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The Guardian - AU
The Guardian - AU
National
Ben Doherty and Mostafa Rachwani (earlier)

Shortfall warnings cancelled as units come back online – as it happened

United Nations Australia United States ACMA Anthony Albanese Chris Bowen Guardian Australia Labor US Federal Reserve
Liddell power station
The Liddell power station in NSW, where potential electricity supply shortfalls have been identified on Friday as Australia’s energy crisis continues. Photograph: Jonny Weeks/The Guardian

What we learned – Thursday 16 June

So long, farewell, auf Wiedersehen, goodbye.

We’re going to put this blog to bed now. Thanks all for your comments, correspondence, (and occasional condescension (you know who you are)).

Before I go, a summary of the major developments today:

  • The immediate risk of electricity shortages across Australia has receded a little. The Australian Energy Market Operator says reserves have improved, but that it is still “too early to say” when market will return to normal;
  • Australia recorded 73 Covid deaths, including a child aged under three in South Australia;
  • But the country could see 15,000 Covid deaths in 2022, a level “way too high” according to a leading epidemiologist;
  • Long-serving Tasmanian senator Eric Abetz was not re-elected to the Senate, ending a 28-year parliamentary career;
  • Foreign minister Penny Wong says Australia has “ground to make up” in the Pacific region;
  • The national jobless rate remained steady at 3.9%.

Updated

Qantas has apologised to passengers after a flight delay left hundreds stranded at Dallas airport for 24 hours with many left to sleep on hard
flooring.

Updated

Justin Stevens apologises to ABC staff after report finds workplace racism

The ABC news director, Justin Stevens, has apologised to staff after a “disturbing” report found some Indigenous and culturally diverse staff have experienced racism at the national broadcaster.

“These things should never happen,” Stevens said in an email to all news staff on Thursday.

“The ABC will not allow or tolerate any racism in the workplace. Ever. Our newsrooms, teams and workplace must be respectful, inclusive and welcoming at all times of all employees. No one should ever feel that they don’t belong at the ABC because of their cultural background.”

Updated

John Hinckley gains full freedom 41 years after Ronald Reagan assassination attempt

John Hinckley, who shot and wounded US president Ronald Reagan in 1981, has been freed from court oversight, officially concluding decades of supervision by legal and mental health professionals.

“After 41 years 2 months and 15 days, FREEDOM AT LAST!!!,” he wrote on Twitter shortly after noon on Wednesday.

Updated

Coldest start to winter in decades for eastern Australia

Here is that earlier weather reportage the indefatigable Peter Hannam alluded to ...

Eastern Australia’s giant cold snap is finally breaking down but not before temperatures reached lows not seen for seven decades or longer and pushed the country’s main electricity grid to the brink.

The extended chill was caused by an unusual weather pattern that locked in cool pools of air over southern and eastern states, triggering the deepest snow dumps in the alps since 1968, according to Ben Domensino, a senior meteorologist at Weatherzone.

“Because it was so persistent over two weeks, we haven’t seen a start to winter that cold in decades for most of south-eastern Australia,” Domensino said.

Updated

Energy reserves improve but 'too early to say' when market will return to normal: Aemo

Good news on the energy front, as the risk of electricity shortages recedes further.

The Australian Energy Market Operator has just sent an update for the national electricity market that serves most of Australia excluding WA and the NT, with these key lines:

“Today, AEMO’s forecast for reserve conditions have improved across all NEM regions. Following close coordination with the NSW government and generators, reserve levels have improved markedly in NSW.”

That said, “it’s still too early to say when the market will resume normal operations”, Aemo said. That’s about a day after it suspended the market.

As noted in an earlier post, the issues that remain seem more for tomorrow. Possible shortfalls forecast for Queensland and SA have recently been cancelled, and this is what remains for Victoria:

What’s changed? Well, according to WattClarity, three coal-fired power units have come back online. Two are in Queensland - at Callide and Millmerran - and one at Yallourn in Victoria.

These will definitely help, as will the warming weather, as we reported here earlier.

Updated

Up to 15,000 Australians are expected to die of Covid this year but an infectious diseases expert says that number is “way too high” and more should be done to encourage mask use and improve air quality.

Prof Margaret Hellard from the Burnet Institute has advised the federal and Victorian governments during the coronavirus pandemic. On Thursday, she warned the country was on track to have 10,000 to 15,000 Covid-19 deaths in 2022, which was far too many in her view.

“This kind of notion going around … that there’s nothing that we’ve got to add or to offer, and that really things can’t be done, is actually incorrect,” Hellard told a Victorian parliamentary inquiry into the state’s pandemic orders.

“The current level of vaccination is not high enough.”

My favourite part of this is when this remarkably insouciant child asks “can we play dead yet?” and is politely told “walk faster please” (subtext: because there’s a bear following us).

Everyone was fine here.

Updated

Albanese government to focus on health for Aboriginal people in bid to close the gap

From AAP’s Tess Ikonomou in Canberra

Indigenous Australians assistant minister Malarndirri McCarthy has vowed health outcomes for First Nations people will be placed at the forefront of the Albanese government’s bid to close the gap.

The Northern Territory senator was sworn into the ministry by governor general David Hurley on Thursday.

McCarthy was unable to participate in the first ceremony held at the beginning of June, after testing positive to Covid-19.

“It’s a real honour, I’m very excited ... to not only serve the NT as a senator, but to also serve in an Albanese Labor government,” she said.

Labor senator Malarndirri McCarthy with her daughters during a swearing-in ceremony with governor general David Hurley in Canberra.
Labor senator Malarndirri McCarthy with her daughters during a swearing-in ceremony with governor general David Hurley in Canberra. Photograph: Mick Tsikas/AAP

McCarthy said commitments taken to the election campaign focused on health policies, but also included improving access to education and job opportunities for people in regional and remote communities.

A key focus would be closing the gap in life expectancy between Indigenous and non-Indigenous people, with better health outcomes being essential to improving the lives of First Nations people.

McCarthy said she will be working closely with Indigenous Australians minister Linda Burney on progressing a constitutionally enshrined voice to parliament in the government’s first term.

The Albanese government has pledged to hold a referendum on enshrining the voice in the constitution.

A “voice” would be a body made up of First Nations people that the government would need to consult with on policy.

The government has previously said the referendum won’t be called until it is confident it will succeed, which will require bipartisan support.

Opposition leader Peter Dutton has said he is open to the voice, but wants to see the detail before making a commitment.

Foreign minister Penny Wong, in a joint press conference with her New Zealand counterpart on Thursday, said Australia should “integrate” First Nations culture “into how we engage with the world and how we talk to and with the world and about ourselves”.

Australian foreign minister Penny Wong, left, is welcomed to parliament house by New Zealand foreign minister Nanaia Mahuta
Australian foreign minister Penny Wong, left, is welcomed to parliament house by New Zealand foreign minister Nanaia Mahuta Photograph: Robert Kitchin/AP

McCarthy said it was “fantastic” the government was throwing its support behind drawing on First Nations’ historical relationships with neighbouring nations.

Updated

Forestry Corporation fined for causing ‘actual harm’ to koala habitat in NSW

The Forestry Corporation of New South Wales (FCNSW) has been fined $135,600 for causing “actual harm” to koala habitat on the state’s north coast after it cleared trees that were in areas where logging was prohibited.

The NSW land and environment court has ordered the state logging agency to pay the fine as well as $150,000 in legal costs to the NSW Environment Protection Authority.

The court found that felling in exclusion zones that was carried out in 2018 by FCNSW contractors in Wild Cattle Creek Forest in Coffs Harbour had damaged koala habitat.

Two charges were for the felling of trees in protected rainforest areas, a third charge was for the felling of two trees in an exclusion zone around warm temperate rainforest, and the fourth was for felling four trees and other forestry activities in a koala exclusion zone

The NSW EPA’s executive director of regulatory operations, Carmen Dwyer, said in a statement the prosecution sent a “clear message to the forestry industry and operators”.

Dwyer said:

All forestry operators have a responsibility to protect the environment and comply with the law when carrying out tree harvesting activities. Breaches of the forestry laws will be investigated and those responsible will be held to account.

A young koala, called a joey (I knew that one).
A young koala, called a joey (I knew that one). Photograph: Martin Meissner/AP

FCNSW said it acknowledged it had made some “mapping and marking errors” while working in Wild Cattle Creek Forest in 2018.

A spokesperson said these were isolated incidents and the agency had subsequently reviewed and improved its systems to ensure mapping was accurate.

“We set aside around 6,000 additional trees for koalas during the operation to compensate for the trees that were harvested in error,” they said.

The independent NSW MLC Justin Field said the court’s decision was welcome after a four-year long investigation and legal action but the fine would “do little for those displaced koalas that have lost their homes, which will take 40,50 or more years to recover”.

He said he was concerned about further logging that was due to occur in the Coffs Harbour region in coming months.

Field said:

The real story here is why Forestry Corporation is allowed to log in koala habitat at all.

Updated

A colleague far more learned than I knew that baby echidnas were called puggles. I did not.

I knew they were monotremes, but apparently I get no credit at all for that...

Updated

Concerns grow about potential power shortages on Friday

The federal climate minister, Chris Bowen, and co earlier warned of the need for NSW residents to power down on Thursday evening as per the day before.

(One national broadsheet curiously said today that Wednesday was “the third consecutive night” of such requested reductions, which would have been a surprise to people in NSW.)

Anyway, for now the focus for electricity supply shortfalls seems to be more on Friday, rather than Thursday, such as in NSW:

Likewise in South Australia, with Friday also the focus:

While in Queensland, the forecast gaps are fairly small, and also for Friday. There’s a bit of an overlap between the more serious level 3 lack of reserve, which implies “interruptions” to supply, and the level 2 variety which merely means the market operator would likely have a bit more of a margin of generation error in case something unexpected goes wrong:

Meanwhile, Vivid Sydney, that city’s lighting spectacular, is proceeding as normal since the lights are all LEDs, apparently, and so are very efficient.

With the festival running until 18 June, there are only a few days left for the tabloids to deploy the “Vivid Sydney turns Livid Sydney” headline should all those colourful bulbs suddenly go dark, disappointing the city’s huddled masses.

Updated

Eric Abetz’s farewell statement in full

A comeback? Lazarus with a triple bypass ... read the last sentence.

Eric Abetz’s statement in full:

Congratulations to Tasmania’s newly elected and re-elected Senators. I wish them well.

It is both a privilege and an exceptionally onerous task to look after the welfare of our 500,000 plus fellow Tasmanians, as well as a $2 trillion Australian economy and our 25 million fellow Australians.

Senate voting is overwhelmingly seen by Tasmanians as a party vote with the vast majority of Tasmanians opting to vote for parties above the line as opposed to individual candidates below the line.

Therefore, to have been honoured with well over 15,000 personal votes by my fellow Tasmanians is something for which I will always be most appreciative. Those 15,000 plus votes represent 13% of the Tasmanian Liberal vote, without which the Party would not have gained two quotas.

It is also appropriate to observe that the last time I had the honour of leading the Liberal Senate ticket I easily outpolled the Labor Senate ticket leader with below the line votes. At this election the same Labor Senate ticket leader easily outpolled the Liberal Senate ticket leader with personal below the line votes.

Senator Eric Abetz
Senator Eric Abetz. Photograph: Sam Mooy/Getty Images

It has been a privilege to serve my fellow Tasmanians. I am thankful for the opportunities afforded me to assist my fellow Tasmanians through a range of issues, especially in their battle with bureaucracy. It was pleasing to be able to assist and make a difference in so many individual lives.

Being able to deliver for Tasmanians, be it for the Bass Strait Passenger Vehicle Equalisation Scheme which transformed our tourism sector, upgrading Freight Equalisation support to include exports, for road funding, irrigation schemes and airports, or gaining assistance for community groups, schools, and local councils has also been exceptionally rewarding.

Serving in the Howard and Abbott Ministries and as Senate Leader were expressions of support and confidence which I cherished.

In more recent times, in a non-ministerial role I was able to lead the policy debate in the then government on issues as diverse as compensation for those who have suffered serious adverse reactions to Covid jabs, to opposing the proposed extradition treaty with China, to gaining equity for parents who suffered through multiple stillbirths to Magnitsky legislation to stop Australia being used as a safe haven for corrupt and human rights abusing officials from other countries.

Throughout my time as a Senator (apart from the last three years) I had the blessing of the best life partner God could ever have given me in Michelle. I will be forever thankful and indebted. I thank my children and extended family for their forbearance and support.

I’m indebted to the overwhelming support of the Liberal Party membership which continues.

There continues to be much petrol in the tank and a desire to serve.

Updated

Eric Abetz loses Senate seat

Tasmania ... these are your senators.

For the first time since 1994 (when your correspondent was in primary school), there is no Senator Eric Abetz representing the state.

The Guardian’s Josh Butler notes that five of the six senators have been re-elected. Tammy Tyrrell of the Jacqui Lambie Network is the newly elected senator and will double the JLN’s representation in the upper house, bringing it to two (along with the eponymous leader).

The Australian Electoral Officer for Tasmania, Hannah Brown, said the distribution of preferences was conducted today.

“As with all aspects of the count, the automated distribution of preferences undertaken today was open to scrutineers appointed by the candidates,” Brown said.

All 2022 federal election results are available on the AEC’s tally room at aec.gov.au/results.

The result will be formally declared tomorrow afternoon in Hobart.

Updated

Cold spell might be breaking up – at least for now

Most of us can feel it in our bones that things have been unusually cold of late, and the numbers seem to bear it out.

Here’s a piece that looks at the cold spell, and why it might be breaking up – at least for now.

Apart from the breadth of the area that’s been chilled, the longevity is something of note.

The weather pattern was an interesting one, and a reminder that the Pacific and Indian oceans provide only some of the influences on our climate.

The Southern Ocean, of course, can hold sway too. The band of westerlies (think “Roaring 40s”) can shift north and south, bringing some of the Antarctic chill closer or further away.

Lately, it’s been the former, which provided the cool air that has seemed to persist for the past fortnight or so – straining our already tight energy markets.

One side benefit, though, is that the influence of the weakening La Nina in the Pacific has been held at bay. That’s a key reason the incessant rains over eastern Australia started to ease back.

The not-so-good news, though, is that climate models suggest there’s a chance that La Nina may only weaken, and might return on the other side of spring.

That, combined with a similarly rain-favouring pattern in the Indian Ocean, point to that relatively dry patch now over most of eastern Australia being only temporary.

Updated

AMA urges Albanese and states to ‘act immediately’ on healthcare crisis

The prime minister, Anthony Albanese, and state and territory leaders must seize the moment when they meet tomorrow to stem the healthcare crisis that’s leading to avoidable deaths, the Australian Medical Association has said.

The AMA president, Dr Omar Khorshid, said the prime minister must make good his pre-election promise to listen and work constructively with the states on hospital and health system pressures, but must also take immediate action.

“With consensus on hospital funding reform among state and territory leaders, Friday’s first meeting with Prime Minister Albanese is a real moment for the health system,” Khorshid said in a statement ahead of the meeting.

Australian Medical Association federal president Dr Omar Khorshid
AMA federal president Dr Omar Khorshid says Friday’s national cabinet meeting ‘is a real moment for the health system’. Photograph: Lukas Coch/AAP

Mr Albanese must not only listen, but must act immediately, starting with Covid-19 funding and a new hospital agreement.

At stake here is your loved ones and mine becoming the next statistics of a failing system.

With cost-of-living pressures, energy concerns and competing demands on an incoming government, we know it won’t be easy, but the very essence, the very fabric of a humane and functional society is its willingness to look after the sick and injured.

Now is the time for Australia and our new government to define who we are, what we accept and what we don’t accept.

The government has already pointed to the need to address debt, but we shouldn’t accept ambulance ramping, lengthening elective surgery lists and dangerous emergency department waiting times. These are evidence of governments failing to invest in health.

The St Vincent’s hospital emergency department in Sydney
The St Vincent’s hospital emergency department in Sydney. Photograph: Lisa Maree Williams/Getty Images

The AMA has a checklist of health reforms:

  • Extend the national partnership agreement on Covid-19 beyond September, preferably until 2025.
  • Draw up a new national health reform agreement in which states and territories equally share hospital funding 50-50 with the commonwealth and the 6.5% cap on growth is scrapped. The states reinvest the freed-up 5% into improving hospital performance.
  • Address the critical workforce shortage in health and the ongoing impact of the pandemic on that workforce.
  • Make private health insurance more enticing through value for money, with a private health system authority to watchdog the system.
  • Tackle chronic disease – the biggest burden on the health system – with earlier prevention, intervention and management in the community.

“It’s critical we reset our health system now, to deal with the immediate crises and issues that were ignored during the election like Covid-19 and the private health system,” Khorshid said.

Updated

Turkish man dies after alleged stabbing in WA detention centre

We have received more information about the alleged stabbing at Yongah Hill detention centre in Western Australia we reported on earlier.

Ian Rintoul, a spokesperson for the Refugee Action Coalition, said the man who died was Turkish and had been held in the centre for about three years, but had agreed to be returned to Turkey a year ago.

Rintoul said the man had allegedly been stabbed, and while it was unclear why he was being held in detention, Rintoul called for the prime minister, Anthony Albanese, to back up recent comments to his New Zealand counterpart, Jacinda Ardern, regarding visa cancellation laws with action.

Rintoul said in a statement:

This tragic death must result in a full inquiry into immigration detention. This man should not have been in immigration detention.

Anthony Albanese told Jacinda Ardern that he will look at the issue of 501s being held in detention, but there must be a much wider inquiry into section 501 visa cancellations. The section discriminates against non-citizens.

It is common for detainees to be held for years even after they have signed to returned to their countries. The conditions in immigration detention are worse than jail, with no oversight.

Yongah Hill Immigration Detention Centre
A Turkish man held in the Yongah Hill Immigration Detention Centre for about three years has died after an alleged stabbing, refugee advocate Ian Rintoul says. Photograph: Rebecca Le May/AAP

Updated

Treasurer says ‘welcome’ job numbers ‘tempered by significant challenges’ in economy

The treasurer, Jim Chalmers, says today’s labour force numbers are “welcome news”, but “tempered by significant challenges” elsewhere in the economy.

Updated

Power shortage concerns easing

Concerns about possible electricity shortages are easing, along with the warmer temperatures.

So far, for instance, the “lack of reserve” notices for NSW are only at the level 2 stage, which means there’s enough electricity (provided nothing else surprising pops up):

Earlier the NSW energy minister, Matt Kean, said Wednesday’s sudden shortfall – that prompted the request for residents to delay electricity use in the evening where safe to do so – was the result of AGL’s Bayswater plant in the Hunter Valley not operating as expected.

AGL, Australia’s biggest electricity generator, tells Guardian Australia that “we are expecting a unit at Bayswater to return to service later today and another by Saturday”.

“We’re continuing to work cooperatively with Aemo to help ensure continuity of supply,” the spokesperson said, adding a “no” to the question about whether AGL had been gaming the market.

(Kean and his Victorian counterpart, Lily D’Ambrosio, have complained such behaviour had taken place.)

As a hint of the wider problems dogging the coal-fired power sector, 2,640MW Bayswater is only operating one of its four units.

Unit 4 dropped out of service last Thursday due to a maintenance issue on the boiler ash conveyer and that is the one AGL expects will return to service later today.

Unit 2 was taken out of service last Wednesday to repair a tube leak and is expected to return by Saturday, while Unit 3 has been under planned maintenance since March and is due back at the start of July. Covid has been among the reasons for the delay of that unit’s return.

Updated

Penny Wong says Australia wants to bring ‘new energy and resources’ to the Pacific

The foreign affairs minister, Penny Wong, speaking in New Zealand before heading to Solomon Islands tomorrow, said she was determined to bring “new energy and resources” to the Pacific but added:

We’ve got a bit of ground to make up.

At the press conference with her New Zealand counterpart, Wong stressed the need to listen to Pacific countries and their priorities, including climate action.

Wong was asked about the future status of the regional processing centre on Nauru.

She gave a generic answer that the government had been clear about its “maintenance” of Operation Sovereign Borders, including offshore processing.

More broadly, when asked whether it was a goal of Australian and NZ foreign policy to help Pacific countries avoid an overreliance on indebtedness to China, Wong said:

The sustainability of debt financing for developing countries, particularly those in our region, is of interest to both our nations. It goes to sovereignty and choice and it goes to stability; it also potentially goes to security of the region. So I think both our countries are seized, as are other members of the Pacific Islands Forum, about the importance of debt arrangements which are reasonable and fair and which avoid countries being unduly burdened, not just in the now but in the decades to come.

Australian foreign minister Penny Wong (right) during a bilateral meeting with New Zealand foreign minister Nanaia Mahuta in Wellington
Australian foreign minister Penny Wong (right) during a bilateral meeting with New Zealand foreign minister Nanaia Mahuta in Wellington. Photograph: Robert Kitchin/AAP

One of the final questions to both Wong and New Zealand’s foreign affairs minister, Nanaia Mahuta, was about the Taiwan Strait.

They were asked for their response to China’s move to allow a trial of military operations beyond its borders (see Helen Davidson’s story here).

Mahuta:

We’ve experienced a real challenge in terms of China’s influence across the Indo-Pacific region.

Can I just say that in the latest readout of my meeting with [China’s] foreign minister, Wang Yi, I reflected our views in that area, that we want greater stability and peace to be the priority. That will be very important and we’ll commit ourselves to ensuring that that remains the message and the focus in the Taiwan Strait.

Wong added Australia’s view:

Our longstanding position is very clear. We support the status quo. We would urge there be no unilateral changes which would disrupt the status quo in relation to the status of Taiwan.

(This is, indeed, Canberra’s longstanding position, despite some forward-leaning remarks last November by Peter Dutton. It is a message both to Beijing and Taipei – a formal declaration of independence by the latter would similarly be a unilateral change to the status quo.)

Updated

Prep or kindergarten: why can’t we agree on what to call the first year of school?

Let’s decide it once and for all here, folks.

What do you call the first year of school?

I’m firmly in the “prep” camp but happy to take on feedback.

Updated

South Australia records six Covid deaths and 2,983 cases

As we reported earlier, among six deaths reported in South Australia today was a child under three.

There have been 2,983 new Covid cases reported in the state.

There are 222 people being treated in hospital with the virus including eight people in ICU.

Updated

National Covid summary

Here are the latest coronavirus numbers from around Australia today, as the country records at least 73 deaths from Covid-19:

ACT

  • Deaths: 0
  • Cases: 1,015
  • In hospital: 89 (with 2 people in ICU)

NSW

  • Deaths: 17
  • Cases: 9,117
  • In hospital: 1,334 (with 43 people in ICU)

Northern Territory

  • Deaths: 0
  • Cases: 261
  • In hospital: 17 (with 2 people in ICU)

Queensland

  • Deaths: 13
  • Cases: 4,434
  • In hospital: 386 (with 4 people in ICU)

South Australia

  • Deaths: 6
  • Cases: 2,983
  • In hospital: 222 (with 8 people in ICU)

Tasmania

  • Deaths: 1
  • Cases: 872
  • In hospital: 38 (with 1 person in ICU)

Victoria

  • Deaths: 22
  • Cases: 7,889
  • In hospital: 465 (with 27 people in ICU)

Western Australia

  • Deaths: 14
  • Cases: 6,249
  • In hospital: 262 (with 10 people in ICU)

Updated

Attorney general appeals sentence for Queensland couple's killer

The Queensland attorney general, Shannon Fentiman, has lodged an appeal over the sentencing of a teenager who struck a pregnant woman and her partner with a car, killing them both.

The teenager had been allegedly driving a stolen car and was drug- and alcohol-affected when he hit Kate Leadbetter, Matt Field and the pair’s unborn child on Australia Day 2021.

The man was handed a 10-year sentence but his actual jail term was discounted to six years, due to several factors including his age at the time and his early guilty pleas.

Fentiman said the grounds of appeal are that the sentence of manslaughter was “manifestly inadequate” as the judge had determined it was a heinous offence, meaning the sentence could have been more than 10 years under the Youth Justice Act.

I do again want to pay tribute to the families of Matt and Kate and acknowledge what they have been through and the community’s frustration and anger about this case. I have listened. I have taken the advice from the Director of Public Prosecutions and now I am appealing this matter.

The announcement came after tens of thousands of people signed a petition asking for an appeal and changes to the way juveniles are handled within the court system.
Fentiman said the government has already made significant changes to the Youth Justice Act following the tragic event.

We have reversed the presumption of bail for young offenders. If a young offender commits a serious offence now in Queensland, they are presumed not to get bail, and I want to be very clear with you, those reforms are working.

Kate Leadbetter and Matt Field, who died after being struck by an allegedly stolen car at Alexandra Hills on Australia Day 2021
Matt Field and Kate Leadbetter, who died after being struck by an allegedly stolen car at Alexandra Hills on Australia Day 2021. Photograph: AAP

Updated

Wong is asked about the new government’s plan to implement to Uluru Statement from the Heart, and what Australia can learn from the Aotearoa New Zealand government’s relationship with its Maori population.

I think we can learn a lot about the way you have learned to work together and some of the difficult things you have addressed. I think the respect both in some of your legal frameworks but also in terms of how you talk about who you are, for Maori, is different.

And that’s a journey we’re on. I always used to say during the election that there are many reasons why I wanted to win government for the country – and I wouldn’t mind doing this job either – but obviously for the country. And first among them was the hope that we could be part of a government that could work with our First Nations people to implement the Uluru Statement from the Heart with all of its power.

Updated

Australian and NZ foreign ministers speak after meeting in Wellington

Foreign ministers Penny Wong and Nanaia Mahuta are giving a press conference in Wellington at present (ABC News is broadcasting it live).

They have issued a joint statement, canvassing a number of issues:

China (is the subtext here):

The Ministers acknowledged the close cooperation between Australia and New Zealand to support a stable, prosperous and resilient Indo-Pacific region amid sharper global challenges. The Ministers discussed their concerns at the growing strategic competition in the Pacific region. They noted the long traditions within the region of working collectively to meet security needs, including under the Biketawa Declaration and the Boe Declaration. They underlined the importance of consultation on security measures within the region, and looked ahead to discussions on regional security among Pacific Islands Forum members.

And here:

The Ministers noted current threats to the rules-based order, and the risks to stability and prosperity for our Pacific family and globally. Ministers acknowledged the importance of working together against these risks, and reiterated their shared commitment to international cooperation, including through effective, transparent and balanced multilateral institutions.

Climate change:

The Ministers noted the clear and consistent message from Pacific Island nations that climate change is the most critical challenge they face. They noted the responsibility on governments to act with ambition and urgency for the benefit of people in the Pacific and around the world. Ministers recognised the transition that Aotearoa New Zealand and Australia needed to undertake in their economies. They also recognised the need to work together to accelerate climate action and support the ambitions of Pacific Island countries to lower greenhouse gas emissions and increase climate resilience.

Both have spoken in Wellington about the need for Australia and NZ to have an “Indigenous foreign policy outlook” (in Mahuta’s words to “place Indigenous voices at the heart of foreign policy”, as well as the centrality of the Pacific Islands Forum to regional diplomacy.

Australian foreign minister Penny Wong and New Zealand foreign minister Nanaia Mahuta before their bilateral meeting in Wellington
Australian foreign minister Penny Wong and New Zealand foreign minister Nanaia Mahuta before their bilateral meeting in Wellington. Photograph: Robert Kitchin/AAP

Updated

Foreign minister Penny Wong’s meeting with her Aotearoa New Zealand counterpart, Nanaia Mahuta, has begun (with thanks to AAP’s Ben McKay, who apparently has a seat at the table) ...

Updated

Heartbreaking news from the Adelaide Advertiser, as South Australia’s Covid case count climbs.

Updated

Thanks Mostafa for your stewardship and wise counsel. I am here for the postprandial session.

This is terrific from Graham Readfearn.

If you thought you might be disheartened by the phrase “second law of thermal dynamics”, don’t be (they are literally the last words in the story), this is an excellent explainer of why lots of snow, or cold weather, is not the refutation of climate change it is sometimes claimed to be by sceptics ...

Updated

And with that I will hand the blog over to the never-flustered Ben Doherty. Thanks for reading.

WA records 6,249 new Covid cases and 14 deaths

Western Australia has recorded 6,249 new Covid cases and 14 deaths, which includes some that date back to previous days and weeks but were reported to WA Health yesterday:

Updated

Aged care sector says more than 60% of providers are making a loss

The aged care sector is warning that more than 60% of providers are running at a loss as they grapple with rising prices across the economy.

On Wednesday, the Fair Work Commission granted a 5.2% increase to the minimum wage, a decision that will help many aged care workers. The sector has welcomed the ruling, but is concerned at how the struggling sector will afford it without changes to government funding.

Paul Sadler, the Aged & Community Care Providers Association interim chief executive, told the Guardian that more than 60% of aged care providers are currently making a loss. That’s up from 50% in December 2020. He said:

Importantly, federal subsidies are not keeping pace with the cost of providing care, additional measures and protections for dealing with Covid and proposed increases in staff wages.

The fact that 60% of aged care homes are in deficit makes it imperative the government funds 100% of the wage increase approved [Wednesday] by the Fair Work Commission, in accordance with the royal commission recommendation to change the method of indexing subsidies that was rejected by the previous government.

Updated

What does the jobs data mean for rates?

With the jobs data looking quite bullish, the interpretation of such figures quickly becomes about interest rates. Specifically, do they increase the likelihood that the Reserve Bank of Australia will lift its cash rate when it meets on 5 July?

Or rather, given almost everyone expects another rise, will the increase be larger now that these numbers from the ABS have landed?

Here’s how things looked yesterday:

Now some economists, such as those at ANZ ,were expecting 3.8% to be the jobless rate for May, rather than 3.9%, but that’s really a hair-split. More interesting will probably be the fact the economy added more than 60,000 jobs for May, compared with the market consensus of reportedly about half that total.

More jobs are usually a good sign but with the share of the population at work now at record levels, all things being equal, that suggests employers are going to need to lift wages higher to attract or retain staff. (Yesterday’s 5.2% minimum wage award, though, might dim some of that hiring enthusiasm.)

Sean Langcake, head of macroeconomic forecasting for BIS Oxford Economics, concurs that the jobs figures “will add to wage pressures that have been emerging over the past few months”.

“The RBA have already signalled they are convinced wage growth will pick up this year [to cut the jobless rate to 3.7%], despite somewhat disappointing official [GDP] data in Q1,” Langcake says.

These data confirm the strength in the labour market persists, and we expect the RBA will lift the cash rate by 50 basis points in July, with more hikes to come after that.

Separately, an ANZ report has just landed suggesting households will keep spending even with RBA rate rises, helped by the confidence they have in staying employed.
“Strong wage growth (4% year-on-year through 2023), continued very low unemployment rates and the large savings buffers built up in 2020 and 2021 will delay and reduce the negative impacts of higher interest rates and prices on real household consumption in 2022,” ANZ says.

Though there will be a pullback in consumption as rates rise, we expect consumption to outperform GDP from now until 2024.

Updated

Daniel Andrews: energy crisis not about supply but 'dysfunctional' market

Victorian Premier Daniel Andrews speaks during a press conference in Melbourne, Thursday, June 16, 2022.
Victorian Premier Daniel Andrews speaks during a press conference in Melbourne, Thursday, June 16, 2022. Photograph: Diego Fedele/AAP

Earlier this morning, Victorian premier Daniel Andrews spoke to the media about the state childcare reform, but was asked about the energy crisis gripping the east coast, and did not hold back.

He first welcomed that Chris Bowen was the one dealing with this, as someone who “actually believes that climate change is real, can spell science and can follow it”, before blasting the former Coalition federal government:

Is it any wonder the industry struggled to make these changes? Is there any wonder there’s uncertainty in this energy market when really we just haven’t had a coherent, clear energy policy out of Canberra for a long, long time?

Hopefully that’s going to change; in fact, I’m very confident it will. On the issue of what the market operator has done – they have switched off the market because the market is not working. That’s the market operator, the regulator doing what they should do.

I should also make the point that the briefings I’ve received on this – this is not so much about supply, this is about the way the market, and distortions within that market, could have potentially impacted everybody getting what they need. There’s enough energy there. It’s just about how it’s bought and sold, how it’s shared and spread across our nation. It’s an unprecedented step but it’s not about supply as such. It’s about how the market was functioning or to put it another way, half the market was dysfunctional.

Andrews was also asked about a potential gas shortage the state could face in 2023, for which he makes a case for reserving supply:

Our gas for our businesses, for our households – reserve what we need for us and then sell what we don’t need to the world. It is just wrong, it makes no sense to me that households and businesses are competing against the world for something that’s ours.

There’s a thing called critical needs. A domestic gas reserve is really good policy. It makes sense, and will have a direct impact. Now there’ll be a number of very big companies who probably don’t see it that way. But, again, are we about their interests or are we about everyone’s interests, public interest?

Updated

More on the jobs data, which graphically looked like this:

As you may recall, the release of the 3.9% jobless rate for April with a clear 3 in front of it was the main bit of good economic news to land for the Morrison government during the official campaign.

Of course, the surprising jump in March quarter consumer price inflation to 5.1% at an annual rate, and the subsequent first interest rate rise by the Reserve Bank a week or so later, put then treasurer Josh Frydenberg (remember him?) on the defensive over economic management.

No doubt we’ll hear from new treasurer Jim Chalmers shortly. My guess he will take some heart from what look to be generally good figures, although it’s clear that Covid continues to cut into the amount of time people want to work. That causes various disruptions including nudging inflation higher.

Still, there’s some positive momentum, including a continued drop in the underemployment rate by 0.4 percentage points to 5.7%, for instance.

Across the states, WA gets the bragging points with the lowest jobless rate of 3.1%, ahead of the ACT’s 3.3%, with SA taking up the rear at 4.6%.

Updated

Police investigate death at WA immigration detention centre

Western Australia police say they are investigating a fatal incident at the Yongah Hill immigration detention centre last night.

In a short statement, police say that about 11.45pm, a 32-year-old man was found in the centre with “serious injuries.”

The man was taken to Northam hospital, where he later died.

Police say two people are currently assisting them with inquiries.

Updated

Economy added 61,000 new jobs in May but more people were looking for work

The jobless rate for May was unchanged but there are interesting numbers within a stable result. So the economy added 61,000 jobs for the month, much more than the 4,000 in April.

The reason the jobless rate remained steady – at its lowest since 1974 – was that more people went looking for work.

The employment to population ratio increased to 64.1% in May, an all-time high and 1.6 percentage points higher than March 2020, the ABS said.

Seasonally adjusted hours worked increased by 0.9% in May, following a 1.3% increase in April.

You may recall the jobless rate was one of the numbers the then opposition leader Anthony Albanese fluffed in the first week of the official election campaign.

There’s a fair chance he’ll remember 3.9%, but then again, he might just ask reporters to do a Bandt and “Google it, mate!”.

Updated

Australia's jobless rate steady at 3.9%

Australia’s labour force figures for May have just been released by the Australian Bureau of Statistics.

They showed the jobless rate came in at 3.9%, remaining unchanged from the previously reported figure for April.

Updated

RSPCA welcomes new Victorian reporting requirements for animal shelters

Animal shelters in Victoria will be required to report publicly on the fate of animals surrendered into their care, under changes announced by the Andrews government today.

The changes to the Code of Practice for the Management of Dogs and Cats in Shelters and Pounds require the mandatory reporting of data including whether an animal is rehomed, placed in foster care, reclaimed by their previous owner, or euthanised.

RSPCA Victoria chief executive, Dr Liz Walker, said the organisation had been voluntarily reporting this data in its annual report and welcomed it becoming industry standard.

She said:

Making the reporting of animal fate data mandatory will help ensure all animal care groups across Victoria are transparent and adhere to the same standards.

As a socially conscious shelter, RSPCA Victoria believes transparency, including reporting of animal fate data, collaboration and continuous improvement of standards are vital to ensure all animals are treated humanely and are provided with their best opportunity to live a good life.

We know companion animals matter to Victorians – they make our lives better and we owe it to them to provide the best care and outcomes possible. This includes the tens of thousands of animals who are cared for by shelters, pounds and rescue groups across the state every year.

Updated

Melbourne to host Australian Grand Prix until at least 2035

Formula One’s Australian Grand Prix will be contested in Melbourne until at least 2035 after a contract extension for another 10 years was announced this morning.

The existing deal was due to expire in 2025, but F1 president and CEO Stefano Domenicali confirmed on Thursday that the Albert Park circuit in the city’s south will host the race for the foreseeable future.

“The race has always been a favourite for the fans, drivers and the teams, and Melbourne is an incredible and vibrant international city that is a perfect match for our sport,” Domenicali said.

The Australian GP has been hosted at Albert Park since 1995, after previously being run for a decade in Adelaide, and made a resounding comeback earlier this year after two Covid-impacted events.

“The resounding popularity of the Formula One Australian Grand Prix for over two decades stepped up to a new level in 2022 and the addition of F2 and F3 means that future events will continue to offer new races for fans to enjoy,” Australian Grand Prix Corporation chairman Paul Little said in a statement.

Updated

Albanese: ‘We need to lift productivity’

I just wanted to go back to a particular point the PM brought up at his press conference earlier, where he said he will be discussing “microeconomic reform” at federal cabinet later this week.

Albanese also added that he would be discussing how to include local governments in policy discussions, in a bid to improve productivity.

We need to lift productivity in this country. One way that we lift productivity is through microeconomic reform and I have foreshadowed [this] with the premiers and chief ministers.

How we get better national consistency, how we remove some of the duplication which is there as well. All of that has just disappeared – and it is understandable, while the pandemic was on, that there was a concentration on that.

Updated

Australian drought assistance for Kiribati

The minister for foreign affairs, Senator Penny Wong, and minister for international development and the Pacific, Pat Conroy, have announced a drought assistance package for Kiribati.

The island country in the pacific has been suffering through a severe drought and Australia will now provide an initial $675,000 in assistance.

The funding commitment follows the Kiribati government’s declaration of a state of disaster on 13 June.

Australia will support the installation of 100 solar distillation units, and will help primary schools ensure water is available to students.

Wong said Australia stood with its Pacific allies during difficult times.

As Pacific family members, Australia is standing with Kiribati to meet the challenges of climate change and its impacts.

Updated

BHP to keep Mount Arthur coalmine – and close it in 2030

BHP will keep the Mount Arthur coalmine in NSW and close it in 2030 after failing to sell it.

In a statement, BHP said it would “seek the relevant approvals to continue mining beyond its current mining consent that expires in 2026 and proceed with a managed process to cease mining at the asset by the end of the 2030 financial year”:

At that time, we will close and rehabilitate the site, a process that is expected to take a further 10-15 years.

This comes after BHP put its lower-quality coal assets up for sale, ridding itself of its interests in the Cerrejon mine in Colombia and BHP Mitsui coal venture in Queensland earlier this year.

An aerial view of the Mount Arthur mine
An aerial view of the Mount Arthur mine. Photograph: Nearmap

But efforts to sell Mount Arthur, which BHP calls New South Wales Energy Coal, “did not result in a viable offer”, the company said:

Assessment of the resource economics, geotechnical profile and future investment requirements determined that continued mining in the near term and moving to a closure in 2030 provides the optimal financial outcome when compared to alternate options.

Updated

‘The best way of putting consumers first’

The final question to Chris Bowen is about Aemo’s intervention in the market last night and whether the situation will ease in the next two days:

It was done for the reason that it is the best way for Aemo to manage the immediate situation, yes. It wasn’t working. It was meant to be that the bids come in and where the bids were insufficient, Aemo would react. It was too reactive and it was constantly reactive.

It was the right thing for Aemo to step in and take charge. I made it clear that the Albanese government would back the independent decision made by Aemo because it was the best way of putting consumers first, not anyone else, the need of energy consumers first. That is Aemo’s job and they have done that and they will continue to do that.

Updated

Chris Bowen has fired up in response to a question about the reliability of sustainable energy options:

The problem is there is not enough investment in renewable energy. There hasn’t been enough investment in storage. Yes, you can say the wind doesn’t always blow and the sun doesn’t always shine. The rain doesn’t always fall either but we can store the water – and we can store renewable energy if we have the investment.

That investment has been lacking for the last decade. State and territory ministers agree that we should proceed at pace with the capacity mechanism.

I asked on behalf of all energy ministers, the Energy Security Board, to proceed with that work at speed. They doing that. I am confident I will be able to get agreement of state and territory ministers for our comprehensive capacity mechanism.

Updated

Returning to Albanese, who has blamed ageing infrastructure for some of the energy crisis:

I got asked yesterday in Queensland about the Collinsville power plant plan. Millions of dollars given to the proponents of a new coal fired power station in Collinsville that everyone knows - Josh Frydenberg as the former Treasurer said it wasn’t going to happen. No-one actually thought it was going to happen. Millions of dollars of taxpayers of money was spent on something that was a mirage.

Meal while, the ageing coal fired power stations have been more susceptible to outages and disruption because they are old. We know that is the case. We had years of debate in the chamber over there about Liddell. They stood up and said Liddell is going to stay open. Liddell can’t stay open because of
the ageing nature of that infrastructure.

If they asked Kerry Schott, if they asked the experts who were appointed by government, they didn’t have to ask us, if they asked themselves and their experts say that was the answer that they were given but you had politics put ahead of and scare campaigns put ahead of good policy and now, now we are having to deal with the consequences of that.

Aemo market update

On cue as prime minister Anthony Albanese, energy minister Chris Bowen and his assistant minister Jenny McAllister talk about the energy crisis, the Australian Energy Market Operator has updated the market about potential shortfalls later in the day.

Here’s the latest for Victoria:

NSW has the largest forecast gaps, for now:

And meanwhile, in South Australia, the other state with level-three lack-of-reserve notices out in the last couple of hours:

The leaders have encouraged consumers to consider reducing consumption later today (which will probably be the most helpful in NSW).

For what it’s worth, a shift from 26% 28% to 43% is an increase of about 60% in Australia’s 2030 emissions target, compared with 2005 levels.

Updated

NSW power under 'significant pressure tonight'

While reiterating his support for Aemo and its intervention, Chris Bowen has added that the NSW grid will be under “significant pressure tonight” but added that he was confident blackouts can be avoided:

The best option is ensuring that energy generation occurs at the level needed and that is what has been happening. We have been working collectively, Aemo, the federal government the states and territories to avoid load shedding to avoid the load shedding and blackouts. The New South Wales grid will be under significant pressure tonight. Everybody is working all day to avoid load shedding this evening. We are confident we can avoid blackouts.

We will work hard to avoid load shedding. Aemo and minister Keane have asked people nothing essential should be turned off, nothing that is necessary for heating. If you have a choice about when to run certain items, don’t run them from six to eight. That is a small part of the equation.

Updated

'You can't fix a decade of inaction in 10 days'

The PM is asked about his election pledge to “lead a country that makes things” and what he makes of the challenges in actually doing that, considering rising prices of materials and staff shortages.

Anthony Albanese laments again the inaction of the previous government:

During the election campaign, I did say that I want Australia to be a country that makes things. I want a future made in Australia and we have a range of policies to address that, including a buy Australia plan.

It is quite clear to me and it has just been reinforced by what we have seen over repeat days and weeks, that the decade of denial and delay has had real consequences and what I think is really tragic is that our plan, including the powering Australia plan, wasn’t the first part of the policy that we announced.

I announced our rewiring the nation plan to fix transmission in my first budget reply. It wasn’t something that we worked up in my office or Mark Butler’s office, it was something that was worked up by the Australian Energy Market Operator. Their integrated systems plan outlined where the investment needed to happen. It is on their website.

We announced it, a $20bn fund, and what happened with the government? Nothing. Nothing, just crickets. Too busy, Angus Taylor standing up, talking about how good he is. Too busy producing letters that didn’t exist to the Sydney lord mayor to worry about his day job. Meanwhile, that is why we are at where we are now.

The tragedy of this is that the solutions have been identified by the sector itself. What we are doing is listening to the experts, as we have, we announced a policy, we are putting this in place today. But you can’t fix a decade of inaction in 10 days.

Updated

OK we’ve jumped straight into questions and, predictably, first up is a question to Chris Bowen about the Aemo’s intervention last night:

Yesterday’s invention means it is the best chance of getting a properly functioning energy system for Australia’s consumers – intervention. Aemo took a big step. When the chief executive said to me yesterday he felt this step was necessary.

I told him the Albanese government would support him 100% … It was necessary to step in … It will continue for not a day more or less than is necessary.

It means that the operator is effectively determining the best way for Australia’s energy to be generated and proceed and paid for and provided to consumers while the market simply wasn’t functioning.

Updated

Bowen says Australia has turned the 'climate corner'

Next up is climate minister Chris Bowen (hasn’t he been busy today), who begins by saying Australia has turned the “climate corner”.

First, just like the PM, he criticises the previous government before saying the Albanese government is sending a “different message”:

Today Australia turns the climate corner. For years, the Australian government told the world that was all too hard. Told Australians it was too hard. Told the world that Australia wasn’t up to it, and wasn’t up for it. Well the Albanese government today sends a very different message.

We send a message to the workers in traditional industries, in traditional energy, we’ll provide the framework for the jobs of the future. We’ll provide the policy for manufacturing jobs, powered by clean renewable energy.

We send the message to the rest of the world, to our friends and allies, that we’re partners in tackling the climate emergency. We send the message to Australians that we seek to end the climate wars, as the prime minister said.

Updated

A chance to 'end the climate wars'

Anthony Albanese has continued, first criticising the previous government for its inaction over almost a decade, and pointing out the support this move has among business representatives:

When I’ve spoken with international leaders in the last few weeks, they have all welcomed Australia’s changed position. Our changed position of 43%, up by 17 to 15%, from the 26 to 28% target has remained there since Tony Abbott determined it in 2015.

Scott Morrison went to the Glasgow conference last year and gave an empty speech to an empty room with no changed position. We saw a pamphlet released by a former government rather than a policy framework and we continued to see arguments even during the election campaign about the science of climate change, let alone the need to act.

What today demonstrated with the presence of the Australian industry group, the Business Council of Australia, the Clean Energy Council, the Australian Conservation Foundation, the Australian Council of Trade Unions and others who couldn’t make it because the chair and heads of the NFF are overseas, but they support the policy as well, is an opportunity that Australia has to end the climate wars.

Updated

Albanese announces 'enhanced' climate target

Prime minister Anthony Albanese has stepped up for a media conference, saying he has written to the executive secretary of the UN framework convention on climate change to convey Australia’s “enhanced” 2030 target.:

This is done. We announced last December what our policy framework would be. At the time we released the most comprehensive modelling of any policy by any opposition since federation. What we didn’t do was set a target and then work out how to get there.

What we did was work out what good policy looked like, and it happened to come out with a 43% target by 2030. What businesses have been crying out for is investment certainty.

Updated

University of Melbourne establishes $115m research commercialisation funds

The University of Melbourne has announced it will establish two investment funds totalling $115m for research commercialisation.

A $100m fund, a joint venture between the university and investment firm Tanarra Capital, will support “the scaleup, growth and impact of exceptional University of Melbourne-affiliated start-ups from seed stage through exit”.

A separate $15m pre-seed fund, launched in conjunction with the state-owned company Breakthrough Victoria, will focus on early-stage research and new technologies.

Victorian treasurer Tim Pallas said:

Victorian researchers and innovators lead the world in so many areas, and we’re making sure they have the best chance to turn great ideas into great businesses.

The pre-seed fund has opened for expressions of interest from people who are interested in forming startups. The fund is set to open to University of Melbourne students and alumni later in the year.

Updated

Perrottet says he will be raising migration with PM as staff shortages bite

NSW premier Dominic Perrottet faced the media earlier this morning and was asked how exactly the state government expects to fill staff shortages in the education sector before it implements its expanded childcare program.

He pointed to migration as a potential solution, noting that borders have been closed for about two years and that, with unemployment below 4%, Australia should look overseas to fill its staff shortages:

There is no doubt we have a challenge right across our state, right across our country, with staff shortages.

Everywhere we go right now there are challenges that come with having an unemployment rate below 4%.

We’ve had our borders closed for two years, and we need to be looking at new ways of attracting people into the country. The commonwealth has an important role to play here. I’ll be raising this with the prime minister this evening.

We’ve had our borders closed for two years and we need the commonwealth Department of Home Affairs to be processing applications for people to come into this country. And at the moment the wait is too long.

There is a major backlog with visa applications that need to be processed by the commonwealth government.

Updated

Childcare overhaul will be 'profound', Andrews says

Victorian premier Daniel Andrews has unveiled his government’s $9bn package to overhaul childcare, saying the changes are long overdue and will be “profound”

Andrews said the current childcare system was holding back working people, especially women, and that the changes his government has proposed, including offering a “pre-prep” year for free, would free up parents:

You’re not so much working for your family, as you’re working for the Australian tax office. It can actually cost you money to go back to work beyond, say, two or three days per week.

That doesn’t make any sense. That’s holding families back, particularly holding women back.

It’s fantastic for parents, particularly mums, being able to get back into the workforce or study or do whatever it is they choose to do.

At the moment there isn’t that choice. Mums are denied that choice, more often than not, so it is about economic power, it’s about independence, it’s about making a full and meaningful contribution if you choose to do that in the workforce.

Updated

Kean says he is 'cautiously optimistic' energy crisis is easing

Sticking with Matt Kean for a moment, he was just fronting a press conference in NSW, where he said he was “cautiously optimistic” the energy crisis will ease in the state today.

Kean said he had been informed yesterday afternoon that a generator at the Bayswater power station wasn’t going to come online, leading to calls from the government for consumers to reduce their usage:

I can inform the public that that generator will be coming online tonight so supply conditions will ease – that is the outlook so we’re cautiously optimistic that everything will be fine for the foreseeable future.

But we are monitoring the situation closely because of the changed weather conditions and the unreliability of our existing equipment.

Updated

NSW treasurer and energy minister Matt Kean has refused to clarify if Origin Energy made an offer to keep Eraring power station open longer or to sell the plant to the NSW government last July.

Kean was on 2GB this morning and was pressed on the issue, but refused to provide further details:

Let me be very clear. We engage in good-faith discussion with companies like Origin. We consider a number of options.

We considered a number of scenarios that were put to us. When we consider a range of scenarios … we consider the cost. We do so in a way that weighs up in the best interests for taxpayers and for electricity.

I always take responsibility, but let’s be very clear. I didn’t invade Ukraine. I didn’t make the generators [into] old equipment and I certainly didn’t make the weather cold.

So I’ll take responsibility for making sure that we’re doing everything possible to keep the lights on and prices as low as possible.

Updated

PM and energy ministers to give press conference

Further to Daniel Hurst’s update this morning on the federal government’s signing ceremony of the 43% emissions reduction pledge, Anthony Albanese will hold a press conference in Canberra at 9.50am today.

He’ll be joined by the minister and assistant minister for climate change and energy, Chris Bowen and Jenny McAllister. We imagine they might get a couple of questions about energy.

Updated

Victoria records 22 Covid deaths and 7,889 new cases

Victoria has reported 7,889 new Covid cases and 22 deaths overnight:

Updated

NSW records 17 Covid deaths and 9,117 new cases

NSW has recorded 9,117 new Covid cases and 17 deaths.

Updated

Formula One to remain in Melbourne for 10 years

And in breaking news this morning, Formula One has announced that Melbourne will continue hosting the Australian grand prix for 10 more years.

And in a first, F2 and F3 will also join the the Melbourne undercard from next season.

The contract with the Victorian government was due to expire in 2025, with NSW interested in poaching the race, but the deal has put to bed any changes.

F1 CEO Stefano Domenicali said the Melbourne race had been a “favourite”:

The race has always been a favourite for the fans, drivers and the teams and Melbourne is an incredible and vibrant international city that is a perfect match for our sport.

This year we saw huge crowds and passionate fans at the grand prix, and we are very excited by the future in Australia as our sport continues to grow.

Updated

Lambie labels energy crisis 'disgraceful'

Independent senator Jacqui Lambie is urging the Albanese government to step up and resolve the energy crisis, which she described as “disgraceful”.

Tasmanian senator Jacqui Lambie
Tasmanian senator Jacqui Lambie. Photograph: Mike Bowers/The Guardian

Lambie was on Sky News this morning, and said while there was no “quick fix” to the issue, energy providers were holding Australians to “ransom”:

We’ve got to a point now where these corporations, who don’t pay their tax either, [are] holding us for ransom.

Quite frankly we need to keep [our assets] in Australian hands and if that means in government hands … well, that’s what we need to do to make sure we stay online over the next 20 to 30 years.

We’ve got to do something and need to put this country first. It’s not something we can sit on the fence with either.

Updated

Doctors call for say in planning for disasters

The Australian Medical Association has released an updated position statement on the role of doctors in disasters, calling for specialist and frontline doctors to be included in planning for disasters. The AMA also wants those doctors to be involved in emergency management meetings.

AMA president Dr Omar Khorshid said the statement considered the ethical conflict doctors face in allocating limited medical resources in a disaster zone, and the dilemma doctors who are government medical advisers may be confronted with:

These doctors may experience dilemmas when the government’s political view and the broader public health perspective on a particular aspect of disaster response are not aligned.

Khorshid said a particularly confronting challenge in a disaster was the allocation of life-sustaining resources which “may involve decisions not to actively treat gravely-injured individuals who cannot be saved in the specific circumstances of time and place in order to treat others who can be saved”.

The position statement highlights the major medical professional values and ethical principles that should guide doctors in the face of those ethical challenges.

The position statement comes after the experience of doctors in the bushfire and flood catastrophes and amid the continuing pandemic.

Updated

Australian Energy Council chief welcomes Aemo intervention

Australian Energy Council chief executive Sarah McNamara says electricity generators have welcomed the Australian Energy Market Operator’s (Aemo) intervention in the market on Wednesday night.

McNamara was on ABC News Breakfast this morning, and said the current energy crisis was due to a combination of global issues, include the Russian invasion of Ukraine, as well as several Australian power plants needing unscheduled maintenance.

The situation was becoming difficult for the market operator to co-ordinate, so we were pleased and supportive of the market operator’s decision to step in and start controlling the market for the next few days.

It is actually a system that has performed extremely well since it was set up back in 1998.

Australians have experienced very little in the way of reliability concerns through that time.

The system is actually continuing to work well. It is just under a lot of strain at the moment. But people should be assured that the market operator and all of the industry players are on the same page in terms of being committed to bringing enough supply online to keep the lights on and to manage the price shocks.

Australia paying for years of inaction, energy minister says

Chris Bowen has been making the media rounds this morning and has also appeared on the Today show, where he said the “system is creaking”.

Bowen emphasised the age of coal power plants, adding that Australia was paying for years of inaction:

There are many coal-powered station outages, which is putting huge pressure on the system in NSW.

Some are expected and some unexpected – unexpected breakdowns at coal-fired power stations, which is inevitable as the coal-powered fire stations get older. And we haven’t seen the investment in renewable energy and storage – nowhere near the amount we need.

Energy minister Chris Bowen
Energy minister Chris Bowen. Photograph: Dan Himbrechts/AAP

He said he was confident blackouts could be avoided but the situation was “tight”:

NSW is the state that’s the tightest today, and we’re all working to avoid any load shedding, if at all possible this evening; this evening is where the crunch comes.

I want to make this point: at its heart, it’s a problem caused by coal-fired power station closures and outages, some expected maintenance, some delayed maintenance from Covid, and some old equipment. We need the new investment. That’s what our policies do and that’s what we will deliver.

Updated

NSW and Victoria announce plans to introduce extra year of schooling

So the below comes as both the NSW and Victorian government move to introduce an extra, free year of preschool in the next decade.

Both the NSW and Victorian premiers, Dominic Perrottet and Daniel Andrews, want to introduce a new year for four- and five-year-olds.

In NSW, the program will begin from 2030, and will be introduced as a year before kindergarten, while in Victoria it will start from 2025, with a new year of schooling before what is known as prep.

In a joint statement, the premiers said children would attend five days a week, and it would be free of charge:

It will mean that, in the next 10 years, every child in Victoria and NSW will experience the benefits of a full year of play-based learning before their first year of school. At the same time, it will benefit hundreds of thousands of working families.

While more community preschools and staff are needed, both governments are confident the plan will have ripple effects across the economy and the education sector.

Updated

Preschool policy a 'game changer', NSW minister says

NSW education and early learning minister Sarah Mitchell is spruiking the state’s new education policy, which includes $5.8bn allocated to training up educators and building more preschools.

Mitchell told the Today show she was confident there would be enough educators despite the current teacher shortage, adding she was sure there would be enough staff to fulfil the government’s plan:

We want to expand our existing preschools. It’s a game changer and it’s exciting and there is big money behind it, because we have to do well for our kids.

They do an amazing job, our early childhood workforce, so this is our chance to invest in them and grow and set children up for that best start of life.

Updated

‘The national energy market is a complicated beast’

Chris Bowen was then asked about the energy market and generators, and whether they had been acting in the interest of consumers. The minister was cagey in his answers, neither criticising nor defending the system and the generators, instead striking a concillatory tone:

The national energy market is a complicated beast … the energy regulator wrote to the generators last week and reminded them of their legal obligations to bid in fair and accurate rates and reminded the regulator was monitoring behaviour but yesterday the judgment was made that wasn’t enough, the operator needed to step in and take control.

I’m not here to second guess, the energy regulator has our full support … There are things state and territory ministers will look at with me to see how this situation unfolds and needs to change but, in the short-term, and days ahead, we will work with the existing rules, those rules let us do what happened yesterday.

Updated

Bowen says energy crisis the result of 'a decade of underinvestment' in renewables

Next up, energy minister Chris Bowen was on ABC News Breakfast this morning and, like the PM, he laid the blame for the energy crisis on the previous government.

Power lines
Blackouts are still possible along the east coast. Photograph: Jono Searle/AAP

Bowed said a “a decade of underinvestment in renewable energy and transmission” has brought about the situation faced by states along the east coast, where blackouts are still possible:

This is the result of a decade of underinvestment in renewable energy and transmission and storage … Last week I convened state and territory energy ministers who agreed on a comprehensive national plan to fix that.

Its a big step forward but a challenging situation. But good news, the regulators and operators are working very closely with governments and we are managing that situation, we have avoided lockouts and avoided load shedding so far and yesterday was an extreme action, not taken lightly but it was a judgment that it was what was absolutely necessary to act in the best interests of consumers to intervene and close the market and take control and that’s what happened yesterday, it was the right decision.

Asked how long this crisis could continue, and whether it might last all winter, Bowen said he was in conversation every day to review the situation:

I don’t envisage that long but reviewed on a day-to-day basis in a very clear that the regulator and operator – and I’ve been clear with that chief executive of the operator, he has my full support for any action he deems necessary – the government will back the operator and regulators 100% and this intervention will not be lifted one day earlier than it needs to be, in his judgment.

Updated

Workers 'deserve real wage increase', PM says

Albanese is next asked about the Fair Work Commission’s decision to raise the minimum wage, and whether or not that could lead to higher rates of inflation.

The PM says the commission’s president, Iain Ross, took into account the economic environment when the decision was announced. When pushed, he says workers deserved the raise:

Iain Ross has said is that he took into account the economic circumstances and the pressure which particularly low-wage workers were feeling. Patricia, I just spoke about the support that was provided in the May budget on a bipartisan basis because of the pressure that particular groups were feeling.

But you have a circumstance whereby when you have inflation rising, the cost of everything going up except for people’s wages, I was asked during the election campaign would I welcome having a real wage cut for the lowest-paid workers. And I said absolutely, and I stand by that.

We’ve made it clear that this was a particular circumstance at at this time, for the national wage case for minimum wage workers in the context as well, of those minimum wage workers being hailed as heroes during the pandemic, so they deserve a bit more than just our thanks and our applause. They deserve a real wage increase.

Updated

'Policy failure led to market failure,' Albanese says

Anthony Albanese is on RN Breakfast this morning and begins his conversation by discussing the energy crisis gripping the country.

The PM says it should be a “source of incredible embarrassment” for the previous government that this situation has arisen:

This is a direct result of a failure to invest, of a failure to have an energy policy … and as a result of that we have the circumstances that Aemo are dealing with. What we’ve seen is a failure of policy that has lead to a market failure.

There are weaknesses, clearly, that have been exposed … and all of the lessons of what is happening will be examined and if there needs to be any policy adjustments they’ll be made.

Albanese is asked if the rules need to change but stops short of announcing any new policies:

We’ll continue to monitor … my instinct is to not make policy on the basis of a radio interview … after 10 years of knee-jerk reactions … my government will act in a considered and sober way.

Updated

US Federal Reserve raises interest rates

So I just wanted to zero in on the Federal Reserve hiking interest rates in the United States after it announced a 0.75 percentage-point increase overnight.

The rate increase is the biggest since 1994 and reflects the gravity of the economic situation facing the country, which is facing the highest rate of inflation seen in 40 years.

The Fed chair, Jerome Powell, said the central bank had decided on a larger-than-expected rate hike to deal with the inflation, and indicated that a similarly outsized rate rise should be expected at its next meeting in July unless price rises softened:

We at the Fed understand the hardship inflation is causing. Inflation can’t go down until it flattens out. That’s what we’re looking to see.

You can read more on the rate hike at the link below:

Wall Street rallied on news of the hike and the Fed’s later assurance that such mega-hikes would not be common.

The S&P 500 climbed 54.51, or 1.5%, to 3,789.99 after whipping through roller-coaster trading immediately following the Fed’s latest move to fight inflation.

In equally topsy-turvy trading, Treasury yields eased in the bond market after Powell seemed to soothe the market’s fears about an overly aggressive Fed by implying more modest rate increases may be coming later this year.

The Dow Jones Industrial Average swung between a gain of 647 points and a loss of nearly 180 before finishing with a gain of 303.70. It closed at 30,668.53, up 1%. The Nasdaq composite jumped 270.81, or 2.5%, to 11,099.15.

The market’s ebullience was a sharp turnaround from the worldwide rout that has dominated much of this year, which forced the S&P 500 into a bear market earlier this week.

Updated

ISPs asked to block access to illegal gambling website

The communications regulator has asked internet service providers to block access to thepokies.net, a popular illegal gambling website that it says is causing significant harm to Australians.

Thepokies.net gets 30,000 visits a month, has taken tens of millions of dollars from Australians and is the most complained-about illegal gambling website so far this year, the Australian Communications and Media Authority said.

Acma said the site was operating online casino-style games, which are prohibited under Australian law. Its chair, Nerida O’Loughlin, said:

We have received more complaints about thepokies.net this year than any other illegal gambling website, and it is clearly doing a lot of harm to the Australian community. Complaints have ranged from people who have lost significant amounts of money through to the site refusing to honour deposits and winnings.

Acma has asked for blocks on more than 500 sites since it got the power to request them in 2017.

Along with thepokies.net, Acma has also asked ISPs to block casino websites Azure Hand, Abo Casino (yes, it’s really called that), Betroom, 777Bay, Space Lilly, Jet Casino, Katsu Bet and Winz:

By blocking access to sites like this we are sending a strong message that the ACMA can and will take action to stop illegal operators from targeting Australians.

Acma has had difficulty stopping illegal casino sites from offering their wares to Australians – something Guardian Australia examined last year.

Updated

Albanese to submit new climate target to UN

The Albanese government is preparing to formalise one of its key election promises: a 43% cut in emissions by 2030.

The new government’s more ambitious mid-term target will be outlined in an updated nationally determined contribution to be submitted to the UN framework convention on climate change secretariat.

The government will sign the document at an event at Parliament House in Canberra about 9.15am today. The prime minister, Anthony Albanese, will be joined by the climate change and energy minister, Chris Bowen, and the assistant minister, Jenny McAllister, for the event. Key industry stakeholders are also expected to attend.

The previous Morrison government last year overcame internal divisions to agree to a target of net zero by 2050. But the former government refused to upgrade Australia’s formal 2030 target, which remained stuck at the Tony Abbott-era level of a 26% to 28% reduction compared with 2005 levels.

Albanese went to the election with a policy of upgrading this target to 43% – but now faces pressure from the expanded crossbench in federal parliament to commit to an even more ambitious target to remain consistent with the Paris agreement goal of pursuing efforts to limit heating to 1.5C.

The government has said it will stick with the target it took to the election, saying it had formulated its proposed policy measures and then modelled their impact in order to come up with the 43% pledge. But Bowen told Guardian Australia it would be good if the policy achieved an even greater reduction:

Obviously, we’ll be seeking to implement our policies, and we hope they will be very effective. If they are more effective than we have modelled, fantastic.

Last year the Morrison government communicated an updated NDC to the UN that included the Coalition’s “technology not taxes” slogan and argued that Australia was on track to overachieve on its unchanged formal 2030 target.

Updated

Good morning

Good morning, Mostafa Rachwani with you on this cold Thursday, with much already going on.

We begin in Canberra, where prime minister Anthony Albanese will be signing off on one of Labor’s key election promises, a 43% cut in emissions by 2030. An event is expected later this morning, featuring key ministers and industry figures, to mark the new target.

The energy crisis continues today, after the Australian Energy Market Operator took the extraordinary step of suspending the market across the entire east coast electricity power network last night. Aemo said the chaos in the preceding days had made it “impossible to operate”.

In the US, the Federal Reserve has announced its biggest interest rate hike since 1994. Amid soaring inflation and a potential recession on the horizon, the Federal Reserve announced a 0.75 percentage-point increase, with ripple effects expected across the world.

Updated

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