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What are the positions of Australia's political parties on energy policy

What are the positions of Australia's political parties on energy policy

Energy security is a major issue for Australian voters, who are concerned about rising electricity bills and gas shortages.

Australia is the second largest LNG exporter in the world, with sales of A$69 billion ($44 billion) last year. With sales of A$69.9 billion ($44.92 billion) in 2013, Australia was the world's No. 2 LNG exporter. It is also the most polluting nation per capita within the OECD.

Both the Liberal-National Coalition, led by Peter Dutton and the centre-left Labor Party of Prime Minister Anthony Albanese, and its conservative counterpart, the Liberal-National Coalition, have pledged to lower gas prices for consumers and increase domestic supply.

Both sides favor using gas as a backup to renewables that are weather dependent. Labor wants a grid that is dominated by renewables, whereas the Coalition wants to build an industry of nuclear power, which is currently banned in Australia.

The Greens, who also expect to win seats, and could be kingmakers in the event that either of two major parties fails to form a majority, are against nuclear energy, and any new gas or oil production.

The details of energy and climate policy are listed below:

LABOR Albanese’s energy package aims at addressing living costs and climate change by committing A$2.3billion to subsidise batteries for household use to store solar electricity. Labor has pledged to provide energy bill relief to households and small business.

The party announced a $2 billion increase to its clean energy technology financing through its green bank in order to help it reach its goal of 82% renewable production by 2030.

The government wants to reduce carbon emissions by 43 percent from 2005 levels by the year 2030, and reach net zero by 2050. It will replace coal-fired stations with solar and wind power, supported by hydropower, gas and energy storage. Last year, the government released a long term strategy which committed to using gas as an energy resource to 2050. The strategy assured trading partners "Australia will remain a reliable trading counterpart for energy, including LNG." Albanese intervened on the domestic gas markets with emergency price caps, and a code for producers during his tenure.

LIBERAL-NATIONAL COALITION

Dutton released a plan that promised "Australian Gas for Australians", with the aim of reducing gas and electricity prices. The coalition is proposing a radical shift in policy by requiring the country's LNG exporters on the east coast - mostly Shell's QCLNG, and Australia Pacific LNG, operated by ConocoPhillips to sell a part of their gas that has not been contracted into the domestic market. Non-compliance will result in fines. The proposed policies have raised concerns amongst Japan's LNG importers, who rely on Australia to supply about 40% of their gas.

The coalition also said that it would support the gas sector by reducing "red and white tape" in the approval process for new projects. This includes halving the timeframes of the approval process and accelerating a decision to extend the life of Woodside’s North West Shelf Liquefied Natural Gas plant.

The government has also committed to increasing investment in "strategic" basins, including Beetaloo and Narrabri in eastern Australia.

The coalition is asking the government to build nuclear power plants in seven different locations across the country. The coalition says that a small reactor or larger plant could be built in 2035, and the rest of them by 2050.

Commercially, small modular reactors have not yet been commercially released.

GREENS

The Greens propose to phase out fossil fuels through the banning of all new coal and natural gas projects. They also want to cancel exploration permits, and block expansions for current projects. This includes the North West Shelf LNG Plant.

The party hopes to reach net-zero emission by 2035.

The government will provide grants and low interest loans to households that want to switch from gas appliances to electric ones.

The Greens also criticised the low tax payments of the gas sector and said that they would close "loopholes", and raise levies on big corporations.

(source: Reuters)