Gas Industry

Mr VAN HOLST PELLEKAAN (Stuart) (14:53): My question is for the Minister for Mineral Resources and Energy. Does the minister support federal Labor's policy to implement a national interest test for Australian gas, otherwise known as a gas reservation policy, and is the minister confident that the policy would not deter investment in South Australia's gas sector?

The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy) (14:53): Yes, I do, sir, and it's not a reservation at all; it's a national interest test. But I will tell you what will hurt investment in South Australia—

Mr Marshall: That wasn't the question.

The Hon. A. KOUTSANTONIS: Yes, it was. You asked me if I would support it and I said I did, and it's not reservation at all; it's a national interest test, as the question referred to. But what will hurt investment in gas in South Australia are Liberal MPs like Tony Pasin saying that they want a moratorium on oil and gas exploration here in South Australia. I will tell you what else will hurt: the Liberal Party going into an election demanding inquiries on the viability and the safety of unconventional gas, even though they know it has operated in this state safely for nearly 50 years. That is what hurts investment.

The SPEAKER: Point of order.

Ms CHAPMAN: The question was very simply whether he supports the policy, not whether it is going to be good or bad or anything else. He has answered the question and he is now debating the matter.

The SPEAKER: I will listen carefully to what the minister has to say to ensure that he answers the substance of the question.

The Hon. A. KOUTSANTONIS: I was at the national conference where that policy was debated. A national interest test is, basically, the same sort of test we apply to foreign ownership of farmland. It's the same sort of test that we apply to purchasers of national assets, or private assets. I don't think it's a reservation policy. It doesn't, in my mind, reserve gas for domestic use. In this state, we have a first-class regulatory process, which I support, and we are on the record as putting our state before the party. If anyone attempts to change policies that would hurt the oil and gas industry in this state, this government stands on their side.

Mr Pisoni interjecting:

The SPEAKER: The member for Unley is on two warnings.

Mr PISONI: Thank you, sir.

The SPEAKER: I am glad you are grateful. Member for Morialta.