POSITIVE POLICY

Cleaner Power Generation

A transition is needed to modernise Australia’s electricity sector. Labor’s plan will establish an orderly pathway for this transition. Australia’s electricity generation sector is the largest source of carbon pollution in the economy, producing around one third of the nation’s pollution. It simply must get cleaner.

To achieve this, a Shorten Labor Government will:

  • Ensure the National Electricity Market meets the needs of 21st century consumers through an Electricity Modernisation Review;
  • Develop a plan to ensure the orderly transition of Australia’s energy generation from polluting coal-fired power stations to renewable and clean energy, with a core focus on supporting workers and communities; and
  • Implement an electricity emissions trading scheme

Labor’s plan will drive billions of dollars in new investment in renewable energy in Australia - boosting our generation capacity and re-shaping the energy mix that powers our businesses and households. This step up in renewable energy capacity will mean that old, heavy polluting power stations will become less and less a feature of Australia’s energy future.

This shift will require a framework to ensure that the transition is orderly, so that the hand over from old to new sources of generation is in the best interests of the economy and consumers. This framework will need to be designed to strengthen and modernise the National Electricity Market (NEM).

Labor is proposing a standalone approach for cutting pollution in the electricity sector.  Labor recognises that the electricity sector is unique to the economy, and so this package of measures has been structured to best meet our climate change targets in the most efficient way. Labor has designed policy settings to strengthen energy security, apply downward pressure on power prices, and drive the transition to clean sources of power.  

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