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Newcastle Herald
Newcastle Herald
Matthew Kelly

Net Zero Economy Authority remains a work in progress a year on from launch

Launch of the Net Zero Economy Authority at Lake Liddell in May 2023. Picture by Jonathan Carroll.

Legislation to establish the federal government's Net Zero Economy Authority still remains in development 10 months after its launch.

Climate Change and Energy Minister Chris Bowen launched the authority on the shores of Lake Liddell on May 5 last year, a week after the closure of Liddell Power Station.

He said at the time that the authority would apply a "laser-like focus" to the demolition of obstacles to job creation in regions such as the Hunter.

It commenced operating as a government agency on July 1 last year with a budget of $23 million in its first year.

A spokesman for the department of Prime Minister and Cabinet told the Newcastle Herald that the agency had been working on the detailed design of the legislation to establish the Net Zero Economy Authority and the functions and work plan for the future authority, including the chair, board, investment and worker supports.

Former Labor climate change minister and Charlton MP Greg Combet was tasked with chairing the agency in mid-2023.

However, government announced in January that he would take up the role of chair of the Future Fund in mid-2024 following the completion of his term as chair of the Net Zero Authority.

The spokesman said the Net Zero Economy Agency had been actively engaging in regions to understand the net zero transition issues and plans.

"These consultations are building an understanding of challenges and opportunities facing community, workers and business," he said.

"In the Hunter this has included identifying potential transformational projects and engagement with project proponents including Orica and Origin in Newcastle, AGL and the Hunter Energy Hub at Liddell, and Lake Macquarie City Council given the anticipated closure of Eraring Power Station."

Chris Bowen at the Launch of the Net Zero Economy Authority. Picture by Jonathan Carroll.

It was also working with state governments and existing Commonwealth networks within regions to gather and share information.

In NSW the Agency has consulted with several parts of the state government to identify opportunities to ensure an orderly and positive transition in the Hunter, including on the establishment of any future Hunter Transition Authority by the NSW Government.

The Newcastle Herald reported on Monday that the state government has declined to say when its promised Hunter transition authority would start operating or whether it had made significant progress on establishing one.

The state government has budgeted $5.2 million over four years to establish transition authorities in regions affected by the shift to renewables but has yet to set guidelines or funding mechanisms for a Hunter authority or advertise for leadership positions.

Mr Bowen said at the Net Zero Economy Authority's launch that the government would seek to enshrine the authority in legislation to ensure its ongoing existence.

"We want to make sure it's protected so that future governments will have trouble if they want to repeal it. We want it to be the law of the land but we also want it to get up and running," he said.

Mr Combet will address the National Press Club of Australia on April 2 to discuss 'Australia's path to net zero emissions and the role of the Net Zero Economy Authority'.

Mr Combet will outline the economic context and pathway for Australia's economic transformation associated with achieving net zero emissions.

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