House of Assembly Fifty-Third Parliament, Second Session (53-2) 53 2 Parliament of South Australia House of Assembly published Question Time Electricity Generation Electricity Generation Mr MARSHALL House of Assembly Dunstan Leader of the Opposition Electricity Generation Mr MARSHALL (Dunstan—Leader of the Opposition) (14:35): Supplementary: what will be the expected annual cost of operating this new piece of plant? The Hon. A. KOUTSANTONIS House of Assembly West Torrens Minister for Finance Minister for State Development Minister for Mineral Resources and Energy Electricity Generation The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy) (14:35): We're out to the market, and the market will tell us the cost of the operation. I understand the Australian Energy Market Commission is establishing a new ancillary market for inertia. They have put out their release and their papers contemplating that. This government is contemplating an inertia market. The problem with inertia markets is that some states have an overabundance of inertia, so why would you have a market in those states, when other states require inertia. As we transition to renewable energies, this market will become more and more lucrative, so what we are attempting to do is offer those stabilisation services through our new generator and, of course, funding from that will be provided through this ancillary market. We won't know what the benefits of that are until the market is established, and we won't know the operational costs of the generator until the tender process is completed. Members interjecting: The Speaker House of Assembly The SPEAKER: Before the next question, I call to order the member for Kavel. I warn the members for Hammond and Morialta and the deputy leader, and I warn for the second and final time the member for Morialta.