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House of Assembly - Fifty-Third Parliament, Second Session (53-2)
2016-07-26 Daily Xml
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Electricity Prices

Mr VAN HOLST PELLEKAAN (Stuart) (14:46): My question is to the Minister for Regional Development. Has Nyrstar advised the minister and local member that forecast electricity prices will put its operations in Port Pirie in jeopardy even after its current productivity and environmental upgrades are completed and, if so, what is the government's response? When previously asked the same question in question time on 19 May, the minister said that he would be meeting with Nyrstar the following week and expected to discuss the matter with them then.

Members interjecting:

The SPEAKER: The member for Goyder is called to order. The member for Mitchell is warned for the second and final time.

The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy) (14:46): Someone will be here with an orange tie sitting in that chair—it will be an orange tie. I meet with Nyrstar regularly, and I have been talking with Nyrstar at length, as has the member for Frome, as has the Premier, as have, indeed, a number of cabinet ministers—

Mr van Holst Pellekaan interjecting:

The Hon. A. KOUTSANTONIS: Interrupting won't make you leader. What will make you leader is to grow a set, but that's a different argument. The difference here is that we work cooperatively with Nyrstar. We're working with them. Not only have we helped underwrite their new dramatic investment in Port Pirie, which is making them viable, but we are also working with them to try to make sure they have availability of gas and power. Of course—

Mr Marshall interjecting:

The Hon. A. KOUTSANTONIS: Yelling across the chamber is not a substitute for policy.

The Hon. J.J. Snelling: You know when he's under pressure.

The Hon. A. KOUTSANTONIS: You know when he's under pressure.

The Hon. J.J. Snelling: He gets very screamy.

The Hon. A. KOUTSANTONIS: Very screamy—and you get the fake laughter following after the screaming. But we are working with Nyrstar cooperatively about a number of issues to try to deal with their issues. The first issue they've got, of course, is continuation of the gas supply. That's the more urgent need that they have. Given the most recent breakdowns in the pipeline, as managed by Epic, that's a very large concern for the government, and we are working cooperatively with them. We are also working with them about investments to be made in Nyrstar about electricity supply.

Mr Marshall interjecting:

The Hon. A. KOUTSANTONIS: We see a solution for the entire Upper Spencer Gulf as being integral, whether it's a new form of energy at Port Augusta, a new form of renewable energy, or some other form of cogeneration plants made available to Nyrstar and Arrium. The Leader of the Opposition is bellowing out across the chamber, 'What did Nyrstar say?' Well, companies come to us and speak to us about their confidential commercial realities. We don't come back into the parliament and lay them out in the chamber. If that's going to be the policy and method of members opposite, they should say so.

I also point out that not one of these companies went to the opposition and complained about the spot price market and what was occurring before it appeared on the front page of The Advertiser because none of them are speaking to them—not one of them. If they knew what was going on, they would have been out there, but they are so out of touch with business that no-one speaks to them.

Nyrstar, Arrium, all of our regional high energy intensive industries are looking for solutions. The government is working on it through the COAG auspices. We are working for greater interconnection. We are working to break up the monopoly energy providers that were imposed on us by the guilty party who privatised our assets. Of those members opposite, still at the helm of all their economic policy is the architect of the privatisation of ETSA.

Members interjecting:

The Hon. A. KOUTSANTONIS: The architect—they don't like it—Rob Lucas, is still in charge.

Mr VAN HOLST PELLEKAAN: Point of order: debate.

The SPEAKER: The point of order is that it is debate?

Mr VAN HOLST PELLEKAAN: Yes, sir. Standing order 98.

The SPEAKER: I uphold the point of order.

The Hon. A. KOUTSANTONIS: Thank you very much for your impartial ruling, sir. We are working cooperatively with all these companies. We will work with them and continue to work with them. What we won't be attempting to do is politicise their issues. We intend to work to solve them. Nyrstar, I have to say, has been very complimentary of the government and the work we have been doing with them. They are very complimentary of the work that the member for Frome has done for Nyrstar. Quite frankly, they are very lucky that he was elected to the seat of Frome and not a Liberal member, because I suspect that reinvestment in Port Pirie would not have occurred.

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