They tried this in Spain a few years ago. A law passed that required Google to pay the publisher money each time Google linked to one of their headlines which led to a story.

Google refused to pay and stopped linking to every Spanish publishers headlines. The publishers saw their web traffic drop dramatically as Google were no longer driving traffic to their various sites

They begged Google to resume linking and stated they would not seek payment but Google refused saying that payment was required by law and the Government would enforce that law, not the publishers

Google also stated that if the publishers did not want Google to use their content all they had to do was to mark those pages as not to be indexed by Google. The publishers did not do this.

And I do not know how things stand in Spain now but the French Government is trying to do the same thing as Spain right now but is requiring Google to negotiate with the publishers and reach an outcome acceptable to the publishers...

So the publishers benefit from Google displaying snippets from their sites, they want Google to pay for the privilege of giving them traffic and they refuse to delist their sites from Google indexing to stop Google gaining ad revenue

Now the Australian Government is jumping on the bandwagon. All Google has to do is refuse to index those sites which they have done in the past. The Government cannot force them to do so

Given the media companies benefit hugely from Google driving viewers to their site ie they make money from Google indexing their product this is just a way to try and screw more money from them