JOINT MEDIA RELEASE

The Coalition will oppose the Albanese Labor Government’s Carbon Credits and Other Legislation Amendment (Integrity and Transparency) Bill 2026.

Introduced in the last sitting fortnight, the Bill purports to make a series of technical and administrative changes to Australia’s multibillion-dollar carbon credit market.

In fact, the Bill makes three highly controversial changes that would send a Net Zero wrecking ball through the economy.

One, the Bill would allow a mere claim to native title, regardless as to whether native title actually exists or may exist at law, to trigger a mandatory approvals process that would bog down the delivery of carbon abatement projects. This change was not recommended by the Chubb Review.

Two, the Bill would allow the Government to purchase carbon credits against an opaque ‘value for money’ test, replacing the current ‘least cost’ consideration. The new ‘value for money’ test would allow the Government to buy carbon credits if they support the Government’s “net zero strategies.”

Three, the Bill hands Chris Bowen sweeping new powers to disrupt carbon abatement projects through a special mechanism that would allow him to unilaterally declare methodologies void.

The Coalition will examine the Bill in more detail through the Senate Environment and Communications Legislation Committee which is due to report by 24 November 2026.

Shadow Minister for Energy and Emissions Reduction Dan Tehan said Labor’s Bill would have
perverse economic and environmental outcomes.

“This Bill will drown businesses in more useless red tape and slow down the delivery of
genuine carbon abatement projects,” Mr Tehan said.

“Dumping the ‘least cost’ financial test will allow the Government to funnel more taxpayer
dollars into carbon credits without a second thought.”

Shadow Minister for Infrastructure and Transport, Senator Bridget McKenzie said the
legislation will lock Australian families into Labor’s new car tax, forcing them to pay more
when buying a new hybrid, petrol or diesel ute or SUV from 1 January next year.

“Labor plans to make it easier for Tesla and the Chinese EV manufacturers to rake in
subsidies under Labor’s carbon tax on cars, all paid for by Australian consumers,” Senator
McKenzie said.

“Australian families should be able to choose the type of car or ute they need without the
Government intervening to distort prices in order to push everyone into EVs.”

Media contacts:
Tehan: Phil Connole M | 0417 063 605
McKenzie: Gerard McManus M | 0477 391 580

ENDS

Media contact: Sandie Gustus M | 0408 564 232 E | sandie.gustus@aph.gov.au