Media release – Jeremy Rockliff, Premier, Minister for State Development, Trade and the Antarctic, Minister for Tourism and Hospitality, Minister for Mental Health and Wellbeing, Member for Braddon; Nick Duigan, Minister for Energy and Renewables, Minister for Parks and Heritage, Minister for Small Business, Liberal Member for Windermere, 25 February 2024

Making The Hydro A True Economic Enabler For Tasmania

A re-elected majority Liberal Government will tear up and rewrite Hydro’s existing Ministerial Charter to ensure that the Hydro firmly puts Tasmanian prices and Tasmanian jobs first.

“Under our 2030 Strong Plan for Tasmania’s Future, a re-elected majority Rockliff Liberal Government will once again make the Hydro a true economic enabler for our state,” Premier Jeremy Rockliff said.

“Today we have announced a supercharged Hydro Renewable Energy Dividend to deliver $250 to every Tasmanian and $300 to around 35,000 small businesses.

“As part of our 2030 Strong Plan for Tasmania’s Future I’m also announcing that my Government will take the next step to securing Tasmanian energy prices and Tasmanian jobs.

“We will tear-up the existing Labor-Green Hydro Charter that prioritises energy export, and instead issue a new directive that firmly puts Tasmanian prices and Tasmanian jobs first, ahead of exporting energy to Victoria.

“Over the past century, Hydro has been the cornerstone of Tasmania’s economic strength, driving the economy, investment and jobs.

“But, in recent years Hydro has drifted from its foundational principles with the emergence of the National Electricity Market, Basslink and the growth of decarbonisation.

“Under our new Charter, the Hydro will return to its rightful place as a Tasmanian economic Powerhouse with Tasmania First foundational principles.

“Our new Hydro charter will ensure that every single decision that Hydro makes is driven by delivering the lowest possible power prices for Tasmanians, and enabling economic growth and job creation right here in Tasmania.”

Hydro’s current charter was implemented by the Labor-Green Government in 2012, and it states:

  • 2.1 Principal Purpose: The principal purpose of Hydro Tasmania is to efficiently generate, trade and sell electricity in the National Electricity Market.

A re-elected majority Liberal Government will tear up this Charter and replace it with:

  • 2.1 Principal Purpose: The principal purpose of Hydro Tasmania is to provide the lowest possible power prices for Tasmanians; and to enable economic growth and job creation in Tasmania.

Minister for Energy and Renewables, Nick Duigan, said the new Hydro Ministerial Charter would benefit every Tasmanian.

“During the last century, Hydro was a powerhouse that attracted the likes of Bell Bay Aluminium and Nyrstar to set up here on the promise of reliable, cheap and plentiful power,” Minister Duigan said.

“But, like always, the Labor-Green Government failed Tasmanians and in 2012 the then Minister and now Prosser Labor candidate Bryan Green signed a Hydro charter that squarely put Victorians before Tasmanians.

“Our new Charter will return Hydro to its Foundational Principles of putting Tasmania first, it will again attract business to Tasmania, creating jobs and all the economic benefits that come with that.

“Under our Government, we have delivered the lowest regulated electricity prices in Australia. Under Labor, power prices increased 65 per cent.

“Our 2030 Strong Plan for Tasmania’s Future will ensure that power prices are always lower under a majority Liberal Government.”

Real Electricity Price Relief Right Now, Under Our 2030 Strong Plan

A re-elected majority Liberal Government will deliver an immediate $250 to the hip-pockets of Tasmanians, and $300 for small business as part of our new supercharged Renewable Energy Dividend.

“Our 2030 Strong Plan for Tasmania’s Future is all about taking action now on the issues affecting Tasmanians most, and the most important of those is cost of living,” Premier Jeremy Rockliff said.

“We are going to supercharge the Renewable Energy Dividend that we introduced last year, to deliver a one-off hip-pocket relief to every Tasmanian household.

“That’s $250 for 254,000 Tasmanian households, and it’s going to be credited to their electricity accounts before the end of this financial year.

“We will also deliver the supercharged dividend to the small businesses that keep our economy ticking, with $300 for 35,000 small businesses.

“Hydro was built by Tasmanians, for Tasmanians, and the beauty of the Renewable Energy Dividend is that all Tasmanians get to share in its profits.”

Energy Minister Nick Duigan said Hydro has a strong track record of being a successful business that has delivered strong dividends for Tasmania.

“The economic regulator has confirmed that we have the lowest regulated electricity prices in the nation, under Labor prices went up 65 per cent,” Minister Duigan said.

“But we know that so many Tasmanians are still doing it tough, and we need to do more.

“Under our existing Renewable Energy Dividend, every year that Hydro returns a dividend in excess of $90 million, Tasmanians directly share in it – with the balance used to help fund essential services such as health and education.

“Currently, Hydro’s dividend of $105 million to be paid this year means that Tasmanians will share in $7.5 million, with a $30 credit on their power bills.

“We’ve taken the decision to make a one-off dividend payment with the supercharged dividend, to deliver action right now on the cost-of-living pressures affecting Tasmanians.

“This means that Tasmanians will receive $250 credited to their electricity account prior to 30 June, thanks to the supercharged Renewable Energy Dividend.”

Treasurer Michael Ferguson said that this was a sensible and affordable dividend, in contrast to the reckless electricity hoax put forward by Labor.

“We have carefully considered and fully costed this dividend, and that’s an important contrast to Labor,” Minister Ferguson said.

“There is no magic money tree.

“We will deliver $250 to every Tasmanian and $300 to small businesses, costing $74 million.

“Yet, Labor is promising more and suggesting it is costing less – $400 to everyone, allegedly costing just $50 million.

“Basic maths tells you that Labor’s figures just don’t add up and is a complete hoax, which simply can’t be afforded without them either cutting essential services such as health, raising taxes.

“Only a re-elected majority Liberal Government will deliver the electricity price relief that Tasmanians need right now, through our 2030 Strong Plan for Tasmania’s Future.”

Rebecca White MP, Labor Leader; Dean Winter MP, Shadow Minister for Energy, 25 February 2024

Taking back Hydro to ensure Tasmanian prices for Tasmanian power

A Tasmanian Labor Government will shift the focus of Hydro to make its number one priority giving Tasmanian households and industry access to an abundance of Tasmanian power, at a Tasmanian price.

This will simultaneously help our economy thrive, and help Tasmanian families with the cost-of-living.

After 10 years of a Liberal government, Tasmanians are paying mainland prices for power, businesses are being turned away because there’s no power available, and major industrials can’t get the power they need to grow.

The Liberals have had 10 years to do something about it. Why have they waited until now to change the current Charter which makes it clear that Hydro’s primary purpose is to make money selling our power to the mainland?

That will end immediately under a Labor Government, with a new Charter shifting Hydro’s focus to work towards the following primary goal:

“To support the long-term growth of the Tasmanian economy by generating enough electricity to supply households, businesses and major industries with the power they need now and into the future, at the lowest price in the nation.”

This will help set the intent of our Tasmania First energy policy to ensure Tasmanians pay Tasmanian prices for Tasmanian power.

Tasmanians built the Hydro and we should be reaping the benefits of more than 100 years of renewable energy.

Labor’s number one priority is the cost of living and, along with our plan to reverse Jeremy Rockliff’s power price rises, cap future increases and scrap unfair charges, directing Hydro to put Tasmanians first will make a major difference to their hip pockets.

The Liberals have had 10 years to help Tasmanians and they have done nothing. It is time for a better future and a Rebecca White Labor Government will ensure Tasmanians pay a Tasmanian price for Tasmanian power.

Liberals’ energy sugar hit too little, too late

As well as being an admission that power prices have gone up by too much on their watch, today’s energy announcement by the Liberals is too little, too late for Tasmanians who have been battered by skyrocketing bills for the past two and half years.

The Liberals have let power prices go up by almost $500 for the average household, and now want to be congratulated for giving half of it back for one year only.

To make things worse, the existing renewable energy dividend was announced on 6 August last year, almost six months ago.  A $30 rebate was promised to be paid in 2023, but it still has not arrived.

Every election the Liberals try this play, and after every election, power prices go up – making the cost-of-living crisis worse.

The lifespan of the Liberals’ sugar hit solution is only four months.

Only Labor’s policy for Tasmanian prices for Tasmanian power will help households, businesses and industry in the long term, by lowering and capping prices.

Tasmanians built the Hydro, so why are we paying mainland prices for mainland power?

Under a Labor government, the Hydro will work for Tasmanians, so we can have Tasmanian prices for Tasmanian power.

Media release – Robert Mallett, CEO of the TSBC, 25 February 2024

Hydro Cash Cow needs to work for the people

‘The announcement today from the Minister for Energy that a significant principal of the Hydro Charter be altered to more clearly state that the principal purpose of Hydro Tasmania is to provide the lowest possible power prices for Tasmanians; and to enable economic growth and job creation in Tasmania’, said Robert Mallett, CEO of the TSBC.

‘Whilst the previous version had some merit, given that of course the entity does need to be operating profitably, the principal owners of the government enterprise (Tasmanians) should be the beneficiaries of the state’s biggest electron factory.

‘The Minister may well have to navigate the murky waters of national competition policy to realise his dream but for every Tasmanian’s sake the effort will be worth it.

‘Tasmania is increasingly becoming a come to place for climate refugees and new business alike and we need to have a unique selling point to get them to stay and develop 21st century enterprises. Sustainable, green and affordable energy generated and sold by a Tasmanian business may just be the hook that lands our future fish.

‘The second good news item today for all Tasmanian energy users is the reinstated one-off renewable energy dividend.

‘The Minister’s intent to keep the first $90Million surplus to go toward funding health, education and housing priorities can not be argued with but there is a limit to which Tasmanian energy consumers should be responsible for super profits generated by the generator. These will be returned after the fact but returned never-the-less.

‘One more piece of this puzzle is the need for the Minister to delay the current investigation by the Economic Regulator in how the current wholesale price of energy is calculated for all Tasmanians on a regulated tariff. No longer must we be dictated to by Victorian prices. We are big kids now and should be able to determine our own appropriate pricing. There needs to be much more independent input before any decision is made.

Editor’s note: Robert Mallett is a former Liberal candidate for Clark (Denison).

Media release – Clean Energy Tasmania, 25 February 2024

CET welcomes Hydro reform, calls for energy debate

Clean Energy Tasmania has welcomed a range of energy policies announced by both major parties today.

Clean Energy Tasmania Chair, Ian Jones, said that it was important for energy policy to be a key part of the election campaign.

“Today’s announcements on power prices and Hydro’s charter are important and we welcome them,” Mr Jones said.

“While we don’t know what the make-up of the next Parliament will be, what we do know is that the next Government of Tasmania will be led by either the Liberals or the Labor Party.

“Therefore, I will be contacting both Labor and the Liberals and offer to facilitate a debate on the key issues facing the renewable energy sector, such as Marinus, transmission projects, wind farms and hydrogen.

“I look forward to hosting a debate early in March so that clean energy proponents in Tasmania can understand what each party stands for and ask questions.

“However, one of the non-negotiables is Marinus Link and CET is asking all parties to back this vital piece of infrastructure for Tasmania.”

Editor’s note: Labor’s Dean Winter has given notice that he is willing to participate in a debate.

Media release – Independent Member for Lyons, John Tucker MP; Independent Member for Bass, Lara Alexander MP, 26 Monday February 2024

Lyons independent, Mr John Tucker and Bass independent, Mrs Lara Alexander said, “The commitment by both major parties to change the Hydro charter to deliver Tasmanian prices for Tasmanian power is welcome, but it doesn’t go far enough.

“We need to get rid of the $100 million hidden tax that has been driving up power bills for years, worsening the cost-of-living crisis.

“Our demands to put Tasmanians first were flatly rejected by the Government during the previous Parliament and that was a big factor in our decision to leave the Rockliff Liberal Party.

“For the Rockliff Liberals this change represents a political dead-beat conversion. It is remarkable what imminent political mortality can do for party focus,” Mrs Alexander said.

However, neither the Rockliff Liberals nor the Labor policy goes far enough.

“Shifting the focus from trading in the national market to putting Tasmanians first should fix the issues from the Hydro end. But the biggest problem for rising power bills has not been Hydro. It has been the aggressive taxation of the Rockliff Government, using Hydro as a cash cow,” Mr Tucker said.

“In the past two years we’ve seen prices rise by 21.5% as the Government deliberately drove up power prices in a tax grab by Treasury to the tune of a $100 million. This needs to stop,” Mrs Alexander said.

“Tasmanians have built Hydro over the past 100 years, and we need to ensure Tasmanians benefit from the hard work of successive generations. power prices must be set at the break even cost of production… This is what we believe and support,” Mrs Tucker and Mrs Alexander said.