Matt Canavan: Why Australia is foolish to embrace net zero emissions

Australia is looking a gift horse in the mouth, right when it should be capitalising on its coal and gas, writes Senator Matt Canavan.

Australia is lagging the rest of the world. Just as we are set to sign up to a net zero emissions target, everyone is in a desperate rush to get more coal, oil and gas.

In the UK, they have reopened coal power stations because there has been a wind drought, and Vladimir Putin is not sending them as much gas as he used to.

The US has asked Middle Eastern countries to increase oil production because the woke Wall Street bankers are no longer financing fracking in Texas.

In China, Premier Li said this month that “coal supply is crucial to people’s lives” and that he would review China’s emissions targets in light of their recent energy crisis. He stressed that energy security was China’s priority.

India has demanded that all coal power stations use at least 10 per cent imported coal so they can boost their fuel security.

This is all happening because of Europe’s ill-fated attempt to reach net zero. The failure of Europe to develop their own fossil fuel resources has led to a cascading effect through world energy markets. The price of coal and gas are at record highs, which is good for Australia given we are the world’s largest exporter of both of these things.

But we are set to look this gift horse in the mouth by signing up to a net zero emissions target. A “net” zero emissions target means that any new coal mine or gas field in Australia would need to “net” off its emissions by purchasing carbon credits. These credits cost money and will, in effect, tax the creation of working class Australian jobs.

Senator Matt Canavan wants Australia to export more gas and coal.

Over 1 million Australians work in the mining industry alone but these requirements will also impact agriculture, manufacturing and construction jobs too. A net zero target will be the first time that an Australian Government has adopted a policy to make us poorer.

How much will these carbon credits cost? UK Government modelling shows that the carbon price will have to be A$295 per tonne to reach net zero. Julia Gillard’s $20 carbon tax increased electricity prices by 10 per cent. Electricity bills are already skyrocketing in the UK under their net zero plans, and they have a lot higher to go.

But there will be some winners. The banks are happy with this outcome because they will trade the carbon credits. Banks are some of the biggest supporters of net zero emissions. My rule of thumb is that if something is good for the banks, it is probably bad for me.

Turning our back on our domestic supplies of coal and gas will also mean that we will become reliant on China for our energy needs, as that is where our wind turbines and solar panels are made. All of this just as we learn that China has invented a hypersonic, nuclear capable missile that can land anywhere on earth and avoid existing missile defence systems.

China now has space nukes but they can’t match us on plans to reach net zero.

Australia could become reliant on China for its gas needs, Senator Canavan warns.

At the last election, Scott Morrison rightly warned of the dangers of cutting our emissions by too much. He called Labor’s proposed 45 per cent reduction in emissions a “wrecking ball through the Australian economy.”

The working men and women of Australia agreed, and rewarded the Liberal and National parties with an unexpected victory. If we turn our backs on their jobs, the Quiet Australians will become loud and angry.

These Australians don’t care what world leaders think of them. They just want their government to create jobs, keep living costs down and make Australia stronger.

Matt Canavan is a Queensland Nationals Senator

Originally published as Matt Canavan: Why Australia is foolish to embrace net zero emissions