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What if WA unleashed its full energy potential?

A thought experiment, not currently official Libertarian Party WA policy. This page imagines a "what if": what if WA let every kind of power station compete, with no energy subsidies and no technology bans, and let the market decide? Today's facts come from the laws, budget papers and agencies linked below. The scenario is illustrative reasoning, not a forecast or a costing.

The better way, in plain words

WA sits on some of the world's best energy resources: huge gas fields, uranium, coal, strong sun and steady wind. Yet the rules decide in advance which of these we may use, and taxpayers and bill payers pay to keep power prices below what it costs to supply. Imagine a WA where anyone could build any safe, clean-enough power station that the market wanted, paid its own way, and sold power to whoever wanted to buy it. Governments would set the safety and pollution rules and then step back. The cheapest reliable power would win, not the most politically favoured.

1. Today: what the law rules out

  • Nuclear power stations are banned federally, twice. Section 140A of the federal Environment Protection and Biodiversity Conservation Act 1999 says the Minister must not approve the construction or operation of a nuclear power plant (or a fuel fabrication, enrichment or reprocessing plant); s140A(2) makes an exception for naval nuclear propulsion, such as nuclear-powered submarines. (EPBC Act s140A) Section 10 of the Australian Radiation Protection and Nuclear Safety Act 1998 says nothing in that Act authorises those facilities, and bars the regulator from licensing them under section 32, again with an exception for naval nuclear propulsion (s10(1A)). (ARPANS Act s10)
  • WA law adds its own barriers. The Nuclear Waste Storage and Transportation (Prohibition) Act 1999 makes it an offence to build or run a nuclear waste storage facility in WA (s7) or to transport nuclear waste in WA (s7A), with fines up to $500,000. (WA legislation) The Nuclear Activities Regulation Act 1978 separately regulates nuclear activities involving uranium and other prescribed substances. (WA legislation)
  • No new uranium mines. The WA Government says it does not support uranium mining and since 2017 has put a "no uranium" endorsement on future mining leases. Four projects approved before then were allowed to continue. (Geological Survey of WA; 2017 media statement)
  • Gas is reserved by the state. LNG exporters must reserve gas equivalent to 15% of their LNG exports for the WA market. New or expanded onshore gas projects must reserve 80% of production for WA until 31 December 2030, and 100% after that. (WA Domestic Gas Policy; 2024 update)
  • State coal is being closed by decision, not by market. In 2022 the Government announced that Synergy's Collie Power Station would close in late 2027 and Muja D in late 2029, with Synergy investing an estimated $3.8 billion in new wind and storage. (2022 media statement) On 27 October 2026 it added a target of 75% renewable generation on the main South West grid by 2030-31. (Plan for Affordable Energy)

2. Today: what taxpayers and bill payers pay

Household power in WA is sold below cost. The 2026-27 Budget raised the standard household tariff by 2.75%, which it says leaves the tariff below the cost of supply, with a cost recovery rate of 75%, down from 78% in 2025-26. (WA 2026-27 Budget Paper No. 3, Appendix 8)

Energy subsidy or program 2026-27 Budget
Synergy financial viability subsidies (all types) $527.2 million ($1,278.5 million over four years)
of which: new Cost Growth Assistance Payment, to cover household tariffs that don't recover costs $176.0 million ($355.5 million over two years)
Clean Energy Future Fund grants $5.7 million ($5,737,000; Budget Paper No. 2, Volume 2)

Sources: WA 2026-27 Budget Paper No. 3, Appendix 8, Table 8.4; Budget Paper No. 2, Volume 2, Water and Environmental Regulation, details of controlled grants and subsidies (Clean Energy Future Fund, $5,737,000 in 2026-27).

Paid through power bills: the Tariff Equalisation Contribution. A further $290.0 million in 2026-27 ($1,168.0 million over four years) goes to Horizon Power so its regional households and small businesses can pay the same regulated tariffs as customers in the South West. It is not paid from general taxes: it is funded through Western Power network charges paid by electricity retailers. The Budget says about 48% will be funded via the operating subsidy to Synergy (already counted in the Synergy line above) and the remaining 52% by business customers. (WA 2026-27 Budget Paper No. 3, Appendix 8, Table 8.5 and notes) So these amounts should not simply be added together.

The standard household tariff (A1) from 1 July 2026 is 33.2621 cents per unit plus $1.1924 a day supply charge. (Energy Policy WA)

3. Today: what WA has to work with

4. What if: a WA where the market decides

Here is one way it could look. It is a sketch to think with, not a plan. Each "In the scenario" line is illustrative, not a forecast.

Nuclear

Today Nuclear power stations banned under federal law (naval propulsion excepted); WA bans nuclear waste storage and transport
In the scenario (illustrative) Allowed if it meets strict safety rules, with the builder carrying the cost and the risk

Uranium

Today No uranium on new mining leases since 2017 (four earlier-approved projects may proceed)
In the scenario (illustrative) Mines judged on safety and environment like any other mine

Gas

Today 15% of LNG exports reserved for WA; 80% to 100% for new onshore projects
In the scenario (illustrative) Producers sell to whoever pays best; WA buyers compete on price

Coal

Today State coal stations closing by government decision by 2030
In the scenario (illustrative) Stations stay or go depending on whether they can sell power at a profit, with no taxpayer top-up

Renewables

Today 75% target by 2030-31, grant programs
In the scenario (illustrative) No target and no grants; wind, solar and batteries win where they are cheapest

Your power bill

Today Tariff recovers about 75% of cost; taxpayers cover the gap
In the scenario (illustrative) Bills reflect the real cost, with help aimed at households who need it instead of a subsidy for everyone

5. Honest limits and trade-offs

  • Nuclear is not quick or cheap to start. CSIRO's GenCost 2025-26 finds large-scale nuclear slightly more expensive than gas with carbon capture, small modular reactors the most expensive option, and notes that solar and onshore wind are almost the only generation far enough along to be built before 2030. (CSIRO GenCost 2025-26 summary) Lifting the ban would let investors decide whether it is worth it; it would not make a reactor appear quickly.
  • Federal law still rules nuclear. WA can change its own laws, but the EPBC and ARPANS bans are federal. Only the Commonwealth Parliament can remove them.
  • Real prices can mean higher bills at first. If the tariff covers only about 75% of cost today, ending the subsidy without other changes would raise household bills. In this scenario the savings to the budget would need to come back to people, for example through lower taxes or targeted help.
  • Gas for export or for WA. Ending reservation could lift investment and supply, but local buyers would pay closer to world prices, which can rise sharply.
  • Emissions and reliability still matter. Coal and gas emit more than wind, solar or nuclear, and federal climate rules would still apply. A grid also needs power when the sun and wind drop, so market rules must reward whoever keeps the lights on.
  • Regional tariffs. Supplying remote towns costs more. Ending the uniform tariff would need an honest, open choice about how to help them.

Reminder: this is a thought experiment, not currently official Libertarian Party WA policy. We publish it to get West Australians thinking about where their power comes from and who pays for it. Read what we are actually campaigning for on our policies page, or join us.