States agree to let energy guarantee go out for consultation, provided Josh Frydenberg gets party room agreement on emissions reductions

The commonwealth and the states have agreed to keep talking on the national energy guarantee – keeping the policy alive – but a final process of determination won’t happen before September, and possibly not for months.
In a partial step back from some of the brinkmanship of the week leading up to Friday’s meeting of the Coag energy council in Sydney, the energy minister Josh Frydenberg and his state and territory counterparts agreed to inch forward on the policy, rather than torpedo it.
The ministers agreed to move to the next stage, and allow legislation required in the states to implement changes to the national energy market rules to go out for a month of consultation – provided Frydenberg emerges with an agreement from his party room colleagues next week on the emissions reduction components of the scheme.
The lack of a firm in-principle agreement from the states makes life more difficult for Frydenberg when he faces his government colleagues next Tuesday. The energy minister is seeking a party room signoff for the emissions reduction component of the scheme and some government colleagues are already posturing in advance of that discussion.
If Frydenberg stares down objections from Tony Abbott and others and gets a green light for the commonwealth elements of the scheme, the required state legislation will go out to stakeholders next week.
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