The unions, however, were pleased with the passing of the new law.
A recent law to establish a net zero authority in Australia has been approved by the Senate with the backing of Labor and the Greens. Conversely, the Coalition opposed the legislation.
The Net Zero Economy Authority Bill 2024 sets up a new government entity to supervise the transition to a net zero economy in Australia.
According to the legislation, the new authority will be responsible for ensuring that “Australia’s transition to net zero emissions is organized and positive.”
The government entity is expected to incur costs of $57.5 million in the 2025 financial year, followed by $54.1 million in 2026, and $52 million in 2027.
The government stated that the tax-payer-funded authority is aimed at coordinating public and private investment in achieving net zero emissions.
“To achieve this, the authority will undertake various functions, including identifying and advising the government on projects, assisting with regulatory processes, and referring projects to the government for further consideration,” the government explained in its memorandum.
Coalition Expresses Concerns About Bureaucracy
Despite the passage of the bill, the Opposition raised significant concerns.
They argued that the Net Zero Economy Authority is “a long-standing union wishlist item” that presents itself as an authority for the regions and the net zero transition but is “actually another Canberra bureaucracy.”
The Coalition asserted that the net zero authority duplicates the roles of existing entities such as the Clean Energy Finance Corporation and the Australian Renewable Energy Agency.
Furthermore, they raised concerns that the bill “grants unions access to personal information of employees of closing coal and gas-fired power stations, as well as the personal information of employees of businesses in commercial relationships with closing coal and gas-fired power stations.”
The Opposition’s amendments aimed to centralize planning employment opportunities for workers affected by the closure of coal and gas-fired power stations.
Amid the closures, they emphasized that zero-emissions nuclear technology will offer well-paying job opportunities and economic security for generations in rural, regional, and remote communities.
However, the amendment was rejected.
Unions Welcome the Net Zero Authority
On the contrary, unions and social organizations welcomed the legislation.
The Australian Manufacturing Workers Union, which had been advocating for over 12 months for this legislation, expressed their approval on social media.
“After over a year of pushing for this, workers in our energy regions will finally have a voice in shaping their future. This is a huge step towards a net-zero economy & more secure, sustainable jobs.”
The Australian Council of Trade Unions (ACTU) also praised the passing of the legislation, highlighting that it will support energy workers, their families, and their communities as Australia transitions to a “net zero future.”
“The passage of the Bill through the Senate represents the culmination of more than a decade of union movement campaigning for the establishment of a federal authority to support workers and communities to thrive through the clean energy transition,” the ACTU stated.
“The establishment of the Net Zero Economy Authority, led by Reserve Bank Board Member Dr. Iain Ross, will provide a range of new support measures for workers in coal and gas-fired power plants with announced closure dates—including paid retraining, redeployment, and financial assistance.”
Meanwhile, the Australian Council of Social Service (ACOSS) also welcomed the legislation, noting that the Senate had agreed to amendments that include First Nations representation on the board.
Prime Minister Anthony Albanese stated that the passing of the legislation signifies an “important step forward’ in the nation’s successful transformation to a net zero economy.
Climate Change Minister Chris Bowen added, “It will be a one-stop shop for new industries coming to regional Australia to create jobs and investment and for the workers already there to prepare for the jobs of the future.”
