Nature Positive: Labor delays debate on Federal EPA after business backlash over potential deal with Greens

Labor’s Nature Positive agenda is under fresh doubt after controversial legislation was pulled following a major business backlash sparked by fears of an imminent deal with the Greens.

WA Premier Roger Cook has joined industry in urging the Federal Government not to cave to the Greens’ key demands for a “climate trigger”, as he demanded the Coalition step in to help pass Labor’s proposal.

The Senate was scheduled to debate laws to establish a new Environment Protection Agency (EPA) on Thursday before it was bumped from the notice paper.

Labor sources insist plans for the EPA – a key plank in the wider Nature Positive Plan – have not been permanently shelved, with debate simply pushed into next week.

The delay came as Environment Minister Tanya Plibersek again refused to rule out agreeing to a “climate trigger” in exchange for the Greens’ support.

“They (the laws) don’t include a climate trigger now but we work with the Senate that the Australian people elected,” Ms Plibersek told Sky News.

Ms Plibersek sent alarm bells ringing around the business and mining sector on Wednesday after confirming she was in talks with the Greens, including on its demands for greenhouse gas emissions to be factored into the environmental assessment of projects.

The Business Council of Australia — which represents BHP and Rio Tinto — demanded Labor rule out a “reckless” deal with the Greens that would imperil critical minerals and green energy projects in Western Australia.

Industry and the WA Government argue a “climate trigger” is unnecessary because the Commonwealth already has the safeguard mechanism to manage pollution from projects.

In a statement to The Nightly, WA Premier Roger Cook – whose State would be most affected by the Nature Positive Plan – reaffirmed his opposition to the Greens’ demand.

“Western Australia does not support a ‘climate trigger’ in the EPBC Act,” Mr Cook said.

“We all want a commonsense approach on these reforms.

“We urge the Federal Opposition to work with the Federal Government to pass sensible reforms that benefit the environment while supporting economic development in WA.”

Greens environment spokeswoman Sarah Hanson-Young rubbished speculation a deal with Labor was imminent, stressing that although talks were underway the parties were “nowhere near any type of final deal or offer”.

Prime Minister Anthony Albanese is understood to prefer a deal with the Coalition and has offered to strip the EPA of decision-making powers to get Peter Dutton over the line.

Miners are lobbying the Opposition to accept the offer, which industry considers the “least worst outcome”.

The Nightly understands a deal with either the Coalition or the Greens and crossbench is still some way off and there was next to no prospect of a vote on Thursday even if it was brought on for debate.

The Minister said she hoped the laws could pass through unchanged but accepted concessions would have to be made.

“We are in talks with the Greens political party, with the crossbench, with the Liberals, with the Nationals,” she told Sky News.

“I’d like to see the laws, as they are, passed through the Senate, but I’m a realist.

“I’ve said all along, it’s likely that we’ll need compromise and common sense.

“If there are sensible amendments that are proposed by the Liberals or Nationals or the Greens or the crossbench, we are prepared to look at those sensible amendments in order to get the laws passed.”

Shadow environment minister Jonno Duniam said Ms Plibersek and Mr Albanese were clearly at odds over the legislation.

“There is clearly a conflict within the Government when you have the Prime Minister spruiking a compliance-only model EPA as brokered by the Coalition, and an Environment Minister willing to do a deal with the Greens to implement a climate trigger that would all but wreck the WA economy,” Senator Duniam said.

“These are at opposite ends of the spectrum and illustrate the spineless nature of the Albanese Government which would prefer to do a deal just for the politics, rather than taking into account the effect of a climate trigger on the job-creators of WA and the rest of the country.”

Labor sources said the EPA was only bumped on Thursday because the Government wanted to prioritise the Future Made in Australia laws, which also face resistance from the Coalition and the Greens.