The first rule of politics is to never waste a crisis. The current fuel crisis due to the Iran war is one the Australian government needs to seize. The old political concerns about taxing gas companies are now dead. Should the Albanese government fail to act it should not be surprised if voters angry at rising petrol, gas and electricity prices begin to look elsewhere.

Earlier this month, the independent senator David Pocock asked the Senate if it was true that Australians paid more in beer excise than gas companies did in the petroleum resources rent tax (PRRT).

It was true, drinkers of beer, spirits, cider or pre-mixed drinks are all paying more tax. Heck, even smokers still pay more excise than gas companies pay PRRT:

If the graph does not display click here

That senator Pocock made this point is not shocking, but the public support for his position highlights just how far and quickly the narrative has shifted.

Way back in 2014, I wrote a column explaining how the opening of the Gladstone LNG terminal would send our gas prices higher. It was based on work by the Australia Institute senior economist Matt Grudnoff’s paper, Fracking the Future.

Within six months of LNG production in Gladstone starting, wholesale gas prices in the east and south-east of Australia more than doubled, and because gas prices link to electricity prices, they also rose:

If the graph does not display click here

After the start of........

© The Guardian