Bowen’s spokeswoman stated the $12 per gigajoule gasoline cap had successfully been prolonged to 2025 via a brand new code of conduct.
Requested concerning the deadline for a separate restrict of $125 per tonne on black coal from Queensland and NSW, Bowen’s workplace stated, “No determination has been made to increase coal worth caps past the unique finish date.
“Coal worth caps have been carried out to handle the home influence of excessive world thermal coal costs ensuing from the struggle in Ukraine.”
Greens chief Adam Bandt.Credit score: Alex Ellinghausen
To increase the worth cap, the federal authorities would require the NSW and Queensland governments to co-operate. Nevertheless, NSW Treasurer Daniel Mookhey has stated he intends to take away the cap in June.
Any extension on the cap would probably result in extra compensation being paid to turbines. The rebates have been designed for circumstances when present coal contracts have been above $125 a tonne or when the price of manufacturing exceeded the government-mandated worth cap.
The Division of Trade, Science and Sources final yr predicted that the worth of commodity exports akin to coal would stoop over the subsequent two years, as weaker demand introduced costs down.
Greens chief Adam Bandt stated Labor ought to by no means have agreed to compensate grasping coal companies that had been ripping off customers for years and “cooking the planet”.
“Labor’s billion-dollar coal bailout is rewarding the profiteering coal firms’ dangerous behaviour,” he stated.
The bundle, together with compensation, handed with the help of the Greens, who voted for it within the Senate in alternate for a “important” bundle to assist households swap from gasoline to electrical home equipment.
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NSW Minerals Council chief government Stephen Galilee stated the worth restriction was a poor coverage.
“Whereas it has been in place, coal costs have fallen by nearly half, however vitality costs paid by NSW households and companies have nonetheless elevated,” he stated. “It’s clear that components aside from the worth of coal are accountable for ongoing will increase in vitality prices.”
All of the teal impartial MPs backed the December 2022 vitality reduction invoice that greenlit the worth caps and compensation funds, regardless of campaigning towards subsidies for fossil gasoline firms.
Two teal MPs, Wentworth’s Allegra Spender and Goldstein’s Zoe Daniel, have since amended the language on their web sites to melt their positions on fossil gasoline subsidies.
On the final election, Spender’s web site pledged to “put an finish to the federal government’s $11.6 billion a yr in fossil gasoline subsidies”. Her web site now states she is going to advocate for “phasing-out the $10 billion every year the federal authorities spends on fossil gasoline subsidies”.
Daniel’s election dedication was to “stop subsidising fossil fuels”, however her web site now advocates for “cuts in fossil gasoline subsidies”.
The places of work of Daniel and Spender have been contacted for remark.
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