RICHARD KING: A couple of our cabinet ministers are in Newcastle and the Hunter Valley today. Minister for the Environment Sussan Ley along with Minister for Industry, Energy and Emissions Reduction Angus Taylor are here to make an announcement re the so-called Hunter power project, which is being developed on the former site of the Hydro aluminium works at Kurri Kurri in the lower Hunter Valley. There’s been work going on there if the remediation of that land for some time now. There’s a containment cell. I think there’s a major residential development happening. And there’s also a gas-fired power plant being constructed or due to be constructed. One of the big hurdles you have to overcome are all the environmental checks and balances et cetera. Well, apparently the environmental tick of approval has been given to ensure that the construction can begin. And to make that announcement joining me now is our Energy Minister Angus Taylor, who’s on the line. Good morning, minister.

ANGUS TAYLOR: G’day, Richard, thanks for having me.

RICHARD KING: Nice to have you back in town. You’re sort of heading to our neck of the woods on a regular basis these days?

ANGUS TAYLOR: Yeah, I have been. I mean, I worked up here a fair bit before politics, so it’s nice to be spending time up here and really enjoying it. This project, of course, is now getting fantastic momentum. It’s got the tick of approval for the environmental approvals, and that means we can really get on with it. There’s work already proceeding as we speak, but this is a crucial milestone to be able to get the generator up and running, create the 600 jobs, 1200 indirect jobs and, of course, provide that affordable, reliable power we need as Liddell closes.

RICHARD KING: To get any of these projects up and running, as you said, you have to get all sorts of ticks of approval, one of them being the environmental tick of approval. One of them is community consultation. During the public exhibition period last year I believe 260-odd submissions were made, but only two of those were in favour of the project. I mean, community consultation these days, is it just a tick and you ignore the results of that community consultation?

ANGUS TAYLOR: No, you don’t ignore it at all, but you take seriously those points of view that are put. But, at the end of the day, it’s the job of government to make the trade-offs. Look, the truth is that activists now get involved with all of these projects and try to stop them. That’s the nature of it. We know the Greens today are out saying they’re going to stop every oil, gas and coal project if they end up in coalition with Labor. So we’re starting to understand what that coalition would look like. Meanwhile, we are getting on with the job of a project that is absolutely essential for the affordable, reliable power we need in New South Wales and, indeed, across the east coast, and for the jobs that it will create at a site where we’d previously seen the smelter close, of course. So getting this back going, getting jobs in the area and getting affordable, reliable power is our focus, and that’s all part of why this approval is so important.

RICHARD KING: And how many jobs are we talking about? I mean, a lot of politicians bandy around these figures – thousands of jobs, hundreds of jobs. How many jobs do you think?

ANGUS TAYLOR: Well, there’s the direct jobs, of course, in the generator and building the generator – 600 direct jobs and 1200 indirect. But just as important is the jobs on the customer side of places like Tomago Aluminium, which, of course, the biggest energy user in Australia, if it can’t get access to affordable, reliable power, those jobs go. And there’s many other businesses reliant on that affordable, reliable power across the Hunter and, indeed, in manufacturing right across Australia that we will lose if we don’t contain these costs. Now, we’ve seen what’s gone wrong in Europe and the United States where they’ve lost control of their energy costs right now as we speak because they haven’t stayed focused on the sorts of issues we’re focusing on here. And the consequences are dire for manufacturing. That’s not something we will stand for.

RICHARD KING: Right, you mentioned work has begun on this gas-fired power generator for Kurri Kurri here in the Hunter Valley. You say it’s vital. When can we expect this to be up and running?

ANGUS TAYLOR: 2023 is the date we’re targeting because that’s the closure date of Liddell, and it’s important we have a baton change from Liddell to this generator and another generator down in the Illawarra, gas generator down in the Illawarra being built by Energy Australia. That ensures that we’re going to have a clean baton change and we can contain the cost of electricity. It’s very clear if we didn’t do this the price of electricity would go up.

RICHARD KING: All right. 

ANGUS TAYLOR: And that’s why it’s so crucial.

RICHARD KING: And it will be definitely running on gas when it’s up and running next year?

ANGUS TAYLOR: It will have the capacity to use three different fuel sources: gas, of course, that’s going to be the primary fuel source; diesel under certain circumstances; and also hydrogen. But the cost of hydrogen will have to come down over time for that to be economic. We’re working on that, but that’s got to be realistic.

RICHARD KING: And at this stage where will gas be coming from to power this generator?

ANGUS TAYLOR: From the pipeline which is nearby, and we’ll be creating a gas pipe right to the generator to enable that.

RICHARD KING: Right. In the news BHP has given $10 million to the University of Newcastle for research into decarbonising steel making. There’s obviously a global push to cut emissions. I mean, we don’t make too much steel here in Australia. Could this possibly open the door to Australia becoming once again a big steel manufacturer?

ANGUS TAYLOR: Well, we’ve prioritised clean steel as one of our core technologies in our Technology Investment Roadmap, and our plan for net zero. And it is creating opportunities because it will make more sense for at least part of the steel-making process to occur where the low-cost energy is available, and that’s certainly the case here in Australia. So we’re spending heavily on this amongst a range of other technologies - $21 billion over the coming years – to make sure we’re in a position as Australia to give ourselves the best shot of rebuilding some of these industries that we have lost. Of course, Newcastle was the site of an enormous amount of steel making in the past, and we’d like to see more steel making or at least parts of the steel-making process happening here in Australia.

RICHARD KING: Hear, hear. My guest, federal Energy Minister Angus Taylor, who’s in the Newcastle and Hunter Valley area along with Environment Minister Sussan Ley announcing the environmental tick of approval has been given to that gas-fired generator. Something that’s certainly guaranteed quite a bit of attention this morning is the fact that Bob Carr on Twitter has accused Peter Dutton, our Defence Minister, as being the cabinet minister who leaked the so-called text messages between himself and former New South Wales Premier Gladys Berejiklian. He’s come out and denied it. Do you have any knowledge of who this cabinet minister is or what is?

ANGUS TAYLOR: I haven’t got any interest in it. This is an anonymous text sent years ago in what undoubtedly was a very different context. You know, frankly, I’m focused on the affordable, reliable energy Australians need, on jobs in the Hunter. I mean, they’re the things that really matter to people at the end of the day.

RICHARD KING: All right. Well, as we head to election, obviously, you know, cooperation with your coalition partners the Nationals is absolutely critical. There would appear to be divisions opening up now thanks to Nationals Leader Barnaby Joyce and text that he admits he sent. He’s apologised. He’s handed in his resignation. Do you think that working the Nationals is going to be difficult?

ANGUS TAYLOR: No. I’m a regional MP, and I work with the Nationals every day, and the relationship is an extremely strong one, a very positive one and will continue to be. You know, we are a coalition that understands regional Australia in ways that our opponents never will. We represent the vast majority of regional Australia. We proudly focus on the interests of regional Australia. We understand the needs of regional Australia, and between us – the Libs and the Nats, and we have many regional Liberals, of course, as well as the Nationals – I know that we are the right coalition to represent regional Australia.

RICHARD KING: Well, senior minister and Deputy Nationals Leader David Littleproud has apparently this morning said that there are some Nationals who think that Barnaby Joyce is too close to the Prime Minister. Would you agree with him?

ANGUS TAYLOR: Well, I think they’ve got a very effective working relationship, there’s no doubt about that. I’ve observed that. I mean, I’ve observed the strength of the working relationships between all cabinet members over recent years, and that includes Barnaby. And I think that effectiveness is shown in our ability to get things done in regional areas, like this generator. I mean, we’re making things happen. We just don’t talk about it, we get on with it. And there obviously has to be debate and areas of tension. There always will be. But let me tell you, regional Australia will be a much worse place if we’re not in government.

RICHARD KING: On a lighter note and to finish up, I know you’re a rugby lover, and congratulations to Michael Hooper who, for the fourth time, has won the David Eales medal as Australia’s, well, best and fairest rugby player. But as a hypothetical with reference to Justin Langer, if the Wallabies beat the All Blacks, would you get rid of the coach?

ANGUS TAYLOR: [Laughs] I’m not going to, I’m not going to get into those debates.

RICHARD KING: Oh, come on. Come on.

ANGUS TAYLOR: I love my rugby and I like Australia to win. And I like the Brumbies to win, too, they’re my team. But, anyway, I’m not going to get into those debates.

RICHARD KING: All right. Thanks again for your time this morning, Minister. It will be interesting when Parliament sits this week. Are you expecting any trouble from protestors?

ANGUS TAYLOR: Oh, I don’t know. I assume they’re going to be there. I hear they are. But we’ll get on with the job.

RICHARD KING: You’ll deal with it.

ANGUS TAYLOR: There’s always protestors around. The important thing is we’re focused on the things that matter.

RICHARD KING: Good on you. Thanks for your time. Have a good day.

ANGUS TAYLOR: Thanks, Richard.