Latest / 360 with Katie Woolf / Katie Woolf spoke with Minister for Energy and Renewables Angus Taylor

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Katie Woolf spoke with Minister for Energy and Renewables Angus Taylor · 360 with Katie Woolf

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  Speaker 1: Minister for Energy and the Missions Reduction, Angus Taylor, was
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  Speaker 1: on Friday out at the Beterloo Basin talking up the
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  Speaker 1: Morrison government's gas fired recovery plan. The Minister joins me
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  Speaker 1: on the line. Now, good morning, Minister Katie.
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  Speaker 2: Thanks for having me.
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  Speaker 1: Now you're at it. Well you're in the Northern Territory
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  Speaker 1: on Friday, but you didn't come and visit us.
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  Speaker 2: Look, I was Friday up but it's great to be
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  Speaker 2: able to talk now. And of course we went out
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  Speaker 2: to the Beloo Basin, so it was fantastic to get
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  Speaker 2: out and see these new gas developments happening there. The
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  Speaker 2: drilling worker's going there, which has been very very positive.
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  Speaker 2: All the indications are this is an extraordinary gas resource
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  Speaker 2: and has the potential to drive enormous job creation and
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  Speaker 2: investment in the territory, and that's what we're excited about,
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  Speaker 2: not just on the gas side, but of course this
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  Speaker 2: is a gas resource that will require processing. It will
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  Speaker 2: require and has the potential to add a lot of
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  Speaker 2: downstream manufacturing and that side of it as well. I
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  Speaker 2: think has enormous potential and we really want to focus
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  Speaker 2: on it in the coming months and years.
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  Speaker 1: Yeah, we certainly keep hearing about the potential of the
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  Speaker 1: be Toloo basin and you know the fact that it
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  Speaker 1: can power Australia for a heck of a lot of years.
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  Speaker 1: How exactly though, are we going to really be able
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  Speaker 1: to capitalize on this? And you know, for the territory
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  Speaker 1: to be able to prosper well, the key.
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  Speaker 2: Is to get the drilling done as quickly as possible.
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  Speaker 2: That's happening now. So the good news is this is real.
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  Speaker 2: We're getting real drilling results and they're extremely positive. We
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  Speaker 2: know from similar resources we've seen in the United States.
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  Speaker 2: They've transformed the United States economy in an extraordinary way,
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  Speaker 2: and that's an economy of two hundred and fifty million.
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  Speaker 2: The Norton territories in economy of a couple hundred thousand,
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  Speaker 2: So you can see the potential there. But the key
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  Speaker 2: then is to move to production. We've got to make
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  Speaker 2: sure that all the appropriate regulatory approvals are achieved through
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  Speaker 2: that process. But we're also going to need investment in
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  Speaker 2: infrastructure and downstream processing and we're focusing on that right now.
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  Speaker 2: We've announced a whole series of reforms in the gas
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  Speaker 2: markets in Australia, including for the first time having a
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  Speaker 2: national gas infrastructure plan, which is all about the pipelines.
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  Speaker 2: That's all going to be part of it. And then
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  Speaker 2: we need the downstream manufacturing and of course that has
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  Speaker 2: been a big focus of the budget and government announcements
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  Speaker 2: in recent months as well. So, you know, the timing
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  Speaker 2: is good. This is a very receptive federal government in
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  Speaker 2: terms of getting these sorts of resources up and in
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  Speaker 2: terms of the policies required. And we want to see
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  Speaker 2: job creation and we want to see a booming territory
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  Speaker 2: economy in the coming years.
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  Speaker 1: Now, when we talk about the infrastructure and also the manufacturing,
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  Speaker 1: that downstream manufacturing, how are we expect you know, are
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  Speaker 1: we sort of thinking here that it's going to be
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  Speaker 1: private investment that drives this or is there going to
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  Speaker 1: be a push from the federal government and funding provided
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  Speaker 1: in order to make this happen.
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  Speaker 2: Wow has always been our preference is for the private
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  Speaker 2: sector to invest necessary, we'll step in now. The good
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  Speaker 2: news is I think that these resources are looking so
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  Speaker 2: strong and the early results are so good. If it
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  Speaker 2: keeps moving in that direction, there will be an enormous
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  Speaker 2: interest from the private sector. There will be a role
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  Speaker 2: for government to play there's no question about that. Pipeline
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  Speaker 2: planning for instance, is it very important role for government
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  Speaker 2: And you know I was involved before politics and some
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  Speaker 2: of the work early work on the Northern gas pipeline
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  Speaker 2: which is there in place now, but there'll need to
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  Speaker 2: be more of that and that is an important role
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  Speaker 2: for government. But you know, we will play the role
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  Speaker 2: we need to as a little as we need to,
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  Speaker 2: but as much as we have to to make sure
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  Speaker 2: these extraordinary opportunities are realized and that the Northern Territory
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  Speaker 2: makes the most out of it.
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  Speaker 1: Now, when you talk about that pipeline planning, where are
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  Speaker 1: things that and you know with the b to Loo basin,
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  Speaker 1: where is it expected that that gas is going to
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  Speaker 1: flow to.
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  Speaker 2: There's a number of options. We're right now doing the
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  Speaker 2: work on what we're calling the National Gas Infrastructure, which
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  Speaker 2: is working out where the missing pipelines are that will
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  Speaker 2: need to be built in the coming years to leverage
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  Speaker 2: to make the most of these resources and to build
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  Speaker 2: customer hubs manufacturing operations in the appropriate places around Australia.
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  Speaker 2: That work is moving at pace. We've never had a
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  Speaker 2: plan for our gas network before. This will be the
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  Speaker 2: first time and my Department is leading that work as
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  Speaker 2: we speak, and that will be more than timely or
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  Speaker 2: one in time for any kind of production that will
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  Speaker 2: come from the bea Toloo, but it is important work. Now.
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  Speaker 2: There's a number of options for where the Beeloo gas
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  Speaker 2: would go. It can go over to the East Coast.
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  Speaker 2: It can potentially go up through Darwen to processing in
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  Speaker 2: Darwen and export in Dowen, and it can go south
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  Speaker 2: as well. There are all the options we're exploring right now.
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  Speaker 1: When you talk about then you know, the way that
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  Speaker 1: our gas in the be Toloo is able to sort
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  Speaker 1: of form part of you know of the energy plan
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  Speaker 1: for all of Australia. And then you talk about the manufacturing,
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  Speaker 1: how does an Northern territory like how are we going
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  Speaker 1: to compete with some of these other states like Wa
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  Speaker 1: for example, and you know, really try to capitalize when
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  Speaker 1: it comes to employment and when it comes to creating jobs,
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  Speaker 1: because we know that very often places like Wa sort
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  Speaker 1: of I don't know whether it's because their approvals processes
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  Speaker 1: are faster or why exactly, companies very often choose to
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  Speaker 1: do business in other states. I mean, how do you
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  Speaker 1: think that the Northern Territory can really sort of try
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  Speaker 1: to make the most of this opportunity.
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  Speaker 2: Well, it's a couple of points I've made. You are
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  Speaker 2: right that westin Australia's approval processes, for instance, are very effective.
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  Speaker 2: I've been doing it for a long while. There are
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  Speaker 2: a resource state. I think the territory can actually achieve
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  Speaker 2: those sorts of outcomes though, and I know there's a
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  Speaker 2: real commitment to make sure the approval process is a
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  Speaker 2: world class in the territory. But the second part I'd
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  Speaker 2: make is that the nature of this resource, the geological
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  Speaker 2: features this resource are unrivaled almost anywhere, not just in
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  Speaker 2: Australia but in the world. That it is a very
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  Speaker 2: very special resource. And that's partly because it has both
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  Speaker 2: oil and gas liquids as it's called as they're called,
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  Speaker 2: as well as gas, and that makes it very low
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  Speaker 2: cost and extremely attractive. So it means that attracting the investment,
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  Speaker 2: attracting the capability, attracting the companies, and having an incentive
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  Speaker 2: to get through approval processes, work with the local traditional
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  Speaker 2: owners and of course the pastoral less all of that
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  Speaker 2: is much easier if it's a very high quality resource.
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  Speaker 2: We've seen that elsewhere and that's certainly the case here
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  Speaker 2: in the territory. But I spoke with the new minister
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  Speaker 2: and new government, and I know that Prime Minister spoke
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  Speaker 2: with the Chief Minister on Friday. There's clearly a commitment
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  Speaker 2: to get moving on this. There's a lot of work
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  Speaker 2: to be done, but I do think the territory is
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  Speaker 2: extremely well positioned.
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  Speaker 1: And you spoke about them different manufacturing hubs and the
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  Speaker 1: various locations where they could be positioned around Australia, and
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  Speaker 1: you did mention the Northern Territory. What would it take
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  Speaker 1: really for the territory to become a manufacturing hub.
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  Speaker 2: Well, there has to be the will, but there also
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  Speaker 2: has to be the supporting policy and the supporting resources.
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  Speaker 2: We think the supporting resources are there. If these drilling
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  Speaker 2: results continue to prove up. Certainly, I think there's increasing
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  Speaker 2: wills and certainly from the federal government, but I think
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  Speaker 2: also from the territory government to start to build those
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  Speaker 2: manufacturing opportunities. And I think with those resources we'll see
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  Speaker 2: the investment. So you know, the pieces are coming into
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  Speaker 2: place here. We've all been we've all been backing the
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  Speaker 2: territory to build a very strong economy in recent years.
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  Speaker 2: I've been involved in agriculture and the mining industry in
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  Speaker 2: my past life, and territory has always been a great opportunity.
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  Speaker 2: Now the challenge is to convert to make that opportunity,
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  Speaker 2: that potential real. And I've got to tell you these
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  Speaker 2: resources we're seeing now, what I saw in the territory
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  Speaker 2: last week tells me that they're very real and we
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  Speaker 2: can deliver. Minister.
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  Speaker 1: At the back of my mind, whenever we talk about gas,
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  Speaker 1: I'm very aware that there are people that would be
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  Speaker 1: listening to the show that are thinking, why aren't we
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  Speaker 1: going down the renewables path and why aren't we doing
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  Speaker 1: more around solar. I know though that here in the
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  Speaker 1: territory we are sort of we're doing various things when
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  Speaker 1: it comes to solar. You know, from the federal government's perspective,
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  Speaker 1: is that a path that you're also wanting to go
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  Speaker 1: down in the territory.
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  Speaker 2: Well, it's not either or it's the end. It's both.
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  Speaker 2: So we as a country had nine billion dollars of
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  Speaker 2: investment in solar and wind last year twenty nineteen. We
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  Speaker 2: expected to be about the same number this year. That's
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  Speaker 2: absolutely world leading investment in solar and wind, but that
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  Speaker 2: needs to be backed up. When the sun goes down,
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  Speaker 2: when the wind doesn't blow, you've still got to have energy.
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  Speaker 2: You need gas for industrial feedstock for critical goods like manufacturing,
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  Speaker 2: manufacturing plastics and fertilizer. And it's the combination of the
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  Speaker 2: dispatchable energy source in gas with renewables that really works.
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  Speaker 2: That's what we want to see. That's what we're starting
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  Speaker 2: to see. But we need to have the gas and
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  Speaker 2: that's why we've focused in the budget and the lead
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  Speaker 2: up to the budget on unlocking supply, getting the right
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  Speaker 2: infrastructure in place, making sure gas customers are getting a
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  Speaker 2: fair deal, that we've got Australian Gas working for Australians,
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  Speaker 2: and all of those pieces are going into place to
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  Speaker 2: ensure that we get the right balance in our energy
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  Speaker 2: system and that includes solar and wind.
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  Speaker 1: Mesty, you sound pretty excited by what you've seen at
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  Speaker 1: the be Toloo basin late last week.
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  Speaker 2: Yeah. Absolutely. Look, as I say, I've believed in the
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  Speaker 2: territory for a long while. I think many of us
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  Speaker 2: have felt that it hasn't realized its full potential, even
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  Speaker 2: though there's brilliant people there and fantastic businesses. But this
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  Speaker 2: is like nothing I've seen before. I've seen what it's
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  Speaker 2: done in the United States, particularly in the Southeast, in
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  Speaker 2: states like Texas and Louisiana, and I think we can
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  Speaker 2: see the same kind of outcome here in the territory.
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  Speaker 2: And I think that will that will be good for
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  Speaker 2: jobs and investment, the economy, for people's standard of living,
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  Speaker 2: and I think that would be a very good thing,
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  Speaker 2: not just not just for the territory, but for all
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  Speaker 2: of Australia well.
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  Speaker 1: Angus Taylor, the Minister for Energy and Emissions Reduction, always
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  Speaker 1: appreciate your time. Thanks so much for having a chat
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  Speaker 1: with us today.
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  Speaker 2: Thanks for having me. Thank you