House debates

Thursday, 23 March 2017

Matters of Public Importance

3:41 pm

Photo of Cathy O'TooleCathy O'Toole (Herbert, Australian Labor Party) Share this | Hansard source

I rise in this place to stand for North Queensland and to speak out against the Turnbull government's complete inaction in addressing our energy crisis. When I woke to hear the news announcement about the Snowy Mountains hydro, I was livid. Do not get me wrong; I think it is great the Prime Minister has finally seen the light and sees the great value and purpose of ARENA—something created by Labor and saved by Labor after three years of the Turnbull government trying to abolish it. But the fact is the Prime Minister made a rushed announcement to address South Australia's energy crisis and has kept very quiet on the north.

Well, I am here to warn this government that I will not be quiet. In North Queensland, we are experiencing sky-rocketing electricity prices and nothing from the Turnbull government. The cost of electricity keeps rising, and the increasing pressure on families from the cost of living is growing. Just yesterday, I had a local business owner, Kelly Bacon, owner of the Organic Pantry, call my office in tears. Kelly's business is a small business that employs three staff. Yesterday, she received her electricity bill of $8,000. Of course Kelly is devastated and she believes that the increasing costs of electricity will force her to close her shop.

But it is not just small business this affects; it is large corporations as well. Sun Metals is one of Queensland's biggest electricity consumers and a key Townsville employer. In the last two years, the electricity bill for the Sun Metals zinc refinery has increased over 72 per cent. Their electricity bill has increased from $50 million in 2015 to more than $70 million last year. Here is the best part, and I particularly want the Minister for Energy to listen to this point: electricity prices in Queensland were more expensive than South Australia in 2015 and 2016, despite the fact that Queensland has coal-fired generation.

Here is a direct quote from CEO of Sun Metals, Mr Choi, who stated at the end of last year:

Considering that the generation profile in Queensland is dominated by stable base-load coal-fired generation, profoundly different from that of South Australia, this is a very surprising fact.

What is not surprising is the Turnbull government's complete lack of understanding on energy issues in the north and its lack of action. But where the Turnbull government fails, Sun Metals will pick up having secured a 115 megawatt solar farm at its Stuart property, signalling the start of a $182 million project which is expected to create many jobs. The irony of all of this is that North Queensland has had a plan to address both our energy and water crises for decades. We can kill two birds with one stone with the Burdekin Falls dam.

I hold here a report from 1977 that outlines a three-stage progression plan for securing both water and energy for North Queensland, allowing my glorious region to grow and prosper. Stage 1 was to build the Burdekin Falls Dam—a dam five times the size of Sydney Harbour. This was completed in the early 1990s, thanks to the last Labor member for Herbert, Ted Lindsay, and former Prime Minister Bob Hawke. Stage 2 is to build a gravity pipeline directly from the Burdekin Dam—update: we are still waiting. Stage 3 is to raise the Burdekin Dam walls—update: still waiting. Stage 4 is the hydropower plant—current status: still waiting.

For the Turnbull government to make their Snowy hydro announcement whilst reports for hydro in the north have been around since 1977 is a slap in the face for all North Queenslanders. The north has the answer, it has been sitting there since Hawke, and now we just need this government to listen and deliver. It astounds me that one of our greatest resources in the north is the Burdekin Falls Dam, and there is no mention from this government on leveraging its power.

If the Prime Minister called me and said, 'Cathy, I have finally heard your calls and North Queensland's calls, and we are going to address the water and energy crisis by building the hydro on the Burdekin Falls Dam,' I would roll out the red carpet. But with the government's focus on the south—and nothing for the north—it looks like I will be holding on to that red carpet for quite some time. And businesses like Sun Metals and The Organic Pantry will have to keep waiting for any action from the government. The government are completely out of touch with North Queensland. I demand that the Turnbull government lift their heads a little higher and start looking towards the north and start addressing our energy and water crises. Quite frankly, it will be very difficult for our area and region to grow, flourish and prosper without electricity and water security.

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