One Nation has faced criticism following its decision to abandon support for a domestic gas reservation policy that would have required exporters on Australia’s east coast to supply a portion of their gas to the local market. The party’s shift comes amid concerns that the new direction favors interests linked to billionaire Gina Rinehart, a prominent backer of One Nation.
The Albanese government recently announced plans to implement a reservation policy aimed at modestly increasing domestic gas supplies to ease consumer prices. Earlier this year, One Nation leader Pauline Hanson had endorsed such a policy, arguing it would boost supply and reduce electricity costs. However, the party reversed its position in June, citing consultations with industry stakeholders and a belief that the reservation could harm domestic gas companies, particularly onshore producers.
Senex, a company valued at approximately $900 million and partly owned by Rinehart’s Hancock Prospecting, has been a vocal opponent of the gas reservation policy. The company holds a 49% stake in Senex, with the remaining 51% owned by the Korean firm POSCO. Critics allege that One Nation’s policy reversal aligns closely with Senex’s opposition, raising questions about the influence of Rinehart’s commercial interests on the party.
Resources Minister Madeleine King suggested that One Nation’s abandonment of the reservation plan was influenced by industry lobbying. She remarked that the party appeared to be prioritizing the interests of its business backers over those of Australian families. The Opposition’s energy spokesperson, Garth Hamilton, echoed these concerns, describing the policy change as a backflip benefiting Rinehart’s interests rather than the public.
One Nation’s June policy statement explained that further consultation with industry revealed the reservation plan did not meet the party’s objectives and could deter onshore oil and gas development. Instead, the party is proposing a model encouraging joint ventures between government and industry to avoid market distortions associated with reservation quotas.
The party’s ties with Rinehart have drawn additional scrutiny due to recent financial contributions and gifts. In April, One Nation received a new aircraft valued at up to $2 million from Hancock Prospecting, alongside $1 million in donations from associates linked to Rinehart. This has fueled speculation about the extent of her influence within the party.
In Senate proceedings, One Nation Senator Tyron Whitten questioned officials about the impact of the reservation policy on smaller gas producers, prompting accusations from Greens Senator Steph Hodgins-May that he was advocating on behalf of Senex. Whitten denied any personal connection with Rinehart, stating he had never met her. Senex representatives emphasized their engagement with all political parties to inform policy discussions.
Social Services Minister Tanya Plibersek also criticized One Nation amid reports of party leaders’ close personal ties with Rinehart, including overnight stays at the billionaire’s Brisbane residence and travel on her private jet. Plibersek accused the party of acting as Rinehart’s proxy on several policy issues, including labor conditions in mining and political attacks on fellow politicians.
The Coalition has indicated it may consider supporting the government’s reservation proposal, while the Greens advocate for a 25% gas export tax as an alternative measure to ease domestic energy costs. The debate reflects broader tensions over balancing energy affordability, domestic production, and industry interests in Australia’s evolving gas market.