Energy Minister Angus Taylor hits out at Labor, Greens supporting new policy

Labor is backing a Greens policy to ban government support for coal-fired power stations despite warnings reduced baseload capacity means higher energy prices.

• Two energy providers to slash prices
• 34,000 poorest households to save on power, gas
• Court hands power to force companies to sell assets
• Electricity prices could cause blackouts in summer

Labor is backing a Greens policy to ban government support for coal-fired power stations despite warnings reduced baseload capacity means higher energy prices.

Formal support for the ban was signed off in a closed-door meeting of opposition MPs yesterday after Labor worked with the Greens this week to tweak the proposal.

This is despite earlier criticism from Labor senator Claire Moore that the Greens bill overstepped the mark and was a “flat political statement that people don’t like coal-power stations”.

Energy Minister Angus Taylor lashed the opposition for its support of a policy that “will cost jobs and hurt the economy”.

“This is economically irresponsible and shows Labor edging closer and closer to the Greens,” he said.

Energy Minister Angus Taylor has lashed out at the opposition supporting coal-fired power stations. Picture: AAP Image/Mick Tsikas

There had been earlier criticism from Labor senator Claire Moore that the Greens bill overstepped the mark. Picture: James Drew

MORE NEWS

Bus, truck, cars collide in horror chain reaction crash

Turnbull wants PM to revive National Energy Guarantee

Vulnerable child housed in hotel for entire year

The Greens want a ban enshrined in law to stop the government “actively assisting” the building of new coal-fired power stations as well as extending the life of existing ones. It would also limit government funding of research into clean coal technologies into projects that did not benefit a particular coal-fired power station.

Government research shows such a move coupled with Labor’s 45 per cent emissions reduction target threatens to speed up the closure of coal-fired power stations.

A report by analysts Wood Mackenzie reveals the shuttering of baseload coal plants increases wholesale prices.

Labor energy spokesman Mark Butler said new coal-fired power stations had “no part in Australia’s future energy mix”.

“Labor has sent the clearest possible message that underwriting new coal power stations is grossly fiscally irresponsible and terrible energy policy,” he said.

“They are too expensive, and fundamentally inconsistent with our climate change obligations.”

Later this month the Morrison government will open expressions of interest in its new program to underwrite investment in new energy generators, which is open to coal.

Labor energy spokesman Mark Butler said new coal-fired power stations won’t be part of the country’s future energy. Picture Sarah Reed

“Australian businesses and families need affordable, reliable 24/7 power, that works when the wind isn’t blowing and the sun isn’t shining,” Mr Taylor said.

“That is why we are backing investment in new reliable dispatchable generation with a shortlist of projects early next year.”

Greens energy spokesman Adam Bandt welcomed Labor’s support and would now continue talks with the crossbench to secure majority support for the bill in parliament. However, it was unlikely to get to a vote.

“This power-sharing parliament must act to stop the government from recklessly exposing taxpayers to huge liabilities by underwriting coal,” he said.