PM Malcolm Turnbull has lost his courage on climate change, says Bernie Fraser

Extract from The Sydney Morning Herald

Date: September 23, 2015 - 10:27AM

Nicole Hasham

Environment and immigration correspondent

Prime Minister Malcolm Turnbull's "courage has deserted him" on climate action, respected former government adviser Bernie Fraser says, predicting the federal Coalition's policies will fail to meet even modest targets to reduce greenhouse gas emissions.

The criticism comes as Senator David Leyonhjelm signalled a crossbench revolt if the Coalition, whose attitude to renewable energy has become more favourable since the leadership change, reneges on a move to ban government investment in wind and household solar.

Mr Fraser, an ex-Treasury head and former Reserve Bank governor, resigned as chairman of the government's Climate Change Authority this month, two years before his tenure was due to end.

Bernie Fraser resigned this month as head of the Climate Change Authority. Photo: Josh Robenstone

Believed to have had a fractious relationship with the Abbott government, he said on Tuesday that Mr Turnbull's climate action rhetoric was disappointing.

"He is just sticking with the status quo ... It's a pity his courage deserted him," Mr Fraser said, adding the party's hardliners were "causing [Mr Turnbull] to back away from what was a pretty strong position earlier on".

Mr Turnbull assured Liberal conservatives before the leadership ballot that he would toe the party line on climate change action. He has since defended the government's Direct Action policy, and its greenhouse gas reduction target of 26 to 28 per cent by 2030, based on 2005 levels.

Prime Minister Malcolm Turnbull said in June public servants were becoming 'mail boxes for sending out tenders and then receiving the reports and paying for them'. Photo: Andrew Meares

As opposition leader in 2009, Mr Turnbull fought for an emissions trading scheme, a stance that famously lost him the party leadership.

He has also previously described the Coalition's emissions reduction fund, which pays companies to cut their pollution, as a "very expensive charge on the budget". However, last week he told Parliament "the government's policy on climate is right".

The Climate Change Authority, an independent body set up by Labor, wanted the government to pursue far deeper emissions cuts.

Senator David Leyonhjelm signalled a crossbench revolt if the Coalition reneges on a move to ban government investment in wind and household solar.

The centrepiece of Direct Action, the emissions reduction fund, pays companies to cut their pollution. But Mr Fraser said the government "haven't really got any comprehensive set of policies to deliver even on that modest target".

"Direct Action has a very heavy budgetary impost and … the budgetary consequences of that are not reliable or sustainable," he said.

The Climate Change Authority is due to release a draft report on emissions trading schemes by November 30.

Mr Fraser predicted it would show such schemes were the best way, operationally and economically, to cut greenhouse pollution.

Labor has announced plans to implement an emissions trading scheme if it wins power.

There has been speculation that a Turnbull-led government could tweak the Direct Action plan towards an emissions trading scheme, or put a stronger cap on industry emissions and enact new pollution standards for coal-fired power plants.

Mr Fraser said Australians must be "active players in the future and not looking backwards all the time, which the previous prime minister was inclined to do".

The office of Mr Turnbull has been contacted for comment.

The Turnbull government has indicated a new attitude to renewable energy, and it is unclear if it will pursue a draft directive to the Clean Energy Finance Corporation to ban investment in wind energy and household solar projects.

Senator Leyonhjelm, who is opposed to wind power, said a government deal with crossbenchers in June meant efforts would be directed towards "emerging" renewable technologies, rather than wind and small-scale solar.

"If the government were to renege on its commitment, this would not bode well for crossbench support for further government initiatives," he said.

Independent senator John Madigan said he was working closely with Environment Minister Greg Hunt and others to implement the recommendations of a Senate wind farm inquiry.

"Our discussions have been constructive to date and I anticipate this will continue," he said.

Greens MP Adam Bandt wrote to the government on Monday saying the draft directive to the CEFC hinders the corporation's ability to perform and should be dropped.

"The new Treasurer could turbocharge investment in renewables at no cost to the budget, simply by letting the CEFC do its job without interference," he said.

Responsibility for the CEFC and the Australian Renewable Energy Agency has been transferred to Mr Hunt.

This has raised hopes the Coalition no longer intends to abolish them, but a spokeswoman for Mr Hunt said "there has been no change to government policy".