❓ Mr. Johnston questions the Premier about the re-merger of Verve Energy and Synergy, specifically regarding Synergy's future role in electricity generation and capacity requirements. The Premier outlines the plan for a merged entity with ring-fenced businesses and anticipates private sector involvement in future generation.
AnsweredQoN 29Legislative Assembly
QuestionView source ↗
SYNERGY AND VERVE — RE-MERGER
29. Mr W.J. JOHNSTON to the Premier:
I refer to the Premier's decision to merge Verve
Energy and Synergy.
(1) Does the
Premier intend that the merged Synergy will remain the dominant generator in
Western Australia's electricity system?
(2) Does this
mean that the merged Synergy will need to build more power stations in the
future to meet the $10 billion worth of generation capacity requirement, as
identified in the Oates review?
29. Mr W.J. JOHNSTON to the Premier:
I refer to the Premier's decision to merge Verve
Energy and Synergy.
(1) Does the
Premier intend that the merged Synergy will remain the dominant generator in
Western Australia's electricity system?
(2) Does this
mean that the merged Synergy will need to build more power stations in the
future to meet the $10 billion worth of generation capacity requirement, as
identified in the Oates review?
AnswerView source ↗
(1)–(2)
A decision has been made to first have a common board between Verve and Synergy
by 1 July and the decision has been made to introduce legislation, which if
approved through the Parliament, will bring them together as a single utility
with two ring-fence businesses within them. The question then becomes one of
generation—I mean, there are a lot of questions, but generation is one
of them. Because Verve and Synergy are together, we will avoid some of the
mistakes that the member for Riverton, the Minister for Energy, was referring
to just before question time, but there is no sense that generation will be
all, or even in the majority, through Verve. Indeed, as has been the case since
1995 onwards, I would expect most of the new generation to be private; that is
the intention.
A decision has been made to first have a common board between Verve and Synergy
by 1 July and the decision has been made to introduce legislation, which if
approved through the Parliament, will bring them together as a single utility
with two ring-fence businesses within them. The question then becomes one of
generation—I mean, there are a lot of questions, but generation is one
of them. Because Verve and Synergy are together, we will avoid some of the
mistakes that the member for Riverton, the Minister for Energy, was referring
to just before question time, but there is no sense that generation will be
all, or even in the majority, through Verve. Indeed, as has been the case since
1995 onwards, I would expect most of the new generation to be private; that is
the intention.
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