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‘Fanciful’ National Energy Guarantee ‘won’t bring prices down’, says Abbott

Government will meet with the states and territories on Friday for the National Energy Guarantee (NEG) showdown.

They must approve the NEG before it goes to the Coalition party room.

Labor states of Victoria and Queensland have issued fresh demands ahead of the meeting, arguing more needs to be done to renewable energy, like wind and solar.

The Prime Minister says Labor will be responsible for higher power prices if it scuttles the National Energy Guarantee.

Former prime minister Tony Abbott tells Ben Fordham he’s “got two problems with the so-called National Energy Guarantee”.

“Number one is that it has to be negotiated with the Labor states and I think our policy should be Liberal National policy.

“Problem number two is that the only thing they guarantee is that emissions will reduce and what I want to see is a policy that will bring prices down.”

Mr Abbott says the modelling is “fanciful” and “won’t bring prices down.”

“As the documentation itself says, renewable energy will increase… every country with high penetration of wind and solar has high power prices.”

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As for the government’s $444-million handout to The Great Barrier Reef Foundation, the former PM says he was “a little surprised”.

“I have no problem with us doing what is absolutely necessary to help ensure the reef is in pristine condition.

“I certainly as prime minister put some significant money into the reef, but I’ve got to say, back in 2015 when that was done, all the advice I had was that the reef’s condition was improving, not getting worse.”