PM warns of nuclear energy, ‘catastrophic’ impacts of China war

Mr Albanese headlined the Sky News – The Australian annual forum hosted by AM Agenda anchor Laura Jayes and delivered a keynote address before sitting down with Sky News Political Editor Andrew Clennell.

The Prime Minister took the opportunity of major address to reignite momentum around his government’s Future Made in Australia Act, while issuing broadside on the Coalition’s expected announcement on a nuclear energy policy.

Opposition Leader Peter Dutton and shadow energy minister Ted O’Brien will unveil the Coalition’s policy ahead of the election which is believed to involve the repurposing of retired coal-fired power plants for nuclear energy.

But Mr Albanese argued it would send Australia down a 15 year “rabbit hole” and waste valuable time better spent building an internationally competitive renewable energy industry.

He said Australia had the competitive advantage through its “abundance” of rare earth and critical minerals to capitalise on the global de-industrialisation and transition to net zero.

“Catering to new and growing global demand for our resources and converting the global imperative to cut emissions into a national source of comparative advantage,” he said during his address.

When speaking to Clennell, he synthesised the choice down to how Australia could compete on the international stage.

“We have a range of advantages… we have the lot, we have all the critical minerals,” he said.

“People will look for how does manufacturing occur? Green hydrogen. The advantage we have is space … We can produce, through green hydrogen … green metals because of the space we have.

“We have a comparative advantage in this country if we just had the ticker to seize it rather than be frightened of it.

“We don’t have a comparative advantage when it comes to nuclear, we have a disadvantage because we don’t have an industry and it would be more than a decade and a half before anything could happen.”

The PM’s comments drew the ire of the Coalition leader on Friday when he labelled the government’s strategy to transition to net-zero a “fantasy”.

“We need to, as we decarbonise, have a credible pathway to reducing those emissions,” Mr Dutton said.

“We can’t have a situation where the Prime Minister says ‘we’re not going to have gas, we’re not going to have coal, and we’re not going to have nuclear’, but somehow the lights are going to stay on and prices will come down. It’s just fantasy.”

Alongside the prospect of nuclear energy, the Prime Minister was also asked about the threat a war in the Pacific posed to Australia and its economic future.

He said the war in the Middle East and Russia’s invasion of Ukraine, which drove up global inflation and created humanitarian disaster, have proven a conflict involving China would be “catastrophic”.

“The consequences of war are catastrophic,” the PM said.

“We see that with Russia and Ukraine. We spoke about the economy and what’s happened. Global inflation. The impact of the Russian invasion of Ukraine has been catastrophic for Europe and for the globe.

“We see it in the Middle East.

“The consequences that are there for humanitarian concerns, but also the impact for our economy. A conflict in this region, where there is strategic competition, must be avoided.”

Mr Albanese added that engagement with China was critical to ensuring the nations avoid conflict, as he took a swipe at the Coalition’s lack of communication with Australia’s biggest trading partner during their time in office.

“The breakdown where you had not a single phone call from an Australian minister, no engagement whatsoever … with our major trading partner in the term before I became Prime Minister is not a good situation,” he said.

Touching on domestic issues again, the PM gave his pitch to the Australian public on why they should re-elect Labor at the next election.

When asked why the Albanese government should return for a second term, the PM told Mr Clennell: “Because we’ve been an effective government. Because we’ve delivered a stronger economic position than the one we inherited.”

The PM said the way his party has backed up its election promises and delivered “more growth in the regions and the suburbs” should be a factor they consider at the polls.

“I got elected on a platform of not leaving people behind and not holding people back. We’re doing that by looking after people – the increase that we’ve had in job seeker… rent assistance… the increased in support that we’ve had for people in need,” he said.

But while the PM was confident in himself going into the next election, he avoided a question on what he would do if Labor lost the next election.

Mr Albanese told Mr Clennell he was enjoying the job and being Prime Minister was not the be-all and end-all for his political ambitions.

“I am enjoying the job and I don’t take anything for granted. I didn’t go into parliament to be the Prime Minister. I cherish every single day the honour that I have – and it is an incredible privilege,” he said adding his desire to focus on doing the job at hand rather than worrying about a possible election loss.

“I’m not worried about what happens. I’m worried about doing the right thing and doing the best job that I can. And I’ll continue to do to it for a period of time,” he told Sky News.

Mr Albanese’s keynote speech and discussion with Mr Clennell came alongside talks with economic leaders across the country.

Deputy Governor of the Reserve Bank of Australia Andrew Hauser sat down with Sky News’ Ross Greenwood while an array of the nation’s business leaders gave their insights on hot button issues impacting the corporate world.

Country Manager at Amazon Australia Janet Menzies, CEO of Minerals Council Australia Tania Constable, CEO Crown Resorts Ciarán Carruthers and Uber Managing Director Emma Foley discussed the government’s Future Made in Australia Act and the challenges of hitting net zero.