The Hon Andrew Leigh MP
Assistant Minister for Productivity, Competition, Charities and Treasury
E&OE TRANSCRIPT
RADIO INTERVIEW
2CC RADIO CANBERRA, LIVE WITH LEON DELANEY
WEDNESDAY, 23 SEPTEMBER 2026
SUBJECTS: Fuel prices in the ACT; Fuel excise; Middle East conflict; UN Security Council; AI; Digital Duty of Care; Social Media Age Ban; Net Zero; Renewables; Intergenerational Report; Productivity
LEON DELANEY: It's no secret that we're all paying more for petrol and diesel at the pump. Of course, the conflict in the Middle East has caused fuel prices to spiral across Australia. What's less clear is why is it that motorists in Canberra consistently pay more than any other capital city? The federal Member for Fenner and Assistant Minister for Productivity, Competition, Charities and Treasury, Dr Andrew Leigh. Good afternoon.
ANDREW LEIGH: Good afternoon Leon, great to be with you.
LEON DELANEY: Thanks for joining us today. This is a question for which it's apparently very difficult to get a straight answer. But tell me, if you can, why is it motorists in Canberra have to pay more?
ANDREW LEIGH: Well, the competition watchdog looked carefully into this couple of years back and their conclusion was less competition. We have fewer independent retailers than you see in Sydney and Melbourne. The big players have a larger share of the market, and that leads to higher prices for consumers. We also have a lot of people using fuel cards who aren't as price sensitive and that again takes away another source of competition from the market. Of course, the main thing going on with fuel prices right now is the war in Iran but it doesn't help that we have these challenges in the market structure here in the ACT.
LEON DELANEY: Exactly. So, but as the Assistant Minister for Competition, isn't there something you can do about that lack of competition?
ANDREW LEIGH: We boosted resources to the competition watchdog and we've got them doing more fuel price monitoring than ever before. They've already instituted an inquiry into diesel price arrangements between a couple of the regional retailers and they are putting more scrutiny on fuel prices than they ever have before.
LEON DELANEY: Okay, scrutiny is one thing though, but actually establishing the conditions for increased competition would require some sort of activity at the level of the ACT Government, wouldn't it?
ANDREW LEIGH: We need more independent retailers coming in. Of course, that's about providing the opportunities for those independents to come into the market. What the ACCC can watch for is collusion, but we don't set prices in Australia. That's one of the inevitable features of a capitalist economy. So, as policymakers we're delivering on national competition policy, on merger reforms which ensure that there is better scrutiny over mergers than ever before and setting in place the groundwork for a competitive economy.
LEON DELANEY: Okay. Given that all Australians are feeling the pain at the petrol pump, why not go back to the previous policy of providing some reduction in the fuel excise? It was helpful before, why wouldn't it be helpful now?
ANDREW LEIGH: We felt that was appropriate as an emergency measure but to do it on an ongoing basis is extremely expensive. It's in the order of a billion dollars a month. That's money that has to be raised by higher taxes or lower services or more debt than Australians. And the Coalition's plan to do it every time the international oil price goes over $100 could well create a yo-yo effect of inflation – at $101, suddenly you get the discount – $99 you don't get the discount. You can imagine the chaos that would cause for inflation.
LEON DELANEY: So really the only message the government can give us is ‘Sorry, tough luck, suck it up’?
ANDREW LEIGH: We're making very clear with the United States and Israel that it is time to bring the conflict in Iran to an end. That is the principal driver of Australian fuel prices right now. The longer that conflict goes on, the more pressure that Australian motorists feel. So, that is the main game right now. Australia is obviously not a central player in the Middle East but to the extent that we are able to, we are making very clear that it is time to bring that conflict to an end which will of course have the flow-on effects of cheaper prices at the bowser.
LEON DELANEY: Okay. On the matter of international affairs, the Prime Minister, of course, is currently in New York. He's at the United Nations doing a couple of things, including lobbying for a seat on the Security Council. What would be the benefit of doing that?
ANDREW LEIGH: We saw last time we had a seat in the Security Council we were able to push very strongly the issue of the downing of MH17 and the Russian involvement in that. Having a seat at the main table allows you to be part of those important international conversations. As a middle power, it is a natural aspiration for Australia to be involved in the UN Security Council. If we're part of those conversations, we can shape them in the interests of Australia. It is good diplomacy, good international engagement and money very well spent, although it's not going to be a particularly expensive bid.
LEON DELANEY: Well, that depends on whether or not any other countries put their names forward. There's still quite a bit of the process yet to unfold. But that's not all the Prime Minister's up to. He's also promoting Australia's online safety and artificial intelligence policies but he seems to have met considerable resistance from the US President Donald Trump, despite the very broad smiles in their selfie that was posted on social media. Reports are that they have very big differences of opinion on those matters?
ANDREW LEIGH: We pursue the policies that we believe are in Australia's interests. That's included Australia's social media age ban reform, and the Prime Minister obviously went to Apple and spoke with Tim Cook about the work that Apple is doing to keep children safe online. We understand that the dangers are real. Canberra parents will have experienced those challenges of getting kids out, playing a backyard soccer game rather than being stuck doomscrolling on their devices. And all Australians understand the challenge of mis and disinformation, which is why the digital duty of care is so important.
LEON DELANEY: Well, the US Government has made an official statement describing Australia's policies as effectively tantamount to censorship and as you know, Americans don't particularly like censorship unless it suits them?
ANDREW LEIGH: We see it differently. Our view is that you should be able to make a choice when you start a social media account as to whether you want to see the best of your friends or the worst of the internet. That is a choice which is available to people in other places but is not currently mandated for social media apps working in Australia. Effectively, it's a choice between getting social media which is truly social or seeing the doomscrolling worst of the internet – that is the algorithm feeding up the most addictive content to us.
LEON DELANEY: Okay, there's a lot going on at the moment. Of course, today the federal Opposition has announced its energy policy which effectively eliminates existing net zero goals and other climate change measures. Can you understand why such a policy might be attractive to voters?
ANDREW LEIGH: Net zero is supported by all states and territories, Liberal and Labor. It's supported by major business groups in Australia. It's just sensible reform in order to bring down long-term power prices. The Coalition’s plan would push up power bills, make it more expensive to run your car and stop action on climate change. Angus Taylor has gone back to their plan at the last election for costly nuclear reactors in Australia's suburbs, despite the very clear evidence that nuclear is the most expensive form of new energy.
LEON DELANEY: But the Opposition is arguing that they're making available the choices to the market, so that the market itself can determine what is the most effective, most efficient and most cost-effective form of energy. What's wrong with allowing the market to take the lead?
ANDREW LEIGH: There's no private investors out there knocking down government doors saying ‘We really want to build a nuclear reactor’, Leon. The fact is, this is a technology which is far more expensive than the renewables that are being rolled out at scale across Australia. We're delivering our energy plan. We're investing in cheaper renewables backed by gas, batteries, and hydro. Canberrans are taking up batteries and electric vehicles in larger numbers than many other places in Australia and we have a very strong track record now of seeing that renewables transition and seeing the lower wholesale power prices flowing through the system.
LEON DELANEY: Okay, we also saw this week the intergenerational report – the latest iteration of that regular report, telling us a number of things. But a lot of it is based on the very brave assumption that productivity growth will return to something like 1.2 per cent, when it's been nowhere near that now for quite a period of time. As the Assistant Minister for Productivity, will you accept responsibility when we fail to reach that target?
ANDREW LEIGH: Well, our productivity target is on par with the United States and the United Kingdom – both of which have estimates of around 1.4, 1.5 percent increases in productivity. We believe that is a sensible target, but yes there's work to do which is why our national competition policy is proceeding apace, working with states and territories on productivity-boosting reforms like the reforms that saw productivity surge in the 1990s.
Just to give your listeners one example of one of the things we're doing, Leon. From next year, you'll be able to move to a better job without being constrained by a non-compete clause, so long as you're earning less than $190,100. Good for workers, good for businesses, good for economic dynamism and ultimately an important driver of productivity.
LEON DELANEY: Andrew, we could sit and chat about these things all day but unfortunately we don't have that time. Thanks for your time today.
ANDREW LEIGH: Thanks so much Leon.
LEON DELANEY: Thank you. Dr Andrew Leigh, the Assistant Minister for Productivity, Competition, Charities and Treasury, and of course our local Member in the federal seat of Fenner.
ENDS