I haven’t read it, says Shorten as he resists ACCC’s power solution

Bill Shorten admitted yesterday he hadn’t read Rod Sims’ ­report, after declaring it “doesn’t really make sense”.

Shadow Minister for Climate Change and Energy, Mark Butler. Picture: AAP

Bill Shorten admitted yesterday he hadn’t read competition watchdog Rod Sims’ landmark ­report on lowering energy prices, after declaring one of its key recommendations “doesn’t really make sense”.

The Opposition Leader went on the attack, accusing Malcolm Turnbull of using the Australian Competition & Consumer Commission report to ease tensions with pro-coal MPs on the Coalition’s right while waging “war on renewables”.

The Sims report recommended the commonwealth underwrite the construction of new dispatchable power, saying the policy could be implemented “at little cost to government” because it would only guarantee to purchase energy at a low commitment price of $45 to $50 a MWh.

But Mr Shorten, who said “I haven’t yet read the report”, ­accused Mr Turnbull of seeking to spend “billions” on coal-fired power. “Mr Turnbull’s answer is to give more taxpayer money to big power companies — doesn’t really make sense, does it?” he said.

“So what we’ve got is we’ve got a debate which is about placating the knuckle draggers of the cave-dwelling right of the Liberal Party, promising mirage coal-fired power stations, which cost billions of dollars, all because Mr Turnbull hasn’t got the intestinal fortitude to back in renewable energy as part of the energy mix.”

Resources Minister Matt Canavan said: “That is nonsensical and it probably goes to the fact that Bill Shorten has rejected this report before he has even read it.

“I’m worried that there needs to be a level of contemplation here given the severity of this ­problem.”

The Prime Minister accused Labor of pursuing reckless policies that would drive up power prices, citing South Australia’s “least reliable, most expensive” network as evidence.

Despite a strong belief among Nationals MPs that the proposal will support new coal-fired power, Mr Turnbull vowed the government would not advocate for one energy source over another. “What we’re focused on is the output: reliable and cheaper energy.”

Greens MP Adam Bandt said being “technology agnostic” on energy amounted to “climate crime”.

“Coal kills. Renewables don’t,” Mr Bandt said. “To prevent dangerous global warming, we need to get out of coal and into renewables.” Opposition energy spokesman Mark Butler said the ACCC recommendation would not be sufficient to encourage investment in new coal-fired power.

“It is a fantasy,” Mr Butler said. He said “firm” power could be delivered far more economically with a combination of renewables plus gas, pumped hydro and batteries.

Energy Minister Josh Frydenberg said it could bring investment in coal, telling Sky News “all forms of power could be available under this scheme, including thermal generation, as well as, potentially, renewables with storage”.

ACT Energy Minister Shane Rattenbury said Coalition “coal huggers” were making it harder for states and territories support the national energy guarantee.