ALP conference 2015: Bill revives worst of Rudd-Gillard era

Bill Shorten is lining up to repeat the mistakes of the Rudd-Gillard era. He exaggerates the traction of climate change action, locks into trade union fidelity, bows before identity politics — and is fatally exposed on economic policy.

Rather than reform its policy agenda after the 2013 defeat, the Shorten-led Labor Party has decided it was basically right and is asking the Australian people to think again and get it right next time.

Shorten is a weak leader trying to be strong. His speech to the ALP national conference yesterday was a sustained concession to current power structures, ideological orthodoxies and polling. His defiance on asylum-seeker boats is the exception that proves the rule: Shorten knows without the turnback option he faces certain election defeat.

The centrepiece of his speech — the new 50 per cent renewable energy target by 2030 — perfectly captures Labor’s problem. It is plainly irresponsible. It means Labor has no interest in the most cost-effective method of tackling emissions over the next 15 years. It has no interest in trying to combat climate change consistent with measures to keep a competitive growth economy. It typifies the Shorten method: so-called smart politics and defective policy. His political character is now entrenched. This pledge comes with no details, no modelling, no analysis, no meaningful consultation. It typifies the worst of the Rudd-Gillard era.

The renewables policy reveals Shorten’s weakness, not his strength. Exposed on his emissions trading scheme to another “carbon tax” onslaught from Tony Abbott, Shorten has tried to reinvent the climate change contest into “who loves renewables the most”.

The upshot is he has shifted much of Labor’s policy response on to the most ineffective and high-cost mechanism. He will punish households and businesses on an unnecessary basis — unnecessary for anything but Shorten’s political interests. This policy will win applause in the short term. It is, however, against the interests of workers, families and capital.

The claim that in an oversupplied electricity market it will depress prices in the near term runs into the bigger reality that renewables are still grossly cost-inefficient and this cost must be borne. Instead of seeking to decarbonise the economy with the most cost-efficient measures Labor wants a renewables beauty contest.

The ALP seems unable to learn from past mistakes.