On the same day as Snowy Hydro released its business case for the proposed $600 million Kurri Kurri gas plant, I received emails from "School Strike 4 Climate" students urging stronger action on climate change.
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I don't believe building the gas plant and taking strong action on climate change are incompatible.
Although you wouldn't know it listening to Scott Morrison and Barnaby Joyce, Australia agrees on net zero emissions by 2050. Most of us have no doubt that we need to move forward for the sake of our environment and our economy. Labor has had strong climate policies for years.
In the Hunter we recognise there are regional opportunities for renewables - industries such as hydrogen will grow, and manufacturing will follow.
But we need to ensure there is enough dispatchable power in the grid to keep the lights on and keep essential industries such as Tomago Aluminium in business.
Those who say we could end coal and gas generation tomorrow are not paying attention to the energy market and do not care about the workers in those industries and communities such as ours.
Liddell Power Station has at best two years to run.
Gas will continue to firm and peak electricity for the foreseeable future, while battery storage and hydrogen mature, and the barriers to pumped hydro are overcome.
The Kurri plant will safeguard the power system and provide critical back-up for growing renewable energy - its turbines can operate using 30 per cent hydrogen, and up to 100 per cent with upgrades.
Critics have said the business case would not stack up. I believe it does.
Returns to taxpayers are estimated to be 12.3 per cent at best and 8.4 per cent at worst, which compares favourably to the 7-9 per cent returns from large wind and solar farms.
The plant will firm the equivalent of 160,000 households' solar installations and reduce emissions by 87 per cent compared to coal-fired power.
Even if it runs only 2 per cent of the time, we need that additional, reliable fast-start capacity.
The main reason I back the plant is the 250 jobs that will be created during construction, and Snowy Hydro's commitment to employing local people and developing local apprentices.
I stand with the students who emailed me as a strong voice for climate action. But I also stand with our community as a strong voice for local jobs, businesses and families.
