The Treasurer’s announcement of Australia’s Green Bond Framework leaves Australia in the slow lane in energy security and reducing emissions.
At a time when other major economies are embracing nuclear energy to meet their emissions targets while securing cheap, affordable energy, Chris Bowen and Jim Chalmers have excluded it from Australia’s Green Bond Framework.
Canada, the United Kingdom, China, and Europe all include nuclear energy in their green energy frameworks. Canada has included nuclear in its green bond program, France’s state-owned energy provider is issuing green bonds, and the UK Treasury is consulting to include nuclear in the UK’s green energy taxonomy.
Sustainalytics, the same independent ratings firm that provided the Second-Party Opinion for Australia’s Green Bond Framework, noted that Canada’s use of green bonds for nuclear power was “credible and impactful and align[ed] with the Green Bond Principles”.
The exclusion of clean hydrogen and carbon capture and storage from the Green Bond Framework leaves Australia at odds with like-minded, advanced economies like the United Kingdom, Canada and the United States.
It means crucial technologies to reduce emissions and lower prices will not share the same access to financing as subsidies for renewables, electric vehicles or transmission projects.
This further demonstrates this is a government that is choosing ideology over economics, and that Australian families and businesses will pay the price.
Shadow Treasurer Angus Taylor said that this was another sign of a government that is picking winners, and rewarding donors over delivering outcomes for the Australian people.
“Jim Chalmers has let Australia fall to the back of the pack on fighting inflation, and he is letting Australia slip to the back of the pack on securing affordable, and reliable energy,” Mr Taylor Said.
“We need technology neutrality when it comes to tackling climate change and bringing down power bills. Instead, every decision this Treasurer makes adds higher prices for Australian businesses and families.”
Shadow Minister for Energy and Climate Change Ted O’Brien said all technologies needed to be on the table to bring down prices.
“Australia must adopt an ‘All-of-the-Above’ approach to energy, which embraces a balanced mix of technologies to bring down power prices and reduce emissions,” Mr O’Brien said.
“Zero-emissions nuclear nations are decarbonising their grids, and supporting industry to do the same, at an almost unrivaled pace yet Labor has Australia stuck in the slow lane.
“Australia will not be able to secure our manufacturing industry while bringing down emissions without an ‘All-of-the-Above’ approach which leverages technologies such as carbon capture and storage and zero emissions nuclear energy.”
Shadow Treasurer’s Office: Harnsle Joo – 0498 785 518
Shadow Minister for Climate Change & Energy’s Office: Mitch Bland – 0401 257 064