Why Australia must go nuclear

We can meet our three national goals of cheaper, consistent and cleaner power. But only with the right energy policy. by peter dutton.

Under the Albanese government, energy has become exorbitantly expensive and our grid unreliable. Since coming to power 21 months ago, Labor has implemented a reckless energy policy which is damaging our nation.

Worse, the government’s energy policies are inflicting such a magnitude of economic self-harm that we are seeing the early stages of de-industrialisation.

Naive and radical green activists cheer on our national de-industrialisation. Yet, they are oblivious to the facts. We will only end up having to import commodities and products from overseas at a much higher price. And there will be far more emissions from producing these commodities and products abroad than would have been the case under our clean industry practices.

The Coalition is not opposed to renewables. We believe that renewables have a role to play in our energy mix – especially rooftop solar – as part of a diverse mix of complementary technologies.

But the government’s ideologically driven “renewables only” energy policy – an all-eggs-in-one-basket approach – is utterly reckless and also an engineering feat of pure fantasy.

Some 58 million solar panels and almost 3500 wind turbines will need to be built by 2030. Additionally, some 28,000 kilometres of new transmission poles and wires will need to be put up by 2050 – the equivalent of almost the entire coastline of mainland Australia.

The rollout is already behind schedule. And the delays will get worse with the government’s increasingly onerous green tape.

From a purely pragmatic point of view, the government’s plans for our energy system to comprise 82 per cent renewables by 2030 is frankly the stuff of fiction. To reach that target, there needs to be signed and sealed financial commitments for 5000 megawatts of renewables per year.

The government’s “renewables only” policy is also economically and environmentally damaging. Indeed, wherever communities are impacted by the government’s extensive renewables rollout, increasing numbers of Australians are voicing their disapproval.

In the Hunter and Illawarra regions of NSW, residents continue to highlight the damaging impacts from offshore wind turbines to local wildlife and to their fishing and tourism industries. In a similar vein, farmers flocked to Canberra last month to rally against the carpeting of Australia’s prime agricultural land with solar and wind farms.

The government’s “renewables only” policy is also astronomically expensive. At a conservative estimate, the transition cost will be $1.3 trillion.

The policy is also causing unreliability in our grid. Whatever percentage of renewables are in the system – be it 50, 70 or 95 per cent – they need to be firmed-up. The latest battery technologies – such as AGL’s Torrens Island Battery that cost $180 million – last for only about 2 hours. These are not partisan statements. They are simply scientific facts.

Our nation is diminished in having Chris Bowen as the federal Energy Minister – a man who shows complete irreverence for the truth. Instead of having a proper debate about what’s in our country’s best interests, Mr Bowen acts like a child and dismisses everything he disagrees with as a scare campaign.

We can meet our three national goals of cheaper, consistent and cleaner power. But only with the right energy policy. Only if Australia becomes a nuclear-powered nation.

Labor sees nuclear power as a competitor to renewables. The Coalition sees nuclear power as a companion to renewables.

Australia’s energy mix is about 21 per cent gas, 47 per cent coal, and 32 per cent renewables. Ontario province in Canada is about 5 per cent gas, 35 per cent renewables, and 60 per cent nuclear.

Averaging the electricity costs for all Australian states and territories, we pay about 30¢ a kilowatt hour. Canadians in Ontario pay 16¢ a kilowatt hour.

As for the United Kingdom, its energy mix is fast approaching 50 per cent renewables. Brits are paying about A52¢ a kilowatt hour.

Many Australians might be surprised to learn there are more than 400 reactors operating worldwide today. We’re not starting a nuclear industry from scratch. The Lucas Heights nuclear reactor has been running for 66 years. Australia is already making inroads under AUKUS.

Labor’s position is illogical, inconsistent and incoherent. More than 30 countries use zero emission nuclear power today. Furthermore, some 50 countries are exploring or investing in next-generation nuclear technology for the first time.

Australia is the only country in the top 20 economies which hasn’t embraced domestic nuclear power, or is taking steps to do so.

During COP28 in December, more than 20 countries from four continents pledged their intent to triple their nuclear energy capacity by 2050.

If the government is so confident in its “renewables only” energy policy, it should have no fear in lifting the moratorium on nuclear energy and letting the market decide.

The fact is, our country is blessed with a market advantage for nuclear power. Australia holds the largest deposits of uranium on the planet – one-third of the world’s reserves.

The Coalition’s energy approach is to maximise the amount of energy we can obtain per square metre and minimise our environmental footprint. We can achieve that goal by putting new nuclear technologies on or near the sites of decommissioned or retiring coal-fired power plants using the existing grid.

The Coalition will shortly unveil potential host sites where new nuclear technologies could be placed, and will seek a social licence for our energy policy by listening to and incentivising communities to adopt nuclear power.

This is an edited extract of an address given by Leader of the Opposition Peter Dutton to the AFR Business Summit this week.