EMBARGO: 7.00 p. m.
1, j AU SRA L IA 1
PRIME MINISTER
FOR PRESS 4 September 1977
ELECTORATE TALK
Governments and people throughout the world are concerned
about the conservation of energy and the need to develo-p energy
resources and technology for the benefit of all people.
Australia because of our abundant energy resources has special
obligations. We have a need for a sound and workable energy
policy to achieve a balanced development of our resources.
When framing our policies, we must strike a balance between
our own present and future needs. We must also : strike a balance
between our own energy interests and our responsibility to
contribute an adequate and stable supply of energy raw materials
to other countries. My government is acutely mindful of its
dual obligations in this critical area.
However, we do not see a detailed national energy policy as
a rigid blueprint to develop our resources. Rather, we believe
an energy policy must be flexible so it can adapt to changing
circumstances and needs.
The Government's role is to create conditions for the prover
and balanced development of energy resources, with full regard to
the impact on people and the environment. We are creating
those conditions.
The Government's resource initiatives are key and integral
elements in our energy policy. Our decisions on the mining and export
of uranium, the development of the North West Shelf, and
our crude oil pricing policy -along with mining industry
incentives are interwoven. They were not isolated decisions,
but taken with full -regard to the requirements of an evolving
energy policy.
Although we are resource-rich compared with most countries,
Australia's greatest resource deficiency is liquid fuel
which is such a vital energy source. In the absence of further
discoveries, our domestic production will contribute a declining
proportion of our liquid fuel requirements in the years ahead. ./ 2
There are several ways of tackling this problem including,
encouraging the development of our known crude oil and
exploration for new oil; encouraging conservation of our
resources with appropriate pricing and other policies;
constantly examining new technology in meeting our energy
requirements, and in particular, our liquid fuel requirements.
The Government is taking positive action in each of these areas.
We have encouraged oil exploration and development through a
wide range of incentives. Our record stands in stark
contrast with the Labor Government which refused to encourage
the search for more oil, to the nation'is cost. We have
encouraged the conservation of our scarce crude oil resources
through our pricing decision. We increased the price of crude
because we could not afford to continue with a pricing policy
that flew in the face of all energy conservation principles
by condoning excessive consumption of our scarce supplies.
We also needed a pricing policy that encouraged new exploration
to make sure of the full recovery of our known deposits.
We now have that policy.
It is clear that Australia's energy research must be stepped
up significantly as a matter of urgency if we are to develop the
required technological capacity to participate in world advances.
We-are. taking--pos. itive-and planned steps to improve our
energy technology and we will play our part in developing
that technology for the world to share.
For example, we are examining the possible production of liquids
for fuel from coal. The Government has announced it it willing
to join with the States and the Federal Republic of Germany
to examine the feasibility of setting up a coal based motor
spirit plant in Australia.
Australia has also signed an agreement with the United Kingdom
to encourage joint cooperation in coal'technology and research.
Discussions with the United States are also at an advanced stage
in this area. A Government official a coal research sp~ ecialistwill
be visiting the United Kingdom and United States shortly
to liaise on detailed asp) ects of cooperation.
We have also announced a levy of 5c a tonne on coal production in
Australia in the next three years to finance coal research.
Of the so-called alternative energy sources, solar energy
seems the most logical for exploitation in Australia. There is
already a sizeable solar energy research programme in Australia
to which the Government is the main contributor of funds through
the C. S. I. R. O. and the Australian Research Grant Committee.
Unfortunately, Government spending restraints have meant that the
Government had to defer any immediate plans for expanded funding
in this area for the coming financial year. But the Government
has announced its decision that as resources flow from the further
development of uranium, additional funds will be provided to
increase substantially our national effort on solar energy research.
./ 3
3.
The Government has before it the report on solar energy
from the Senate Standing Committee on National Resources,
and is awaiting the advice and recommendations on energy
research and development from the National Energy Advisory
Council and also from the Australian Science and Technology Council.
These two expert bodies are also considering matters relating
to energy research and development in the context of overall
research and development in Australia.
The Government is aware of its obligations and responsibilities
with our great energy resources. Our actions have demonstrated
our commitment to conserving energy and developing those energy
producinfig materials we have'in abundance, to the benefit of
all nations.