❓ Hon. Kate Doust questions the Minister for Energy regarding the Gas Supply and Emergency Management Committee report, specifically about gas storage funding. The Minister commits to responding to the report by year-end and indicates potential residential gas price increases to fund mitigation options.
AnsweredQoN 987Legislative Council
QuestionView source ↗
gas supply and emergency management committee review — recommendations
I refer to the Gas Supply and Emergency Management Committee report that the minister tabled on Tuesday. (1) When will the minister be responding to the report’s recommendations? (2) Does the minister agree with the committee’s consultant, Evans & Peck, that gas storage is a cost-effective gas supply disruption mitigation option? (3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER
I refer to the Gas Supply and Emergency Management Committee report that the minister tabled on Tuesday. (1) When will the minister be responding to the report’s recommendations? (2) Does the minister agree with the committee’s consultant, Evans & Peck, that gas storage is a cost-effective gas supply disruption mitigation option? (3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER
AnswerView source ↗
I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(1) When will the minister be responding to the report’s recommendations? (2) Does the minister agree with the committee’s consultant, Evans & Peck, that gas storage is a cost-effective gas supply disruption mitigation option? (3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(2) Does the minister agree with the committee’s consultant, Evans & Peck, that gas storage is a cost-effective gas supply disruption mitigation option? (3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(1) When will the minister be responding to the report’s recommendations? (2) Does the minister agree with the committee’s consultant, Evans & Peck, that gas storage is a cost-effective gas supply disruption mitigation option? (3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(2) Does the minister agree with the committee’s consultant, Evans & Peck, that gas storage is a cost-effective gas supply disruption mitigation option? (3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(3) If yes to (2), will the minister outline to the house if this option will be funded by the government or, as the consultant has suggested, by another increase in residential gas prices? Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
Hon PETER COLLIER replied: I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
I thank the honourable member for the question. (1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(1) I was very appreciative of the Gas Supply and Emergency Management Committee’s work, in particular its report that I tabled in Parliament yesterday. The member is quite correct; the recommendations were quite extensive, and dealt with a raft of issues, not just mitigation but also management in the event of another disruption and gas market arrangements. I will be responding to those recommendations as a matter of priority. I can assure the member that I will be responding before the end of the year. (2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(2) With regard to the mitigation component, which is the incentive for electricity generators to move to retrofitting dual-fuelling or gas reservoirs, the concept of a gas reservoir is quite compelling. If we want to be better prepared in the event of another gas disruption so that we do not suffer the consequences of the disruption, not just at the residential level but also throughout industry, commercial businesses and large business, we have to do something about it. We have to look at gas storage and the concept of dual fuelling. That is one of the recommendations of the committee. (3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
(3) Cabinet will consider who will pay for the mitigation option. The costs to the consumer will be absolutely minimal. We are looking at about $5 to $20 per annum for local residents. As a direct result of the mismanagement of the electricity sector by the previous government, residents have suffered from electricity increases. They came under the jurisdiction of the previous government, which recommended in excess of 105 per cent increases in electricity charges. The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
The PRESIDENT : Order! That sounded like a bit of a rabble. Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
Hon PETER COLLIER : I was faced with the prospect of increasing electricity charges in excess of 100 per cent to get the cost reflectivity or pay hundreds of millions of dollars in community service obligations. That is the debacle that I was faced with. I am going to get to the point at which we fix the electricity system and we fix the gas system. The people of Western Australia will not mind that we will ensure supply so that if there is another disruption, we are better prepared because, quite frankly, what occurred last year was a disaster. There were simply no contingency plans in place. We are going to do something about it. We will be extremely proactive. We instigated the report. We have the report. We will act upon it. The report suggests that Western Australian householders will probably face an increase of about $5 to $20 per annum should we accept these recommendations. If householders want a guaranteed security of supply, I am sure that they will regard that as a small price to pay.
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