❓ Mr. Redman questions the disparity in headworks charges for new Western Power connections between Ravensthorpe and Hopetoun, highlighting potential disadvantage to Ravensthorpe residents. The Minister defends the headworks charge as a transparent mechanism for regional development.
AnsweredQoN 742Legislative Assembly
QuestionView source ↗
DISTRIBUTION HEADWORKS CHARGES
I refer the minister to his distribution headworks policy for new Western Power connections. (1) Why does a standard headworks charge for an industrial connection of 25 kVA to a new business in Ravensthorpe cost $250 000, including subsidy, when there is no headworks charges for a similar connection 50 kilometres away in Hopetoun? (2) What does the minister have to say to the people of Ravensthorpe, who remain unreasonably disadvantaged compared with people in a town that is only 50 kilometres away? (3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN
I refer the minister to his distribution headworks policy for new Western Power connections. (1) Why does a standard headworks charge for an industrial connection of 25 kVA to a new business in Ravensthorpe cost $250 000, including subsidy, when there is no headworks charges for a similar connection 50 kilometres away in Hopetoun? (2) What does the minister have to say to the people of Ravensthorpe, who remain unreasonably disadvantaged compared with people in a town that is only 50 kilometres away? (3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN
AnswerView source ↗
I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(1) Why does a standard headworks charge for an industrial connection of 25 kVA to a new business in Ravensthorpe cost $250 000, including subsidy, when there is no headworks charges for a similar connection 50 kilometres away in Hopetoun? (2) What does the minister have to say to the people of Ravensthorpe, who remain unreasonably disadvantaged compared with people in a town that is only 50 kilometres away? (3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(2) What does the minister have to say to the people of Ravensthorpe, who remain unreasonably disadvantaged compared with people in a town that is only 50 kilometres away? (3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West.
Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West.
(1) Why does a standard headworks charge for an industrial connection of 25 kVA to a new business in Ravensthorpe cost $250 000, including subsidy, when there is no headworks charges for a similar connection 50 kilometres away in Hopetoun? (2) What does the minister have to say to the people of Ravensthorpe, who remain unreasonably disadvantaged compared with people in a town that is only 50 kilometres away? (3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(2) What does the minister have to say to the people of Ravensthorpe, who remain unreasonably disadvantaged compared with people in a town that is only 50 kilometres away? (3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(3) How does the minister justify his government’s inconsistency in having a user pays headworks charge that applies only to line augmentation on the south west interconnected system and not the Horizon Power network? (4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(4) Does the minister intend to expand the headworks charges for towns like Hopetoun, which are presently serviced by Horizon Power? Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
Mr F.M. LOGAN replied: I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
I thank the member for some notice of this question. (1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
(1)-(4) The simple answer is that Ravensthorpe is on the south west interconnected system and Hopetoun is not. However, with respect to the headworks charge, which we have debated in this house on numerous occasions, let us go back once again to what this is all about. The headworks charge is there to ensure that there is openness and transparency in the cost of connection at the fringe of the grid of the south west interconnected system. That is what it is for. It is not about having hidden subsidies; it is not about subsidising people. It is about having openness and transparency in the real cost of connection to people who are starting up businesses, doing developments or building houses at the fringe of the grid, a long way from substations. That is what it is all about. Before we introduced the headworks charge, those proponents who wanted to do a development or build a large shopping centre or take up a very large amount of power would have to pay the full cost of the upgrade of the system to get the electricity to where they wanted to do the development. That could run into millions of dollars. Therefore, they did not do that development. Now, with the headworks charge, whereby we have smeared the cost of connection across all the users fairly, openly and in a transparent way, proper regional development is taking place. That is not what the member for Stirling or his friends in the National Party are out there saying. They are out there saying that no regional development is taking place. I recently received a letter from a Mr Faryar Gorjy, who is director of the Yaran Property Group. The member for Stirling would remember who he is. Mr Gorjy is a man who clearly expresses what he feels to everyone he meets. He wrote a letter to me, and according to my notes, it states as follows - As you may recall, I met with you earlier this year; as a concerned property developer regarding the possible impact of the proposed Western Power distributions headworks scheme. We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West. I think that sums it up, despite what we have heard from the member for Stirling that what we should be doing as a government is encouraging electricity consumers in the metropolitan region and in regional country towns - remember, not just the metropolitan region - to subsidise and provide free of charge full connection costs to all those people at the fringe of the grid of the south west interconnected system who are doing developments. They could be sea changers, they could be tree changers or they could be building holiday homes. The member for Stirling is saying that we should be subsidising them with the money received from people who will pay higher costs in the metropolitan area and in regional country towns. That is not on. It has never been that way. Regardless of whether Labor or the Liberal-National coalition has been in power, it has never been that way before. With our headworks charge, what we have now is an open, transparent, cost-reflective connection structure for the regional development of Western Australia, and it is working.
We would like to express our satisfaction with the outcome for Denmark and we believe the Government’s approach to subsidise the cost of network distribution to other affected towns is a positive step. Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West.
Now that there is some certainty of infrastructure for our developments in Denmark, we are looking forward to our subdivision applications being signed off by Western Power in order that we can continue to provide much needed housing in the South West.
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