Labor mines for votes in coal and gas

Resources Minister Keith Pitt says the ‘threat of Labor to resources’ can’t be undone by a few friendly words from Murray Watt.

Queensland senator Murray Watt will strongly endorse the export future of coal, iron ore and gas to a ‘world that’s hungry for them’. Picture: Matt Taylor

Senior Labor Left faction powerbroker Murray Watt will reset the party’s approach to coal and gas and declare the ALP “treasures” every job created in the mining sector, in a major speech on Monday.

Senator Watt, a close factional ally of Anthony Albanese, will support the long-term viability of the resources sector in the battleground coalmining electorate of Capricornia while backing Labor’s commitment to unlock the potential of renewables, ­hydrogen and critical minerals.

Speaking at the Developing Northern Australia Conference in Rockhampton, the Queensland senator will say resources and agriculture jobs are “important to families, to the north, and the nation — and they deserve our ongoing support”.

He will also strongly endorse the export future of coal, iron ore and gas to a “world that’s hungry for them”, adopting a stronger position on the long-term ­viability of fossil fuels.

“The fact is the north will continue to source much of its power from coal and gas for years to come and we should treasure every job they create,” Senator Watt will say.

“Labor says we don’t have to choose the old or the new. Our traditional industries and our new ones both have something to offer. Both have jobs to create. And we should take action now, to grow them both.”

Annastacia Palaszczuk’s election victory last month has refocused Labor strategists on the need to win back disaffected ALP supporters who parked their votes with One Nation and other minor parties at previous elections. Ms Palaszczuk’s central Queensland campaign was dominated by a strong focus on backing coal and the resources sector, helping ­deliver her majority government.

Resources and Northern Australia Minister Keith Pitt said the “threat of Labor to the resources industry can’t be undone by a few friendly words from Senator Watt”.

“Reports that the Senator will tell a Queensland conference that Labor has seen the light on coal and gas confirm the division within the party,” Mr Pitt said. “It’s a cynical attempt to claw back votes in Queensland and to keep rogue MP Joel Fitzgibbon quiet. The real test is whether Senator Watt would stand beside Mark Butler in Adelaide or Mark Dreyfus in Melbourne and make a similar pro coal speech. We all know that’s not going to happen anytime soon.”

The Queensland MP said Senator Watt has been a “vocal opponent of the government keeping an election commitment to fund a feasibility study for a coal fired powered station in regional Queensland”.

“If he’s serious about Labor’s new found support for coal and gas, he should support the study which could lead to hundreds of new regional jobs,” he said.

Queensland LNP senator Matt Canavan said “if Labor really supported coal they would support coal fired power too”.

“You can’t back the sale of a product overseas if you’re not willing to use that same product,” Senator Canavan said.

Murray Watt, left, Anthony Albanese and Mark Butler at Parliament House in Canberra. Picture: Sean Davey.

Mr Albanese has come under pressure from Hunter MP Joel Fitzgibbon over Labor’s focus on climate change and renewables, with the former opposition ­resources spokesman arguing federal Labor needs to do more to win back regional voters and publicly support the mining industry.

Mr Fitzgibbon’s resignation from shadow cabinet in protest over the direction of federal Labor has destabilised Mr Albanese’s leadership, with pressure mounting on the Opposition Leader to move ally Mark Butler out of the climate change portfolio and ­refocus the party on winning seats in Queensland and Western ­Australia.

Mr Fitzgibbon said Senator Watt’s speech was a step in the right direction towards reconnecting with Labor’s “traditional base — all those people in the Hi-Vis and blue collar outfits working hard every day in Queensland”.

“All they want from us is to give credit to them for what they do, the contribution they make to our economy and community,” Mr Fitzgibbon told Sunrise on Monday.

“And we want to encourage them to be proud of what they do, as they should be. And the more Labor talks about the important role they play in the economy, and how important their jobs are to their own financial security and the financial security of their families, then the better we will do out there in the electorate and in the marketplace.”

The Hunter MP said “the irony is that the Labor Party always supported the coal mining industry”.

“It always supported the gas sector, the oil sector et cetera. Our manufacturers. But for some reason we haven’t been that keen to say that loudly and proudly. And if that’s what we’re about to start doing well, I’ll be very, very pleased.”

Barnaby Joyce said Labor “can’t have two parties”. “Until Penny Wong gets out there and says it, until Albanese says it, until Mark Butler says it, until Dreyfus says it - they haven’t said it,” Mr Joyce said.

“And if Murray Watt, God bless his cotton socks, goes to Rockhampton and says, ‘I like the industry that employs you all’, well, that’s hardly surprising, but it doesn’t carry much weight.”

Federal MPs @Barnaby_Joyce and @FitzHunter talk about when international travel could resume and the Labor party's position on mining and agriculture. pic.twitter.com/nuxjsmFgPs

— Sunrise (@sunriseon7) November 22, 2020

NSW Labor leader Jodi McKay last week endorsed Mr Fitzgibbon’s push to put “labour back into the Labor Party” and ­reconnect with blue-collar workers who have deserted the ALP.

Labor’s union support base is also split, with the Australian Workers Union and CFMEU mining and energy officials briefing MPs to support the expansion of the gas sector despite the ­opposition of environmental groups.

Others, like the Australian Manufacturing Workers Union, support more ambitious plans to phase out fossil fuels.

In the speech, titled Northern Australia — Time for Action, Senator Watt launches a veiled attack on the Nationals and Greens, saying there are “too many on the political left and right who argue the north can only have the old or the new”.

“That we should stick to the industries that have served us well and ignore the opportunities emerging,” he will say.

Joel Fitzgibbon’s resignation from shadow cabinet in protest over the direction of federal Labor has destabilised Anthony Albanese’s leadership. Picture: Gary Ramage

“Or that we should kiss our traditional strengths goodbye, along with the jobs, tradition and royalties that go with them, in sole pursuit of the new.

“Both these views are wrong. Both sell the north short, for mere political gain. Both seek to use Northern Australia as the site of a destructive culture war that leaves its residents as casualties.”

Senator Watt’s clearer rhetoric as the Opposition Leader is urged to reclaim the party’s grassroots. Mr Fitzgibbon last week said there was “still life in Anthony Albanese’s leadership” but called on him to be “more clear and loud” in backing blue-collar jobs.

“The language is still hesitant. So rather than say ‘we support gas’ it tends to be ‘we are not against gas’. The punters pick up on that nuance and they don’t like it,” Mr Fitzgibbon told the SwitzerDaily podcast.

Senator Watt will say more can be done with the nation’s “raw commodities than just ship them overseas” and that Northern Australia is sitting on a “gold mine of solar and wind resources, with massive opportunities in hydrogen and other fuels as well”.

“Besides the obvious environmental benefits, cheap, renewable energy — backed up by batteries, pumped hydro or gas — offers our northern manufacturers the ability to drive down energy costs and really compete with other countries. Who knew — tackling climate change could actually create jobs?”

Senator Watt also advocates for more Australians to move north, suggesting COVID-19 had triggered a re-evaluation of the “need for skyscraper city offices”. “Currently Northern Australia is home to about 1.2 million people. COVID has got people on the move from Sydney and Melbourne into Queensland and the Top End. This has the potential to kickstart years of northern migration.

“But it won’t just happen on its own. If we want the north to lead the country out of recession, it’s going to take more than unfulfilled promises.”

Senator Watt also criticises the Morrison government over the slow-moving $5bn Northern Australia Infrastructure Facility and inaction on water infrastructure and critical minerals.