The program expects to allocate up to AUD2bn (US$1.3bn) in funding to accelerate the development of large-scale renewable hydrogen projects across Australia.

Queensland also plans to repeal the previous government’s legislated renewable energy targets regarding renewable’s share on the power-mix (50% by 2030, 70% by 2032, and 80% by 2035), while keeping its commitment to cut emissions by 75% by 2035, and achieve net zero by 2050.

Then the ACCC weighed in again in late March, warning, ‘the east coast outlook for Quarter 3 2025 has worsened. The market will need access to LNG producers’ uncontracted gas to mitigate the risk of shortfall’.

The report is the second part of a series from independent economic consultants Frontier Energy on modelling the economics of including nuclear in Australia’s National Electricity Market (NEM): the first part, released in November, established the base case against which to compare cost impacts based on the AEMO Integrated Systems Plan.

Amid the lower projections, the department said, "India remains the key export destination for Australian metallurgical coal along with Japan, with volumes remaining relatively stable for both."

Australia stands on the precipice of an impending power shortage crisis, set to hit households and businesses along its eastern coastline by 2027.

The package will introduce tax incentives worth A$7 billion for the processing and refining of 31 critical minerals and A$6.7 billion for renewable hydrogen production from the fiscal year ending June 2028 to the 2039-40 fiscal year.

Australia's total coking coal exports are expected to increase by 14% from 2023 levels to 171.9 million mt in 2025,

The assessment showed that pressures on Australia’s financial system from a surge in climate-related disaster claims could lead to a “plausible worst-case scenario” whereby insurers and lenders pull out of highly-exposed communities.

The deal will further facilitate Australia's exports of coal and liquefied natural gas to Vietnam, the ministry said in a statement, noting that Australia is now a key coal supplier to Vietnam, accounting for 44% of its total coal imports.