Appropriation Bill (No. 1) 2026-2027

Ms ALDRED (Monash—Opposition Whip) (11:08): The 2026-27 budget confirms the federal government is spending over $14 billion on its program Strengthening Australia's Fuel Resilience. My interest and question to the minister is: how much of this is going to support gas security? I'm interested in the minister's explanation of how this spend will allow for continued development of gas availability.

I'm very pleased that Minister King is in the chamber for my contribution. I have a high regard for the minister. I cannot say the same for her Victorian counterpart, the energy minister, who has done untold damage to jobs and economic security in the Latrobe Valley.

It is a point of interest for me in my contribution today because I'm proud to represent people who grow, make and manufacture things in my region that the rest of Australia relies on. In the Latrobe Valley, my friend and colleague the member for Gippsland has what were four but now are three coal fired power stations in his electorate, but I am very proud and privileged to do my best job up here on behalf of the many people who work in those power stations.

We have, of course, Loy Yang A, Loy Yang B and Yallourn. Previously, we had Hazelwood. In the Latrobe Valley, on current usage rates, we've got 500 years of brown coal resources.

It's the largest single deposit of brown coal in the Southern Hemisphere. I'm very keen for that resource not to be left stranded beneath the earth but to continue for important projects. I know the minister has championed the Hydrogen Energy Supply Chain Project, which is of strategic significance between Australia and Japan and which also goes to the heart of sovereign capability challenges around fertiliser and other by-products that the Latrobe Valley can bring about.

I'm most interested in our gas resources. Gas is a very important feedstock for businesses. It is also a very important fuel stock for businesses like food manufacturers who cannot electrify their processes for a variety of reasons.

The Latrobe Valley has powered Victoria for generations. Those hardworking men and women in the valley have kept our lights on in Victoria, kept our industries running and kept our economy moving despite the best efforts of the Victorian Labor government. I give my thanks to those men and women who have worked so hard over many decades.

Victoria's electricity demand is not falling. It is, in fact, growing rapidly. The rise of artificial intelligence, cloud computing, advanced manufacturing and data centres is driving unprecedented demand for reliable electricity.

Data centres are critical infrastructure that supports everything from banking, cybersecurity and telecommunications to health care, defence and government services. It is important that Australia keeps up and doesn't get left behind. Data centres are also particularly energy hungry.

There are a number of compelling national security reasons Australia should be encouraging the construction of more data centres on our own soil. In an increasingly uncertain world, we cannot afford to become dependent on overseas jurisdictions for the storage, processing and security of our own data. Retaining Australian data within our borders strengthens our sovereignty, protects sensitive information and ensures that critical digital infrastructure remains under Australian control.

Data centres require one thing above all else and that is reliable, around-the-clock power. That is why gas fired generation has an essential role to play in Australia's energy mix. While renewable energy is one part of the system, the reality is that, when the sun doesn't shine and when the wind doesn't blow, you still need 24-hour dispatchable power.

Gas provides that reliability. Gas fired power can start quickly, respond to sudden changes in demand and provide the firming capacity required to support intermittent renewable generation. It is a perfect backup.

The Latrobe Valley is uniquely positioned to deliver this future. Our region already possesses a highly skilled, highly trained workforce, transmission infrastructure, industrial capacity and the energy expertise to support new gas generation projects. Coal fired generation will be retired over the next couple of decades.

I'm desperately worried that, in two years time, Victoria will be losing 22 per cent of its baseload energy capacity with the closure of Yallourn, which the Victorian energy minister has not taken into account at all, in terms of replacement capacity. That's why I believe working with the private sector for private-sector investment and looking at a gas fired peaking station in the Latrobe Valley will support energy security, energy reliability, jobs and industry.