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Category: Federal Government / Federal Parliament / Business, Economics and Finance / Government and Politics / Electricity Energy and Utilities

Shorten questions whether Ausgrid decision made to please One Nation, Xenophon

Friday, 12 Aug 2016 10:49:50 | Anna Henderson

Bill Shorten said the Ausgrid decision may have been made to please the crossbench. (AAP: Lukas Coch)

Federal Opposition Leader Bill Shorten has suggested the Government is "horse-trading" with One Nation and the Nick Xenophon party by blocking the sale of Ausgrid to Chinese and Hong Kong interests.

"There's no doubt the Government is twitchy about the crossbench and you have to wonder if the Government is trying to make One Nation happy and Nick Xenophon happy," Mr Shorten told reporters this morning.

"This is a government in full horse-trading mode with the crossbench — because this Government, because of their election result — hasn't convinced Australians of the merit of their policies."

Treasurer Scott Morrison announced the decision yesterday and scoffed at Labor's accusations, describing them as "complete nonsense".

"I don't trade on national security," Mr Morrison told AM.

Decision a 'reaction to xenophobia', Bob Carr says

The Treasurer said the preliminary decision to reject the bidders was based on national security interests that he was not able to publicly reveal.

Labor has been offered a briefing.

Overnight former Labor foreign minister Bob Carr also speculated on the reason for the Government's decision.

"It would appear to be that this is a reaction to that elevation of xenophobia and economic popular sentiments stirred up by the last federal election result," he said.

Former Foreign Minister Bob Carr says the decision sends mixed signals to China. Video: Former Foreign Minister Bob Carr says the decision sends mixed signals to China. (7.30)

The strong critique of the Ausgrid decision is at odds with the more conciliatory tone of the shadow treasurer's initial response to the announcement yesterday.

In a statement, Chris Bowen's office said Labor "trusts" the Treasurer is acting on the advice on national security agencies.

"While the Treasurer showed a willingness to engage in cheap point-scoring on foreign investment decisions in the election campaign, the Opposition is prepared to accept this decision as being in the national interest on the basis that it was based on advice from the national security agencies," the statement said.

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