It's not just the cost of energy & pay rates. Germany has higher energy costs & comparable labour rates & is one of the worlds biggest exporters.
Australia's labour, energy, land, business taxes, & general bureaucracy costs are all far too high for Australia to be competitive on the world stage in anything but high value, niche markets. Plus Australia's productivity rates are too low & nearby markets too small.
You are right that the policy is doomed to failure but to blame it on energy costs is far too simplistic.
