Queensland MP Mr Dutton of pursuing an energy strategy that would leave the state’s households worse off.

“As a Queenslander, I won’t sit back and watch Peter Dutton push energy prices up and growth down right across the state,” he said.

Labor has set an ambitious target of generating 82 per cent of the country’s electricity from renewable sources by 2030, requiring substantial investments in large-scale wind and solar projects.

The Coalition’s proposed seven nuclear power stations, two of which are earmarked for Queensland, would not be operational until 2037 at the earliest, with CSIRO estimating that a facility is unlikely to be ready before 2040.