Energy a major divide as election looms

Perth Now

28-04-2025

Voters will be asked to decide between a renewables-led grid or the Coalition's nuclear promise, with energy policy a key point of difference between the two major parties.
After years of infighting between the Liberals and the Nationals, the Coalition says nuclear is the only way Australia can reach its net zero targets, power the country's energy demands, and deliver cheaper energy bills.
Labor refutes this.
Instead, a Labor government will continue to pursue renewable energy through solar and wind farms.
It's the same policy that has angered Nationals and regional MPs, who say renewable projects risk damaging land values, and disproportionately affect people living in communities outside of capital cities.
Here's how Labor and the Coalition are tackling Australia's energy issue.
What the parties agree on
Weather radar: Both Labor and the Coalition have committed to a $10 million investment in a new BOM weather radar for regional Queensland. Energy Minister Chris Bowen says a renewable grid is the best way for Australia to reach net-zero carbon emissions and lower energy bills. Christian Gilles / NewsWire Credit: News Corp Australia The Coalition's energy spokesman Ted O'Brien is backing nuclear. NewsWire/ John Gass Credit: News Corp Australia
Labor
Cheap solar batteries: Labor will slash the cost of solar battery installations by up to $4000 per household from July 1, as part of its $2.3 billion Cheaper Home Batteries program.
Bill relief: The government announced in the federal budget it would extend the current energy bill rebate until the end of the year, saving households $150.
Community energy upgrades: Labor has pledged $100 million for energy upgrades to community facilities, including more efficient lighting and battery storage at sporting fields, community halls and libraries.
Green social housing: Labor will add another $500 million to its Social Housing Energy Performance Initiative, worth a total $800 million, to cut energy bills and reduce emissions for social housing tenants.
Vehicle emission standards: Legislation has been enacted to establish vehicle emission standards for new vehicles sold in Australia, effective from July 1, 2025, to reduce transportation-related emissions. This will include penalties for manufacturers breaching the standard.
Renewable energyfocus: Labor will aim to source 82 per cent of the electricity grid from renewables by 2030, which will be firmed by battery storage and gas. It's currently at about 35 per cent.
Critical minerals reserve: Announced in response to Donald Trump's blanket 'Liberation Day' tariffs, an elected Labor government would pledge $1.2 billion for a National Reserve of Critical Minerals, including lithium and nickel.
National emission reduction target: The government has committed to reducing carbon emissions by 43 per cent from 2005 levels by 2030, a target that has been legislated to ensure accountability and progress. Labor has also continue to back Australia as a signature to the Paris Climate Agreement which requires participating countries to reach net zero by 2050.
Expansion of the Clean Energy Finance Corporation (CEFC): An additional $2bn has been allocated to the CEFC to support households, workers, and businesses in adopting renewable energy solutions, making clean energy more accessible and affordable. Labor will aim to source 82 per cent of Australia's electricity grid from renewable energy. It's currently at about 35 per cent. NewsWire/ Brenton Edwards Credit: News Corp Australia
The Coalition
Flagship nuclear policy: A Coalition government will build seven government-owned nuclear reactors co-located alongside retiring coal-fired generators by 2050, with the first two smaller generators in operation by 2035. In terms of costs to the taxpayer, modelling done by Frontier economics claims the build will cost $331bn over 25 years, a figure Labor disputes.
So far, no state premiers have supported the policy, including in Queensland which could potentially host two of the reactors. The state would also need to vote in a plebiscite to remove the prohibition on nuclear power.
Energy mix: Under a Coalition government, the energy mix would be 54 per cent renewables, 33 per cent nuclear, with the remaining 13 per cent comprised of battery storage and gas. The Coalition's nuclear strategy will make up 33 per cent of Australia's energy grid by 2050 if elected. NewsWire/ Martin Ollman Credit: News Corp Australia
Boost in gas production: To make up for the near-term energy shortfall while nuclear comes online, the Coalition will plug the short fall by creating a reservation policy to force producers to direct up to 20 per cent of exports to the domestic market. The Coalition will also commit $1 billion to expanding the east coast gas market to increase pipelines and storage capacity.
Energy bills: The Coalition estimates its gas plan will reduce retail gas bills by 7 per cent for households and 15 per cent for industrial consumers.
Disaster response: A Coalition government would give a $64.5 million boost to Disaster Relief Australia, which deploys volunteers to areas ravaged by natural disasters.
Dutton coy on Paris Agreements: While the Coalition will have a 2035 emissions reductions target, it's unlikely the short-term figures will be revealed unless the opposition wins back government.