The Liberal Party is facing a significant crisis regarding its climate and energy policies, reminiscent of past challenges in 2009 and 2018. In both instances, the party was led by Malcolm Turnbull, who struggled to unify the party on critical energy initiatives. The 2009 crisis revolved around Kevin Rudd's Carbon Pollution Reduction Scheme, while the 2018 issue centered on the National Energy Guarantee, aimed at reducing emissions while ensuring reliability at minimal cost.

Sussan Ley, the current leader, reflected on the 2018 turmoil, stating, "Unfortunately Malcolm couldn't unite the joint party room on energy policy, and we had a breakaway group in the Nationals who made a strategic decision to blow this up, and that was very unfortunate." Andrew Hastie, who has recently voiced concerns over climate policy, admitted he threatened to cross the floor during Turnbull's leadership.

The current situation is dire, with the party grappling with the net zero by 2050 target. This long-term goal should theoretically be more manageable than previous challenges, yet internal divisions are intensifying. Ley's leadership appears stable for now, but the party's internal conflicts could lead to significant repercussions. Angus Taylor, a hardliner on net zero, is positioned as a potential successor should Ley's leadership falter.

The National Party is also feeling the strain, with Barnaby Joyce citing climate policy as a reason for his potential departure from the party room. Matt Canavan, a vocal opponent of net zero, is leading a review within the Nationals that is expected to reinforce their stance against the target.

In an effort to address these issues, Jane Hume and Simon Kennedy, conveners of the Coalition's backbench policy committee, have scheduled a meeting for next week to discuss the party's direction. Hume has previously expressed confidence in the technology needed to achieve net zero by 2050, stating, "I have absolutely no doubt the technology will be there to deliver net zero by 2050, and this is something we should be embracing."

Meanwhile, Dan Tehan, the opposition's energy spokesman, is leading a task force to develop a cohesive energy policy. Tehan has reiterated his support for net zero, stating, "I haven't changed the view that I had at the time" during the Morrison government. However, the urgency of the situation is increasing, and the party must act quickly to avoid further distractions.

On the government side, Environment Minister Murray Watt is preparing to introduce legislation aimed at reforming the Environment Protection and Biodiversity Conservation (EPBC) Act. This reform is crucial for balancing development needs with environmental protection. Watt's task is complicated by the need to negotiate with both developers and environmentalists, who have conflicting interests.

The proposed changes follow a report by Graeme Samuel, which highlighted the failures of the EPBC Act over the past two decades. Former Treasury Secretary Ken Henry criticized the act for not preventing environmental degradation, stating, "The EPBC act has patently failed to halt the degradation of Australia's natural environment."

For the government, successfully passing the EPBC reform is a test of its commitment to economic reform. However, Labor will require support from either the opposition or the Greens in the Senate to move forward. Ley has criticized the proposed bill, calling it "a handbrake on investment," and expressed concerns that it does not instill confidence in investors.

Greens spokeswoman Sarah Hanson-Young has also condemned the legislation, arguing it favors industry and business at the expense of environmental protections. The Greens are advocating for a climate trigger, which the government has rejected.

Despite the challenges, there is a possibility for collaboration. Opposition environment spokesperson Angie Bell has indicated a willingness to work with the government on sensible reforms to the EPBC Act, emphasizing the importance of getting these changes right. However, the unpredictable nature of the opposition, compounded by internal divisions, raises concerns about their ability to effectively engage in negotiations.

As the Liberal Party navigates this climate policy crisis, the outcome remains uncertain, with potential implications for both party leadership and environmental legislation in Australia.