Regional Victorian council calls for fossil fuel tax to fund climate disaster recovery
Consensus Summary
A regional Victorian council in Mount Alexander Shire is pushing for a national levy on fossil fuel companies to fund recovery from devastating bushfires and floods, arguing that corporations causing climate damage should pay for the costs. The motion, driven by Councillor Lucas Maddock, follows the January 2025 Ravenswood fire, which destroyed at least 54-55 homes and businesses in Harcourt and Ravenswood during a catastrophic heatwave. Maddock, who narrowly escaped the fire, claims rising insurance premiums and indirect costs like retrofitting homes are disproportionately burdening local residents. The council will lobby federal and state governments, including Labor MP Lisa Chesters and Climate Change Minister Chris Bowen, while the federal government has directed $6.3 billion to climate adaptation and resilience since 2023. Both sources agree on the scale of fossil fuel subsidies ($14.9 billion annually) versus disaster response funding ($4.75 billion) and the economic toll of climate disasters ($3,800 per household yearly). However, discrepancies exist in the exact number of destroyed homes and details about government responses, with NEWSCOMAU highlighting renewable energy benefits and ABC emphasizing local government mismanagement in fire risks.
â Verified by 2+ sources
Key details reported by multiple sources:
- Mount Alexander Shire Council (regional Victorian council) passed a motion in January 2025 calling for a national levy on coal, oil, and gas companies to fund bushfire and flood recovery, driven by Councillor Lucas Maddock.
- The Ravenswood fire destroyed at least 55 homes and businesses in Harcourt (population 1000) and Ravenswood in January 2025, during a catastrophic heatwave across Victoria.
- Councillor Lucas Maddock narrowly escaped the Ravenswood fire, which came within five minutes of reaching his family home in Barkers Creek.
- The Mount Alexander Shire Council will lobby the Victorian government at the state conference in February 2025 and the federal Labor MP Lisa Chesters, as well as Climate Change Minister Chris Bowen.
- Federal Assistant Climate Change Minister Josh Wilsonâs office acknowledged $6.3 billion directed to climate adaptation and resilience since the Albanese government took power, including a $1 billion Disaster Ready Fund over five years.
- The federal governmentâs Community Energy Upgrades Fund has allocated $247,925 to Mount Alexander Shire Council for electrification projects.
- The Ravenswood fire ignited on January 9, 2025, during a heatwave that saw 10 major fires burning across Victoria in the second week of the year.
- The Australia Institute reported $14.9 billion annually in federal and state fossil fuel subsidies, compared to the nationâs $4.75 billion disaster response fund.
- Climate Media Centre analysis found fires, floods, and cyclones cost the average Australian household $3,800 per year, totaling $38 billion annually.
Points of Difference
Details reported by only one source:
- Councillor Lucas Maddockâs home insurance premiums rose 20 percent in one year due to climate-related disaster costs.
- Anna Hediganâs partner fought the fires and publicly supported a levy on major polluters, stating, âBig polluters are making billions in profit while communities like ours are left to clean up the mess.â
- Psychologist Susie Burke in Castlemaine stated, âWhat this community is calling for is not just financially fair, it is essential for their long-term wellbeing.â
- The Mount Alexander Shire Councilâs motion was passed last week (January 2025) and will be taken to the Victorian council conference next month (February 2025).
- Assistant Climate Change Minister Josh Wilsonâs spokesperson emphasized $8 gigawatts of renewable energy added to the grid since 2022 and a majority of the national electricity market running on renewables by the end of 2025.
- The spokesperson noted the Albanese governmentâs plan to roll out more renewables is âputting downward pressure on billsâ and highlighted the $100 million community energy upgrades fund for electrification projects like town halls and public swimming pools.
- The Castlemaine Institute study cited by Councillor Maddock estimated average shire households would need $23,000 in retrofitting to be climate and disaster resilient.
- Local cider producer Michael Henry, who lost his home and orchard in the fire, stated, âWe all bear that responsibilityâ and criticized local/state government mismanagement of fire risks like dry grass on roadsides.
- Malcolm Robbins, a Castlemaine resident and climate activist, said, âBig coal, oil and gas corporations externalise the true cost of their activities â shifting the burden of climate damage onto communities.â
- The Mount Alexander Shire Council unanimously passed the motion in January 2025, with Councillor Maddock stating, âItâs only fair that it is the big polluters who foot this bill.â
- The fire destroyed about 54 homes in Harcourt, with the shire facing tough decisions on retrofitting due to rising costs.
Contradictions
Conflicting information between sources:
- NEWSCOMAU states the Ravenswood fire destroyed 55 homes and businesses, while ABC reports approximately 54 homes were destroyed.
- NEWSCOMAU claims the federal governmentâs $6.3 billion climate adaptation funding includes a $1 billion Disaster Ready Fund over five years, but ABC does not mention the $1 billion figure specifically.
- NEWSCOMAUâs spokesperson for Josh Wilson emphasized renewables reducing electricity bills, while ABCâs statement from Wilsonâs office only mentions the $100 million Community Energy Upgrades Fund without discussing bill impacts.
- NEWSCOMAU cites a 20 percent increase in Councillor Maddockâs home insurance premiums, but ABC does not provide this specific figure or detail about insurance costs.
- NEWSCOMAU quotes Anna Hediganâs partner directly about polluters profiting while communities clean up, but ABC does not include this exact quote or reference to Hedigan.
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