Mr Nalder questions the Premier on conflicting statements regarding competition in the Pilbara electricity market. The Premier deflects, criticising the previous government's energy deal and praising current financial management.

AnsweredQoN 477Legislative Assembly
Asked
19 June 2019
Portfolio
Premier

QuestionView source ↗

PILBARA ELECTRICITY REFORMS — HORIZON POWER
477. Mr D.C. NALDER to the Premier:
I refer to the bizarre ministerial
statement from the Minister for Energy preventing competition in the north west
in direct contradiction to the Treasurer, who had signed off on competition.
Who does the Premier agree with on competition in the north west and the state
more broadly—the Treasurer or the Minister for Energy?

AnswerView source ↗

Is the member the shadow Minister
for Energy?
Mr D.C. Nalder : Yes.
Mr M. McGOWAN : The shadow
Minister for Energy did not have his listening ears on. The Minister for Energy
outlined a pretty poor deal that the former government entered into that has
saddled Western Australians with at least another $600 million of debt that we
should not have been saddled with.
Mr D.C. Nalder interjected.
The SPEAKER : Member for
Bateman!
Mr M. McGOWAN : That is
exactly what the Minister for Energy said: ''That is what you have cost
us through this arrangement.'' This arrangement, which the former
government tried to get off the books and which it tried to hide from proper
scrutiny, has cost us an additional $600 million-plus that the taxpayers need
to pick up. That is what was being referred to. This statement by the Minister
for Energy —
Dr M.D. Nahan : It was
fiction.
Mr M. McGOWAN : The member
for Riverton is back. He was a bit confused about which seat to sit in, but now
he is in the right one, he is back.
Dr M.D. Nahan interjected.
The SPEAKER : Member for
Riverton!
Mr M. McGOWAN : That is what
occurred. There was a massive increase in debt on top of everything else.
Dr M.D. Nahan interjected.
The SPEAKER : Member for
Riverton, I call you to order for the second time.
Mr M. McGOWAN : It was not
inquired into by Mr Langoulant in his report. As the minister outlined before,
it saddled us to the 2040s with a power provision process, a power provider,
that is excessively expensive compared with what we would otherwise have been
able to secure and has meant we limit our flexibility when it comes to using
renewables or anything else. The member might not have noticed but renewables
in the Pilbara work. They are a very viable way of providing energy. The former
government made an off-book transaction as a sneaky subterfuge to try to hide
it from the credit rating agencies.
Dr M.D. Nahan interjected.
The SPEAKER : Member for
Riverton!
Mr M. McGOWAN : We had to pay
the highest interest rate possible. Therefore, it has cost an additional $600 million
for energy that could have been secured another way.
Dr M.D. Nahan interjected.
The SPEAKER : Member for
Riverton, I call you to order for the third time.
Mr M. McGOWAN : In that vein,
fortunately this government is a responsible government. Is the member the
shadow Treasurer as well?
Mr D.C. Nalder : Yes.
Mr M. McGOWAN : He is for the
moment. I would like to quote a press release put out today by the Chamber of
Minerals and Energy headed ''WA Leading the Way on Sound Financial
Management''. It states —
CME Chief Executive Paul Everingham —
Like Sandra Brewer, he is growing
on me as well —
said the WA Government should also be
applauded for its responsible budgetary measures, in contrast to Queensland,
South Australia, and to a lesser extent, Victoria.
''CME has consistently called
for Government to rein in expenditure growth in order to manage the State's
finances and reduce debt and we were pleased to see expense growth limited to
just 1.3 per cent per year �
It gets better than that, since the member was asking about
financial management. Mr Chris Rodwell, the CEO of the Chamber of Commerce and
Industry of Western Australia, who is also growing on me, put out a statement
today, and I quote —
''Western Australia � is the
only state managing to reduce its debt over the forward estimates.''
Puts in perspective expenditure control and debt reduction strategy of WA
Government. Not just about iron ore royalties and GST distribution.
The CCI and the CME have both
endorsed this government's management of the state's finances
today, and the shadow Minister for Energy has the hide to come into the chamber
and ask a question about the former government's financial
mismanagement. No wonder he is not the leader.

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