One Nation MP Barnaby Joyce said the cost of the Snowy Hydro 2.0 project could blow out to $42 billion [1].
The warning highlights a growing political conflict over Australia's transition to renewable energy and the financial viability of large-scale infrastructure projects. Critics argue that escalating budgets for these initiatives undermine the economic logic of the government's climate strategy.
Joyce targeted the Australian Labor government's reliance on intermittent renewable energy sources, which he said were costly and ineffective. He specifically pointed to the budget of Snowy Hydro Limited's project in the Snowy Mountains region of New South Wales and Victoria as evidence of a flawed approach.
"We are on this ludicrous, cultish attachment to climate policy which has done nothing but absolutely dragged our nose into the gravel," Joyce said.
The MP further questioned the effectiveness of wind and solar power on a systemic level. While he expressed indifference toward individual residential solar installations, he said large-scale efforts were problematic.
"All these intermittent power swindles, all the wind towers and the solar panels on the field, put them on your roof, knock yourself out, don’t care about that," Joyce said.
The Snowy Hydro 2.0 scheme is intended to expand the capacity of the existing hydroelectric system to support a greener grid. However, the potential for a $42 billion [1] price tag has become a focal point for political opposition regarding government spending and energy security.
“the Snowy Hydro 2.0 project’s cost could blow out to $42 billion”
The dispute over the Snowy Hydro 2.0 budget reflects a broader ideological divide in Australian politics regarding the speed and cost of the energy transition. If cost blowouts materialize as Joyce suggests, it may increase political pressure on the Labor government to justify the economic trade-offs of its renewable energy targets against the backdrop of rising infrastructure expenses.
