Dominic Perrottet doesn’t plan on extending the life of Eraring power station

After initially refusing to rule out a lifeline for Eraring, Matt Kean has doubled back on comments where he appeared at odds with Premier Dominic Perrottet on the coal-fired station’s future.

Treasurer Matt Kean has quashed suggestions the government could become involved in the future of Australia’s biggest coal power station, walking back comments suggesting his government could intervene to keep it open beyond its expected mid-2025 closing date.

 Mr Kean had initially refused to rule out a lifeline for Eraring - appearing at odds with Premier Dominic Perrottet who said the NSW Government intervening to extend the lifespan of the Lake Macquarie coal-fired station was “not part of our plans”. 

“We have our energy roadmap. (Intervening in Eraring is) not part of our plans - we have an energy roadmap that’s delivering $32 billion of private sector investment to ensure we have a long term reliable and clean energy future. That’s our plan,” the Premier said.

He insisted he and his Treasurer Mr Kean – who is also the NSW energy Minister - were “on completely the same page” on the power station’s future.

It came after Mr Kean told the Australian: “Of course we’re not ruling things in or out” regarding the future of Eraring.

Premier Dominic Perrottet said he doesn’t plan to extend the lifespan of Eraring. Picture: NCA Newswire / Gaye Gerard

“The government’s already demonstrated that it will do what is necessary to protect families and businesses at this time,” he said.

Mr Kean on Monday backtracked, with a spokeswoman saying “The Government is not considering an extension of Eraring, which is entirely a matter for Origin Energy”. 

The confusion over a potential lifeline for the major power station comes as Environment

Minister James Griffin described coal power stations as an industry  “everyone wants to shut down as quickly as possible” at a heated Manly candidates forum.

Speaking to his constituents in the moderate seat of Manly -- which is under a serious threat from the climate-focused Teal independents -- Mr Griffin made the remark while answering what the government will do to get more royalties from coal companies.

“There is equally a war in Ukraine that has put massive pressure on fuel and gas prices around the world. That is why we need to build the green earth and hydrogen strategy to offset coal mines that everyone wants shut as quickly as possible,” he said.

A spokesman for Mr Griffin defended the comments: “To go out there and say that the coal-fired power stations have to shut immediately would be reckless in terms of making sure that we do develop a sensible, rational transition.”

The Minister provided another response that was more than a minute in length to a question about royalties, which also includes important context:

Labor leader Chris Minns on Monday revealed he wouldn’t rule out buying back Eraring if his party won power, saying the station which provides 25 per cent of NSW’s power needs could be required beyond its scheduled 2025 closing date.  

“What I would say is I’m not going to rule out keeping it open, I will not allow the lights to go out in NSW,” he said.

The renewed debate over energy came Sydneysiders were scorched by temperatures hitting 37 degrees over Monday, with the Bureau of Meteorology predicting temperatures in the city to hit 34 degrees on Tuesday.

Mr Minns wouldn’t be drawn on how much Labor would spend if it was prepared to buy the power station back, after it was sold to Origin by the Coalition Government in 2013, saying it would weaken their bargaining power if a figure was announced.