The federal government must overhaul its centrepiece power policy or suffer defeat at a crucial meeting with states and territories, the ACT government has signalled after a report found the package risked driving up electricity prices and may not reduce the chance of blackouts.
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| Environment Minister Josh Frydenberg is on Wednesday expected to urge the states to adopt the national energy guarantee. |
Environment and Energy Minister Josh Frydenberg is due to address the National Press Club on Wednesday, when he is expected to issue a rallying cry to states and territories to sign up to the national energy guarantee and end the ideological stalemate that has paralysed Australia's climate policy for more than a decade.
But the ACT government – geographically Australia’s smallest jurisdiction – has received expert advice that cast serious doubt on aspects of the package, and on Tuesday warned it will not back a plan that is “detrimental” to its constituents.
The Turnbull government needs unanimous support to change electricity laws at a Council of Australian Governments’ energy ministers meeting in Melbourne next week.
Read Nicole Hasham’s story from The Age - “‘Detrimental': government pressured to compromise on energy plan.”

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