Secret report reveals how Nature Positive laws could impact electricity prices and housing costs

A secret report has laid bare the potential impact of the Albanese Government’s Nature Positive laws, with industry warning electricity prices and housing costs could skyrocket.

The Nightly has viewed a report commissioned by the Chamber of Commerce and Industry WA, as east coast Labor backbenchers push for the Senate to pass laws that Premier Roger Cook has labelled a “threat to WA jobs”.

The report by economic modelling firm ACIL Allen spelled out industry concerns that the proposed model for a national Environmental Protection Authority will increase the “cost and complexity” of renewable energy projects.

It tested a “blanket 12-month delay to all new generation capacity”, finding WA’s wholesale electricity prices would surge 38 per cent, capacity would fall 2.6 per cent and coal-fired power generation would increase 244 per cent.

“A delay in new generation project connections in the WEM (wholesale electricity market) will result in a material delay to the decarbonisation of electricity production,” the report said.

“This will result in an increase in carbon emissions. ACIL Allen estimates over the period 2025 to 2035 emissions from the WEM would be 8.3 million tonnes higher.”

The report also warned the legislation would bring additional red tape that could affect residential dwelling.

In Perth’s north, for example, the report estimated residential lots would increase in cost by up to 10.6 per cent.

“The reforms could reduce the available number of lots for residential dwellings by 36,223 lots or 25 per cent,” the report said.

It was this week revealed the contentious legislation had been resuscitated and is due to be debated in the Senate next week,.

Environment Minister Tanya Plibersek has been lobbying industry to support the bill after the Prime Minister torpedoed a deal she struck with the Greens in November.

CCIWA WA said the report was commissioned to analyse the “whole of economy” impact.

“The report was designed to build an evidence base to drive a public policy outcome that is better for the environment and better for business,” CCIWA chief economist Aaron Morey said.

“The report’s findings are in line with the deep concerns regarding protracted assessment time frames, which deliver for neither the environment nor business.”

Liberal Senator Michaelia Cash demanded the report be released in full.

“We’ve always known that the nature positive laws are a devastating blow to WA’s mining industry but there is now credible information that the effects of these laws could directly impact residential land developments and the energy market,” she said.

“The details of any such information should be released publicly so Australians can make up their own minds.

“It is quite clear this sneaky Government is hiding the true effects of these laws.”

On Friday, Mr Cook maintained his position vowing to “stand up for WA jobs”. He said he was confident the Prime Minister would heed WA’s concerns.

“I’ve sought and always received assurances from the Prime Minister that he’ll stand up for WA,” he said.

“The only way these laws can come on for a vote is if Peter Dutton and the Greens combine their numbers to bring it on for a vote.

Ms Plibersek this week urged the Senate to pass the bill, which has been listed for debate next Thursday as Labor’s Environment Action Network lobbied for it to be treated with “urgency”.

Industry has pushed back against the bill’s revival, with the Business Council urging the Government to shelve it.

“These bills only represent a small part of the EPBC Act reform recommended by Professor Samuel and the full body of reform he recommended is complex and shouldn’t be rushed,” chief executive Bran Black said.

“We therefore urge the Government to shelve this legislation until after the election and then work with all stakeholders to undertake holistic reforms.”

The Minerals Council of Australia said it was still firmly opposed to the bill in its current form.

“We urge the Federal Government to go back to the drawing board and avoid rushing through legislation on the eve of an election, especially when it risks a host of unintended consequences,” CEO Tania Constable said.