This is the question posed this week by 350 Eurobodalla, a local climate action group which voices the climate and energy concerns of many residents of Eurobodalla Shire.
Secretary Allan Rees pointed out that all the gas, coal, oil and other minerals in Australia are “vested in the Crown, that is they are owned by Australians through our state governments".
"Companies that mine or drill are given licences to access our resources and charged royalties. It’s no surprise that the gas companies don’t want any limits on the prices they charge or their profits."
Rees said “the hysteria about the Albanese government’s modest price cap, which is above pre-Ukraine war levels is ridiculous. Energy Minister Chris Bowen said that the average price for gas last year was $9.20 a gigajoule, well below the limit of $12 the government is setting."
"The coal and gas companies were making good profits on the prices they got before Putin invaded Ukraine. The war has led to world-wide profiteering by fossil fuel companies as many countries boycotted Russian gas and coal."
“The idea that more supply of gas in Australia would bring down prices is absurd because the gas companies want to charge Australians almost the same prices they are getting in the world market. Gas companies claim that any limit on gas prices would stop exploration for new gas wells, which is exactly what 350 Eurobodalla wants".
"We don’t want any new fossil fuel projects, we want a rapid and just transition to renewable energy,” Rees said.
"Queensland has put higher royalties on coal exports up to 40% when the price exceeds $300 per tonne. NSW could do this too. The federal government could also increase the Petroleum Resources Rent Tax to tax some of the gas companies windfall profits."
“350 Eurobodalla supports a Super Profits Tax on fossil fuel exports and an increase in the Petroleum Resources Rent Tax. Although the federal government is unwilling to introduce these two measures at the moment, the government proposes a cap on the price charged to Australian consumers and industry for gas drilled in Australia".
"350 Eurobodalla hopes that the legislation to impose the cap passes in Parliament because extreme prices for energy will disrupt the transition to a clean energy future and harm low income people and industries that currently rely on gas,” Rees said.
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