The Greens vow to use a new pollution trigger — secured in negotiations with the government on its key emissions reduction policy — to challenge future coal and gas projects.
The government's safeguard mechanism will require the nation's heaviest polluters to reduce or offset their emissions by 4.9 per cent each year to 2030.
After a deal with the Greens, the laws would also force the minister to consider whether to approve future coal and gas projects if they threaten to blow out emissions reduction targets.
However, the Greens have agreed to support the bill, begrudgingly, saying it still does not do enough to address climate change. They maintain that the science demands an end to any new coal and gas projects.
The party claims its changes will derail plans for the Beetaloo Basin gas project, and threaten the viability of several other proposed projects, but acknowledges it does not achieve the party's key election goal: to end new coal and gas.
On social media, Greens senator Nick McKim said the party had been forced to make a deal with a "corrupt, ecocidal government of a petro-state", in part because its negotiating position had been undermined by people in the environmental movement.
Greens Leader Adam Bandt told the ABC that his party would spend the rest of the term fighting to shut down any new projects that come before the government.
"What we've got in the legislation now is the ability, for the first time ever, for the minister to put restrictions on, or stop, future coal and gas projects if they're likely to lift pollution above the cap," Mr Bandt said.
"That's what we'll spend the rest of our time in this parliament focusing on, stopping these remaining new coal and gas projects going ahead."
Mr Bandt said that, from now on, every new coal and gas project could be stopped, and that it would be "squarely on Labor's shoulders" if they proceeded.
He said the party would also push to install a climate trigger into environmental laws, when those are overhauled later this year, which would require climate change to be a consideration for future projects under the EPBC Act.
Minister says future energy investments need careful review
Energy Minister Chris Bowen disputed the Greens' claim that half of the 116 gas and coal projects in the pipeline would now not be viable, saying many would likely have never gone ahead anyway.
He also noted that the emissions limits, as written, already included room for planned projects and a buffer for new proposals, and so those projects should not threaten to exceed the cap.
However, he said, energy companies would rightly have to carefully consider future investments.
"If emissions go up, frankly, the government of the day, the minister of the day, would be obliged to consider options. That is quite appropriate," Mr Bowen said.
"We have required new projects — whether they be gas or anything else — to meet international best standards on emissions. A project will either have to invest in onsite abatement with the technology available to them, or offset that.
"Companies can factor that into their investment decisions. They will have to factor that into their investment decisions, but that it quite appropriate for our country."
Mr Bandt said a fall in the share prices of Woodside and Beetaloo developer Tamboran Resources yesterday was recognition from the industry that "the writing was on the wall" for fossil fuels.
Mr Bowen would not comment on the share price fall, but said the government had struck the right balance between climate and economic concerns with its bill, which has the broad support of environment and industry groups.
