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AAP
AAP
Politics
Maeve Bannister

Crossbenchers urge long-term energy action

Independent Kylea Tink supports short term relief but wants a faster transition to renewable power. (Dan Himbrechts/AAP PHOTOS) (AAP)

Crossbenchers have backed short-term measures to address soaring energy prices while calling on the government to commit to a long-term plan.

The proposed laws will cap gas prices at $12 a gigajoule for 12 months, introduce a mandatory code of conduct for the gas market and roll out power bill support for welfare recipients.

The government proposed the measures to help shield Australians from the crisis caused by Russia's invasion of Ukraine which has driven up power prices across the world.

But independent MP Kylea Tink said problems in Australia's energy market began long before the war and highlighted the need to transition to renewable power sources sooner.

She proposed keeping the government's price cap for 18 months to give small and medium sized energy operators more certainty to offer renewable power options

"The reality is that these are the providers driving rapid transition to true green energy for households," Ms Tink told parliament on Thursday.

"This is an opportunity for the government to look more holistically at the role fossil fuels play in our society and for us to move away from them."

Fellow independent Allegra Spender supported the government's proposal but also called for a long-term plan for the market, and to ensure consumers were protected from future spike hikes.

Tasmanian independent Andrew Wilkie said gas companies were "shamelessly profiteering" off the Ukraine war, as he called for a tax on their profits.

"I'm sick of hearing stories of people in one of the richest countries in the world who are going without food to pay their power bills ... when the oil gas and coal companies are making profits like this," he said.

Victorian independent Monique Ryan said the government should be taxing what are essentially "war profits" made by gas exporters.

Independent think tank Climate Energy Finance welcomed the passage of the laws through parliament's lower house but said the most effective solution to the crisis would be to end Australia's dependence on fossil fuels for energy.

Director Tim Buckley said east coast gas suppliers were operating like "a cartel" and threatening national energy security.

"For too long the gas cartel has snubbed its nose at the expectation that they need to earn a social licence to operate," he said.

"Only when we cut ties with the rapacious fossil fuel industry will we be free to harness our plentiful, low-cost clean energy, and the enormous economic and social benefits of this once in a century transformation."

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