Peter Dutton warns ‘renewables only’ mentality will come with $1.3 trillion hit to Aussies

Peter Dutton has delivered a grim prediction to Australians about moving to a fully renewable energy system – and how it will hit their power bills.

Federal Opposition Leader Peter Dutton has warned of the sky-high costs of fully transitioning to renewable energy too early.

In a grim speech to the Institute of Public Affairs (IPA) on Friday, Mr Dutton blasted the Albanese government for its “renewable zealotry” mentality and warned of a $1.3 trillion cost blowout if Labor continues putting all their eggs in the renewables basket.

“(Labor’s) ‘renewables only’ mentality – its renewable zealotry – is putting our nation at risk,” Mr Dutton told the Sydney based think-tank.

“The Albanese government is recklessly rushing to renewables and switching off the old system before the new one is ready.

“Moreover, KPMG has estimated that new transmission costs will blow out by 40 per cent.”

Peter Dutton has warned a renewables cost blowout. Picture: NCA NewsWire / Martin Ollman

Building and maintaining renewable infrastructure though to 2050 could be 40 per cent higher than initial estimates. Picture: NCA NewsWire / Luis Enrique Ascui

Mr Dutton pointed to the Australian Energy Market Operator’s (AEMO) estimates that capital expenditure on renewables, and the cost to maintain them out to 2050, will cost about $383bn.

“But engineer Dr David Hayden Collins says that when the replacement of panels and turbines is factored in, the cost is likely to be $1.3 trillion,” Mr Dutton said.

“Five times greater than AEMO’s estimate.

“If the government wants to stop coal-fired power and phase out gas-fired power, the only feasible and proven technology … is next generation nuclear technologies, which are safe and emit zero emissions.”

Governments around the world are trying to pivot away from coal-fired power stations as they lose popularity with the public. Picture: NewsWire / Monique Harmer

That “next generation” technology includes the use of small modular reactors (SMRs) and microreactors or micro modular reactors (MMRs) – also known as nuclear batteries.

“These new nuclear technologies are factory-built, portable, scalable and can even be relocated,” Mr Dutton told the IPA.

“New nuclear technologies can be plugged into existing grids and work immediately.”

Mr Dutton highlighted his opposition spokesman’s recent trip to Canada to see their rollout of SMR technology.

Ted O’Brien visited Darlington, Ontario in February and toured a site where an SMR is being constructed under a project backed by Prime Minister Justin Trudeau.

“Ladies and gentlemen, the new nuclear technology train is pulling out of the station,” Mr Dutton concluded. “It’s a train Australia needs to jump aboard.”

He’s also called on the Albanese government to lift the ban on nuclear energy despite Mr Dutton’s own Liberal government making no moves to do so in the nine years it was in power.

However, Labor has long been opposed to the notion of “going nuclear”.

As recently as May, Energy Minister Chris Bowen posted a video on Twitter to try to debunk Mr Dutton’s pro-nuclear energy comments.

3 reasons why Peter Dutton’s nuclear plan is a dumb idea for Australia… pic.twitter.com/vmcxgoXxwW

— Chris Bowen (@Bowenchris) May 13, 2023

Mr Bowen’s continuing concern with the technology stems from its cost and that it would take more than a decade to establish a nuclear energy industry in Australia.

“Even if we started today, the first small reactor wouldn’t be in operation to meet the urgent need to deliver dispatchable power now,” Mr Bowen says in the video.

“If Mr Dutton and the Liberals want to be taken seriously on their nuclear energy plan, they need to come clean on a few key things.

“Where will these nuclear power plants go? What will they do with the radioactive waste that they generate? And when will they be operational? And how on earth are we going to pay for it?”

Interestingly, former Liberal prime minister Malcolm Turnbull commented “very good video and absolutely right” underneath it despite condemnation over a misrepresentation of nuclear waste in the clip.

Prime Minister Anthony Albanese also used question time in May to demand Mr Dutton disclose where any hypothetical nuclear power stations would be built.