Key facts
- Labor MP Ed Husic criticized his party's culture, calling it "allergic" to dissent.
- Husic broke ranks at the Labor party conference, supporting a gas export tax and increased criticism of Israel's actions in Gaza.
- The conference agreed to reform fuel subsidies for mining companies, a move projected to cost the budget $47 billion over four years.
- Prime Minister Anthony Albanese rejected the idea of a new gas export tax in the near future.
- A proposal to remove tax "disincentives" to an "orderly" energy transition gained support.
Labor MP Ed Husic has criticized his party's culture, stating it has become "allergic" to dissent and dispute, warning that the unity displayed at its national conference could be detrimental. Husic broke ranks with the government on the opening day of the Labor party's 50th conference to advocate for a gas export tax, endorse Indigenous truth-telling, and call for stronger criticism of Israel's conduct in Gaza.
Prime Minister Anthony Albanese, in his opening speech, emphasized the party's unity as a contrast to political opponents, stating, "We choose progress over protest. We choose purpose over chaos. We choose unity over division." Meanwhile, the conference approved a move to wind back fuel subsidies for large mining companies, a decision that could lead to conflict with the resources sector. The delegates also agreed on securing a "fairer return" from Australia's natural resources, though Albanese has indicated this will not translate into a new gas export tax in the immediate future.
The Labor Environment Action Network (LEAN) successfully amended the party's policy platform to remove tax "disincentives" to an "orderly" energy transition. This proposal, supported by over 350 Labor branches, unions, and climate campaigners, aims to cap the diesel fuel tax credit for mining companies, which is seen as a barrier to decarbonization. Treasury forecasts the scheme will cost the budget $47 billion over the next four years, with over $1 billion annually going to coal mine operators. Federal MPs Jerome Laxale, Sally Sitou, and Ged Kearney publicly supported LEAN's amendment.
Senior ministers had previously considered reforming these tax credits, but the ongoing Middle East conflict and subsequent global oil market uncertainty have made the government hesitant to act. However, the platform amendment is expected to increase pressure on the government to eventually address the issue. The mining industry, particularly through the Minerals Council of Australia, is expected to fiercely resist any changes to the subsidies. Resources Minister Madeleine King is also a known supporter of the current scheme.
Husic, a proponent of increased taxation on gas exports, urged the government to demonstrate "steel in its spine" by adopting a policy he believes is in the nation's long-term interest and reflects public sentiment of being "ripped off."