Energy Networks Australia releases election 'wish list'

In the lead-up to Australia’s federal election, Energy Networks Australia (ENA) is advocating for six critical Commonwealth policy measures that are intended to ensure a reliable, affordable and low-emissions energy future for the nation.

One of the key recommendations ENA makes in its paper, ‘Powering our Future: Six Commonwealth election commitments for a stronger Australia’, is the removal of capital gains tax (CGT) on compensation payments to landholders hosting essential transmission infrastructure.

ENA and transmission member CEOs have issued a joint letter to the Prime Minister and Leader of the Opposition, urging them to consider the matter as part of their election commitments.

“These are once-in-a-century, nation-building projects — but we’re applying a one-size-fits-all tax that was never designed with this in mind,” said Energy Networks Australia CEO Dom van den Berg.

“The fair solution would be applying an exemption to CGT for landowners who receive compensation for land and easements. We need logic and common-sense approaches to deliver these projects, not catch-all taxes that slow us down and short-change landowners.”

The six recommendations in the Powering our Future paper are as follows:

1. Power the transition through transmission: secure the future of the Rewiring the Nation fund to fast-track critical infrastructure projects.
2. Give landholders a fair deal at tax time: exempt landholder compensation payments from CGT.
3. Get street smart: accelerate electric vehicle charging that’s accessible to everyone; enable networks to install EV chargers on power poles for faster and cheaper kerbside charging.
4. Soak up surplus solar and lower costs for all customers: introduce a waiver for networks to roll out larger grid-connected batteries. (Currently, networks wanting to deliver storage in partnership with private third party companies must go through a slow, case-by-case waiver process.)
5. Secure the critical role of gas in the whole energy system: modernise market frameworks to support investment in gas peaking and long-duration storage.
6. Make renewable gas for industry a reality: introduce a national renewable gas target for industry.

“Australia’s energy transition is at a crucial juncture. The decisions made by the next Commonwealth government will shape our energy future for decades to come. We urge all parties to consider our recommendations and commit to building a stronger, more sustainable energy system for all Australians,” Van den Berg said.

The full Powering our Future paper can be read here.

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