Legislative Council - Fifty-Second Parliament, Second Session (52-2)
2013-10-16 Daily Xml

Contents

NATURAL GAS

The Hon. A. BRESSINGTON (14:48): I seek leave to make a brief explanation before asking the minister representing the Minister for Mineral Resources and Energy questions about domestic gas reservation.

Leave granted.

The Hon. A. BRESSINGTON: The minister on 14 October 2013 said the state will not prop up domestic natural gas supplies on the east coast at the expense of the export industry. Speaking at the Australian Pipeline Industry Association Conference in Adelaide, Mr Koutsantonis said that South Australia is well placed to grow from exports in natural gas. He said that some east coast markets have caused shortages and price hikes for natural gas by refusing to exploit their own resources. He said that he will not make companies back out of export deals. On ABC he also said:

They do have the same reserves, they just choose not to exploit them because of concerns with the Green movement or their own Liberal Party members. Australia's energy independence is important. South Australia can deliver that energy independence but what we won't do is risk that investment because of a few recalcitrants in New South Wales.

I have done some reading on this and it seems that we are heading to triple the price of natural gas in this state. My questions to the minister are:

1. Can the minister please outline what steps this government intends to take to protect industry and private residents in South Australia from a wholesale sell-off of South Australian gas to export markets?

2. Does the minister intend to develop a domestic gas reservation policy and protections for domestic gas pricing from the export markets?

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for the Status of Women, Minister for State/Local Government Relations) (14:49): I thank the honourable member for her most important questions and will refer those to the Minister for Mineral Resources and Energy in another place and bring back a response.