Latest news with #BusinessWeekend
Sky News AU
6 days ago
- Business
- Sky News AU
Pink Batts disaster invoked over Albanese government's $2.3 billion solar batteries installation scheme
Labor's $2.3 billion bid to cut the price of solar battery installation has sparked fears of another disastrous situation like the Rudd government's Pink Batts scheme where four men died doing installation work. Join to watch the full interview on Business Weekend at 11am (AEST). The Albanese government claims it will cut the price of battery installation by 30 per cent through its major rebate geared at bolstering the nation's renewables shift. It has rekindled memories of Labor's Pink Batts scheme under former prime minister Kevin Rudd's Home Energy Efficiency Program where young, inexperienced installers were not protected and died on the job. A Royal Commission found the deaths of the young men would not have happened if the scheme was properly designed and implemented. Industrias Services Group CEO Daniel Lazarus has invoked the horror scheme just weeks ahead of Labor rolling out the new rebates. 'We've audited thousands and thousands of systems and batteries across the country over the last ... 12 months and I've seen a material amount of these batteries and solar systems, which are either substandard or a small percentage of being unsafe,' Mr Lazarus said on Sky News' Business Weekend. 'Even that small percentage of unsafe systems is big enough to create real worries about what the scheme might do with the tidal wave of what's going to happen around all these installs.' He noted the design of the installation program was currently 'sound' and stressed that he was confident around industry standards, but warned Aussies would take advantage of the huge swath of rebates. 'The problem is with this huge influx of rebate schemes,' Mr Lazarus said. 'What will happen with the inevitable influx that will come within the industry to take advantage and what are they going to do to try and maximise the rebate that they obtain? 'How will they take advantage or at least avoid dodging a lot of these elements that are required to receive the rebate, that being standards?' Despite protocols and standards that arose since the Royal Commission into the Pink Batts scheme, there remains a lack of key inspection mandates across the country, Mr Lazarus cautioned. 'What we're really advocating to industry is around how do you make it such that either all systems, or at least the majority of systems, installed by every installer that's taking advantage of this rebate scheme, is getting physically inspected,' he said. The rebates under the Pink Batts scheme led to the number of businesses in the installation sector rising from 200 to more than 8000. It was originally meant to run for five years but finished after just one year and about 30 per cent of inspected installations in 2010 were found to have faulty craftsmanship or to be unsafe. Mr Lazarus said while there were a few fatalities, alongside less than 100 fires, it would only take a small number of incidents to destroy the whole scheme. 'The last thing that I want to see is a scheme like this which is meant for specific homeowners and the distribution of energy to be called off early,' he said. Labor said it expects to deliver more than one million batteries under its scheme.
Sky News AU
07-06-2025
- Business
- Sky News AU
Labor left with ‘no choice' but to force super tax after weak GDP figures in March, shadow treasurer Ted O'Brien declares
Labor has been left with 'no choice' but to go after citizens' earnings with its proposed super tax as slow growth plagues the nation and hurts tax revenue, shadow treasurer Ted O'Brien has declared. Join to watch the full interview with Ted O'Brien on Business Weekend at 11am (AEST). The Albanese government's proposal to double the tax rate on funds in super balances above $3m and target unrealised gains could soon be legislated as the Greens' approval is all the bill needs to go through the Senate. It comes as recent GDP figures showed Australia was headed back towards per capita recession territory with growth slumping to just 0.2 per cent in the March quarter. The super tax proposal has faced fierce backlash from the Opposition, economists and leaders in the business community. Mr O'Brien is among those and tore into the Albanese government's fiscal management on Sky News' Business Weekend. 'The only reason they're doing it is they've lost all discipline on fiscal responsibility,' the shadow treasurer said. 'Debt (and) deficits (are) going out of control and they've got no ambition for the Australian economy.' He criticised Treasurer Jim Chalmers who lauded the 0.2 per cent growth, arguing the uncertainty from Donald Trump's trade war meant any growth was a decent outcome. 'We heard it last week from the Treasurer after the national accounts came out. What, 0.2 per cent growth in the quarter? Seriously? Lower than last time!' Mr O'Brien said. 'At a yearly basis it's running at less than half of the long-run average of growth and the Treasurer is happy about that. '(There is) no ambition for growth of the Australian economy and when you have no ambition and you overspend, you have no choice but to go after the earnings, the money of your own citizens. 'That's what this super tax does.' Labor's plan to tax unrealised capital gains has drawn backlash from Aussies concerned about small businesses, farmers and startups as many put assets in their self-managed super funds or use it as a low tax investment vehicle. Wilson Asset Management founder Geoff Wilson said by forcing Aussies to pay taxes on paper gains it will hinder investment in Australia. 'Both Anthony Albanese and Jim Chalmers - and probably most of the government - are gaslighting the Australian people by saying: 'Look, this will only impact a very small percentage of people that pay the additional tax',' Mr Wilson told Sky News. 'That's correct, but what it'll do is actually impact about how $4.2 trillion in superannuation is invested. 'We anticipate that the money will come out of self-managed super funds (SMSF), which is about $1.1 trillion, and billions of that will go into the housing market and push house prices up . ' He cautioned Aussies who use their SMSF as a low tax investment vehicle will be discouraged from funding projects and businesses in the Australian market. 'People won't want to take risk on their superannuation in the self-managed super funds,' Mr Wilson said. 'The angel investors and the startups and the small companies in Australia that find it hard to raise capital, particularly at this point in time - that tap's going to be turned off.'
Sky News AU
01-06-2025
- Business
- Sky News AU
Beach Energy boss Brett Woods slams Victoria's gas policy after Santos CEO Kevin Gallagher likens state to North Korea
Another CEO of a major Australian energy company has torn into the Victorian government's gas policy after the state was compared to North Korea last week. Victoria's handling of gas development and the state government's attitude towards investment came under fire when Santos chief executive Kevin Gallagher lashed out at a conference in Brisbane. 'If I think about Queensland, South Australia, Western Australia – these are very supportive, very development-friendly jurisdictions,' Mr Gallagher said. 'Victoria? North Korea. They're different altogether.' On the sidelines of the same conference, Beach Energy CEO Brett Woods said getting gas projects approved in Victoria had 'been a challenge'. 'Victoria still have had quite a negative policy in terms of what the role of gas is in the state,' Mr Woods said on Sky News' Business Weekend. 'I think the recognition now, with industry shutting down and foreclosures and other things, (is) that they need more gas. 'We're ready to help, we just want to get after our projects so we can move them forward.' Victoria continues to be the most gas-dependent state in the country as the fuel is critical for warming homes and businesses during winter. However, a green energy focus, depleting offshore gas supplies and historical moratorium banning gas exploration, which was lifted in 2022, means Victoria faces looming shortfalls and may have to begin importing liquefied natural gas in the coming years. Mr Woods said red tape and delays meant it took more than 40 approvals to get a single gas well online in Victoria. 'That was challenging. It took considerable time,' he said. 'That really challenges our ability to continue to explore and invest. I think in recent months we've seen positive energy out of Victoria to see more gas, so that's been great. 'But when you have these challenges, it's hard to bring shareholders and boards along to the journey about deploying company capital.' Victoria was formerly a major gas powerhouse and exported the fuel source to NSW and South Australia, however, concerns about the future of gas in the state are now common. The Australian Competition and Consumer Commission earlier this year warned about winter shortfalls in south-eastern states, while the Australian Energy Market Operator (AEMO) projects shortfalls during peak demand from 2028. AEMO also forecasted annual supply gaps from 2029. While some smaller players look for gas onshore, the major players are avoiding this and looking towards more development of offshore gas. ExxonMobil and Woodside have recently approved a $350m investment to launch new drilling projects in the Bass Strait, while ConocoPhillips will spend more than $100m on drilling two exploration wells in the area.
Sky News AU
31-05-2025
- Business
- Sky News AU
Labor's unrealised gains tax sparking 'real panic' for small businesses, Chartered Accountants ANZ's Tony Negline warns
There is a 'real panic' over Labor's plan to double the tax rate on super funds above $3 million and target unrealised capital gains, a leading self-managed super fund expert has declared. Join to watch the full interview on Business Weekend at 11am (AEST). Labor's plan to hit unrealised capital gains has sparked concerns amongst small business owners and farmers who hold assets in their SMSFs. If the change is legislated, they will be forced to pay 30 per cent tax on the assets' increase above the $3m threshold despite not reaping the paper gain from it. Chartered Accountants ANZ's super and financial services leader Tony Negline said 70 per cent of his company's members did not favour the policy, with many concerned about the taxing of unrealised gains. 'We think unrealised gains is a major issue,' Mr Negline said. 'It's a terrible issue for farmers because the value of farm properties, in some cases, is going up dramatically, but the increase in cash flow is not matching that. 'So they're then saying, 'How do I pay this tax bill?' 'Small businesses, such as farmers (or) any small business that has their commercial property in their self-managed fund, has got real concerns. 'One of our members described to me yesterday, in some cases, there's a real panic.' Alongside concerns from farmers and small businesses about the tax, others have warned this will hurt startups. Wilson Asset Management's founder Geoff Wilson said investment will tighten and move away from the high-risk sector. 'People will move away from taking risks. They'll restructure their investments. It could be more money into the family home or their children's homes or their primary place of residence or their grandchildren's homes," Mr Wilson told 'More money away from risk capital and supporting corporate Australia - small and medium-sized companies in corporate Australia. It's the lifeblood of Australia.' After Labor's sweeping election victory, the Albanese government now only needs the support of the Greens to get the super tax legislation through the Senate. The Greens called for the threshold to be lowered to $2m, but indexed over time. Labor has tried to get the legislation through the Senate multiple times, at one point attempting to link it with a bill which would have scrapped debit card surcharges and reduce surcharges on credit cards. However, it was opposed by Senators David Pocock and Jacqui Lambie, who joined forces with the Coalition to defeat the proposals.
Perth Now
26-05-2025
- Business
- Perth Now
‘I don't apologise': Bunnings boss responds
Wesfarmers chief executive Rob Scott has hit back at an ABC Four Corners documentary accusing Bunnings of pressuring suppliers, stifling competition and inflating prices, saying he 'does not apologise for trying to build a successful business'. The episode aired last week and put the beloved Australian hardware giant under scrutiny, highlighting supplier complaints and examining the chain's $19bn revenue and $3.2bn profit in 2024, figures that equate to a 16.8 per cent profit margin, nearly double that of supermarket giants Woolworths and Coles. Speaking on Sky News' Business Weekend, Mr Scott defended Bunnings' operations and rejected the suggestion that the company engaged in unfair practices. 'We pay our team members more than well above the award rates, the relationships we have with our thousands of suppliers are very strong and longstanding,' Mr Scott said. Bunnings Warehouse has been accused of stifling competition and inflating prices. NewsWire / Andrew Henshaw Credit: News Corp Australia 'Now, occasionally, businesses make mistakes and when they do make a mistake, it's important that they own it and face into it.' Mr Scott also acknowledged that Bunnings' presence in certain retail precincts could put pressure on competitors but maintained this was ultimately a benefit to customers. 'There is pressure on the competition, but at the end of the day someone has to be there for the customer, right?' he said. 'Someone has to offer great value to customers and remembering as well that I don't apologise for trying to build a successful business in Bunnings.' He added that the company was contending with major global retailers and remained focused on maintaining local jobs and opportunities. 'We are fighting tooth and nail against some very big and fierce international competitors in the retail space and we would rather that those jobs and those opportunities stay within Bunnings,' he told Sky News. Wesfarmers chief executive Rob Scott said he 'does not apologise for trying to build a successful business'. Credit: Supplied The ABC report also flagged concerns from suppliers who alleged the company marked up products significantly to boost profits, with critics claiming Bunnings' pricing strategy was misleading. In response, Bunnings said its margins weren't directly comparable with supermarkets because of the nature of its stock and slower product turnover. Bunnings' business practices are also expected to come under further scrutiny as part of a federal Senate inquiry into the market power of so-called 'big box' retailers, including Ikea and Costco. In a statement following the Four Corners broadcast, Bunnings managing director Mike Schneider said the company 'strongly rejects any suggestions made in the program that we engage in anti-competitive behaviour, bullying, underpayment of our team or that we seek to limit consumer choice or the application of our price guarantee. 'We want to reaffirm our commitment to the values that have guided our business for decades which is in direct contrast to the characterisations made by the ABC.'
