Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

It's good to see everyone at the start of this lovely parliament—cheer up, Charlie; come on. My first question is to the Minister for Science, Senator Ayres. The independent CSIRO's GenCost2024-25 report shows that, for the seventh year in a row, wind and solar are the cheapest sources of electricity.

That's what the report says. That's what I've read, anyway. In its first term, the Albanese government prioritised a cleaner and more affordable electricity system by supporting renewable energy and storage projects. Minister, how does the government plan to build on this approach and deliver more clean and affordable electricity for Australians?

Tim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | Link to this | Hansard source

Well, thanks, Senator Ciccone. President, he is dead right. I don't want to trigger Senator Canavan and the four Nationals over there by talking about the CSIRO's GenCost report, which demonstrates once again that firmed renewables remain the lowest cost new-build technology for Australia. I know that it's deeply irritating over there to have a scientifically based, independent report from a nationally respected scientific institution that somehow gets in the way of the sort of hysterical Sky After Dark carry-on that we've seen from those opposite over the last few days. And the reason this kind of report matters is that, if you use an independent scientific report, that actually forms the basis of good policy. And good policy leads to policy certainty, and policy certainty leads to investment decisions made by firms in Australian industrial and energy capability. That's what happens.

Now, the record speaks for itself. The cost of renewables for Australians keeps getting cheaper. The cost of solar fell by eight per cent for the second year in a row, and the cost of batteries fell by 20 per cent in the last year alone. The report confirms what millions of Australians know is true—that the cost of firmed renewables remains the lowest-cost new-build technology for Australia.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ciccone, first supplementary?

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

Thank you, Minister, for that answer. The report also finds that the cost of firmed renewables will continue to fall, increasing their price advantage over non-renewable energy sources. Australia is also forecast to have some of the lowest-cost electricity in the world. How is the government planning to capitalise on this comparative energy advantage through its Future Made in Australia agenda?

Tim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | Link to this | Hansard source

Thanks, Senator. Future Made in Australia is about bringing new jobs and opportunities for future generations of Australians to communities in every part of our country. It's about making sure that we're delivering on Australia's potential and our future comparative advantage in our national interest. I know that, conceptually, the team over there struggle with all of those concepts. Comparative advantage, the national interest—these are all issues that they are entirely uninterested in. But we have the best renewable resources, here in Australia, in the world. We have all of the critical minerals that will power the future economy not just for us but for our trading partners. And we are determined to get on with it. We are determined to deliver a policy program that will deliver investment in all of Australia's regions and all of Australia's outer suburbs for industrial capability that delivers for the country.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ciccone, second supplementary?

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

I will be very quick. Given the policy certainty and comparative advantage you also mentioned in the previous answers, I want to ask you this: why is it necessary to provide clear signals about energy policy to large industrial users of electricity, like smelters, particularly the one in my home state, given that, currently, nuclear reactors can be some of the most expensive sources of electricity?

Tim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | Link to this | Hansard source

():  Clear signals matter. From the National Party over there, it's like a dinner bell with no dinner. That's the signal that's been sent from over there. The GenCost report shows clearly what all Australians know—that nuclear power is the most expensive form of energy for Australia.

Michaelia Cash (WA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | Link to this | Hansard source

What do you say about coal?

Tim Ayres (NSW, Australian Labor Party, Minister for Industry and Innovation) Share this | Link to this | Hansard source

Let me come to coal. What it demonstrates is that, today, firmed renewables are competitive with black coal. In the future—let me explain these concepts to you. It's a pity you don't get a whiteboard in Senate question time! If we did, we might be able to take Senator Canavan through these concepts of comparative advantage, technological efficiency, how markets are set, policy certainty and how that delivers investment— (time expired)

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I ask that questions be placed on notice.