Mr. Barron-Sullivan questions the cessation of the autogas conversion subsidy given rising petrol prices. Ms. MacTiernan responds that the market is driving conversions without the subsidy and the government is developing a broader sustainable energy plan.

AnsweredQoN 272Legislative Assembly
Asked
17 May 2006
Portfolio
Planning and Infrastructure

QuestionView source ↗

AUTOGAS CONVERSION
I refer to the fact that the 2006-07 state budget papers show that no funding - not one cent - will be provided to the liquefied petroleum gas autogas conversion subsidy scheme after 2006-07. Given the massive increases in petrol prices that are really hurting Western Australian families - (1) Is the minister aware that, as at today, a tank full of LPG is the equivalent of around $50 cheaper than petrol? (2) Why is the government making it more expensive for Western Australian families to change to cheaper and cleaner autogas? Ms A.J.G. MacTIERNAN

AnswerView source ↗

(1)-(2) The subsidy was designed to encourage people to move to autogas. The figures provided by the member suggest that the market is already making that happen without the government’s intervention. As I understand it, there is a backlog in demand for the capacity for conversion from petrol to gas. Having said that, we must do more to provide more sustainable energy options. Mr D.F. Barron-Sullivan : Why drop the subsidy, then? Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.
(1) Is the minister aware that, as at today, a tank full of LPG is the equivalent of around $50 cheaper than petrol? (2) Why is the government making it more expensive for Western Australian families to change to cheaper and cleaner autogas? Ms A.J.G. MacTIERNAN replied: (1)-(2) The subsidy was designed to encourage people to move to autogas. The figures provided by the member suggest that the market is already making that happen without the government’s intervention. As I understand it, there is a backlog in demand for the capacity for conversion from petrol to gas. Having said that, we must do more to provide more sustainable energy options. Mr D.F. Barron-Sullivan : Why drop the subsidy, then? Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.
(2) Why is the government making it more expensive for Western Australian families to change to cheaper and cleaner autogas? Ms A.J.G. MacTIERNAN replied: (1)-(2) The subsidy was designed to encourage people to move to autogas. The figures provided by the member suggest that the market is already making that happen without the government’s intervention. As I understand it, there is a backlog in demand for the capacity for conversion from petrol to gas. Having said that, we must do more to provide more sustainable energy options. Mr D.F. Barron-Sullivan : Why drop the subsidy, then? Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.
Ms A.J.G. MacTIERNAN replied: (1)-(2) The subsidy was designed to encourage people to move to autogas. The figures provided by the member suggest that the market is already making that happen without the government’s intervention. As I understand it, there is a backlog in demand for the capacity for conversion from petrol to gas. Having said that, we must do more to provide more sustainable energy options. Mr D.F. Barron-Sullivan : Why drop the subsidy, then? Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.
(1)-(2) The subsidy was designed to encourage people to move to autogas. The figures provided by the member suggest that the market is already making that happen without the government’s intervention. As I understand it, there is a backlog in demand for the capacity for conversion from petrol to gas. Having said that, we must do more to provide more sustainable energy options. Mr D.F. Barron-Sullivan : Why drop the subsidy, then? Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.
Mr D.F. Barron-Sullivan : Why drop the subsidy, then? Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.
Ms A.J.G. MacTIERNAN : At this time, it was judged that the subsidy was not giving value for money, given that those conversions were taking place at a considerable rate. The government is working on a more comprehensive sustainable energy proposal, and I hope that that can be considered over the next few months.

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