Flip over energy sparks state flap

MALCOLM Turnbull has admitted he could not deliver a key element of his energy policy yesterday as he dumped legislated emission targets in a desperate bid to save his leadership.

The Prime Minister sought to explain his backflip on enshrining emission targets in his National Energy Guarantee after a weekend of speculation it could trigger his ouster by rebellious conservative MPs.

He conceded opposition within his own Liberal Party to including the so-called Paris emission reduction target had killed off his plan.

“In politics you have to focus on what you can deliver and that’s what we’ve done and we’ll continue to do,” he said.

Leaving the target out of the legislation means power retailers will no longer be forced to cut emissions under the NEG.

The Tasmanian Government had strongly backed the NEG, saying it would boost the “battery of the nation” concept.

State Opposition energy spokesman David O’Byrne said Premier Will Hodgman and Energy Minister Guy Barnett had been left humiliated by their senior factional powerbroker, Senator Eric Abetz.

“Senator Abetz has claimed victory in destroying Malcolm Turnbull’s NEG, the same policy the Hodgman Government enthusiastically signed up to only 10 days ago,” Mr O’Byrne said. “The Hodgman Government had been the strongest state supporter of the NEG, calling it the key to building its business case for a second Bass Strait interconnector and the pumped-hydro projects.”

But Deputy Premier Jeremy Rockliff said the changes to federal energy policy did not undermine Tasmania’s hopes of billions of dollars of investment.

“The Federal Government has been very clear and remains committed to Tasmania being the battery of the nation,” Mr Rockliff said.

Senator Abetz pledged his support of Mr Turnbull as the elected leader of the Liberal Party, despite speculation of a leadership challenge.