Dutton’s Pledge: Undo Labor Policies, Set Up Domestic Gas Reserve, Cut 41,000 Public Servants

Dutton delivered his budget reply, and part election pitch, on March 27.

Leader of the Opposition Peter Dutton delivers his 2025-26 Budget Reply Speech in the House of Representatives at Parliament House, Canberra, Australia on March 27, 2025. AAP Image/Mick Tsikas

Opposition Leader Peter Dutton has vowed to undo several major Labor policies, including climate change initiatives and gig worker laws, in his response to the federal budget announced on March 25.

In his official budget reply, Dutton also revealed—and reiterated—key Coalition policies focused heavily on cost of living.

They included setting up a new gas reserve for domestic use for east coast Australians, halving the fuel excise, while also reiterating the pledge to cull 41,000 public servants hired by Labor over the last three years.

In his speech, and part election pitch, Dutton said the Liberal-National Coalition’s plan would introduce four key pieces of legislation on the first sitting day of the next Parliament if he wins office.

These include bills to reduce energy prices, lower immigration and create more homes, improve public safety, and guarantee funding for health, education, and essential services.

Undoing Labor’s Policies

Dutton outlined a slew of Labor policies the Coalition would unwind.

“We will reverse Labor’s increase of 41,000 Canberra-based public servants—saving $7 billion a year,” he said. “The growth rate of public servants under this government in Canberra is about three times it was under the Rudd-Gillard government.”

The opposition leader vowed not to impact frontline services with these cuts.

Further, Dutton took aim at major climate change initiatives vowing to axe Labor’s $14 billion product tax credit for green energy, and the $20 billion “Rewiring the Nation” fund.

He also vowed to scrap the $10 billion Housing Australia Future Fund, claiming it has failed to deliver a single home.

An aerial view of completed housing in a recently developed estate in Clyde North in the federal seat of Holt in Melbourne's south-east in Australia on March 26, 2025. Asanka Ratnayake/Getty Images

Dutton Outlines Energy Plan Aimed at Cutting Bills

The surprise announcement of the budget reply was the national gas reserve plan aimed at lowering energy costs.

“Under Labor, gas prices for households have risen by 34 percent and 43 percent for businesses,” Dutton said.

The opposition’s plan includes an east coast gas reservation, which will mandate that 50 to 100 petajoules of gas be diverted to the domestic market, an extra 10-20 percent of supply for local users.

Further, the move is aimed at shielding domestic gas prices from international markets, with the Coalition estimating wholesale prices can be reduced from $14 per gigajoule to under $10.

A gas burner is seen in Melbourne, Australia, on July 28, 2023. Alfred Bui/The Epoch Times

When the Ukraine-Russia War broke out, local gas prices soared as domestic customers competed with increased European demand for Australian gas—the situation was particularly challenging for the southern states who endure colder winters.

Further, for Western Australia, Dutton reiterated his party’s commitment to fast-track key projects, including the North West Shelf, which he claimed the government has delayed until after the election.

Dutton also spoke about the $300 million strategic Basin Plan, $1 billion for the gas infrastructure fund, and a “use it or lose it” stipulation to ensure offshore fields are developed.

He also mentioned the Coalition’s nuclear plan.

“Nuclear power’s high yield of energy and small footprint means there’s no need to carpet our national parks, prime agricultural land, and coastlines with industrial scale renewables.”

He further reiterated the Coalition’s pledge to “defund the Environmental Defenders Office, which has obstructed vital projects.” The Office has faced scrutiny for coaching witnesses in a case against energy giant Santos.

Fuel Excise Cut and Support to Spread Food Charity Services

Dutton also reiterated a policy announced earlier in the day, promising to halve the fuel excise for 12 months if elected.

This measure, set to take effect on the first day of Parliament and is estimated to save every household with one car around $700 a year on petrol costs, and a two-car household about $1,500 annually.

Fuel prices are displayed at a Caltex fuel station in Albany, Western Australia, on March 29, 2024. Susan Mortimer/The Epoch Times

The policy, costing the budget $6 billion, would also extend to heavy vehicle road users.

Additionally, the Coalition will commit $50 million to food charities like Foodbank, SecondBite, and OzHarvest to expand services, including school breakfast programs—an initiative previously rejected by Labor.

Cutting Red Tape Duplication

Dutton also vowed to cut regulatory duplication across “local, state, and federal government” during the first term of a prospective Coalition government.

“Less is being made in Australia, and more is being made abroad,” he said. “In a first-term Coalition government, we’ll turn Australia into a mining, manufacturing, and agricultural powerhouse.”

The opposition leader also said his government would “revert to a simple definition of a casual worker,” a sign the Coalition will undo Labor’s gig economy laws.

Instant Asset Write-Off

Dutton promised tax relief for small businesses, by increasing the instant asset write-off from $1,000 to $30,000, and making it permanent.

He also reiterated his $20,000 deduction for small business owners engaging in entertaining clients or staff.

Dutton also pledged to support skills development, setting a target of 400,000 apprentices and trainees and offering $12,000 to businesses hiring in critical skills areas.

Laws to Tackle Radical Unions

“We will curtail union militancy in workplaces,” Dutton said, pledging to deregister the CFMEU.

Dutton announced plans to restore the federal construction industry watchdog and introduce new anti-racketeering laws targeting criminal links in the union movement.

“A dedicated AFP task force will tackle criminal elements undermining productivity,” he added.

He criticised the government’s failure to act on union violence, citing the incident of a union member kicking a woman on camera.

A CFMEU sign is seen in the Brisbane CBD in Queensland, Australia on July 23, 2024. AAP Image/Jono Searle

Managing Migration for Housing Relief

On migration, Dutton restated the Coalition’s pledge to cut permanent migration intake by 25 percent for two years, and also banning foreign investors from purchasing existing homes

The opposition will also invest $5 billion into essential infrastructure to new housing.

“We'll create 500,000 new homes and allow first-home buyers to access up to $50,000 from their super for a deposit,” Dutton added.

Support for Medicare and Health Programs

Dutton highlighted the decline in bulk billing, claiming there was 41 million fewer services under Labor’s watch.

He promised to invest $9.4 billion into health, including incentivising junior doctors to work in GP clinics and boosting Medicare bulk billing.

“We will reduce the Pharmaceutical Benefits Scheme co-payment to $25 and invest $500 million into women’s health,” he said, in a plan mirroring Labor’s.

The Coalition would also expand mental health services, increasing subsidised sessions from 10 to 20, and invest $400 million into youth mental health services.

“We’ll continue supporting medical research through the Future Fund, which now exceeds $20 billion,” he concluded.

Public Safety, Anti-Semitism

“Australians are more worried than ever about crime and division,” Dutton said, promising the dedicated anti-Semitism task force and national uniform knife laws.

He also pledged to toughen bail laws and deport dangerous non-citizen criminals, stating, “We will stop the boats again, just as we did in 2013.”

“This government has released 300 hardcore criminals from immigration detention into the community – with more than a third having reoffended against Australian citizens,” the opposition leader said, in reference to Labor’s issue with a High Court ruling that saw illegal migrants released from prison.

“[The prime minister] granted tourist visas to 3,000 people from a terrorist-controlled war zone, conducted without security checks that should have been put in place.”

Defence and National Security Reinforcement

On defence, Dutton restated his $3 billion promise to set up a fourth squadron of F-35 Joint Strike Fighters, increasing the volume of fighter planes from 72 to 100.

He pledged to “re-tool” the Australian Defence Force with asymmetric capabilities, and teased further details on the Coalition’s defence spending during the election campaign.

“Unlike Labor, our funding commitment will match the challenges of our times,” Dutton said.

Election Pitch

Dutton closed his speech with a direct appeal to Australian voters: “I will be a strong leader with a steady hand. I will put the national interest first,” he declared.

Drawing on his extensive experience in various ministerial roles, including defence and home affairs, he promised to lead a united team ready to tackle Australia’s challenges.