You may remember I used this column last week (June 1) to stick the boot into Prime Minister Malcolm Turnbull for his government’s multiple failures in setting energy policy leading to a direct result of unnecessary high power prices in Australia, affecting business and consumers alike.
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I also complained his office had not answered the series of questions I asked of it:
“What is the federal government doing to address this issue of power prices escalating to the point it is putting companies out of business? Or is it prepared to sit on its hands and allow the "catastrophic failure of national policy making" (per Four Corners "Power Failure" report May 8) destroy the livelihood of thousands of people in an already economically depressed part of the country?”
On Tuesday I got a response from the federal Department of the Environment and Energy. They began by saying the Australian Government understood “the significant burden” rising energy costs represent for the business sector, and was taking action.
It said the Government directed the ACCC to review retail electricity prices and the competitiveness of offers to larger business customers and take into account wholesale electricity market conduct, price and cost issues.
Their preliminary report is due in September and a final report due June 2018, which seems a bit late when companies are saying they might go out of business now.
The department also said lowering electricity prices would require more gas supply and suppliers in the market.
They said the Prime Minister introduced the Australian Domestic Gas Security Mechanism in April which brings in LNG export controls in July with the ACCC monitoring the wholesale market. They also said the 2017-18 Budget committed $90 million to expand gas supply and increase competition in the market and would examine new gas reserves, provide advice on future gas supply and encourage and accelerate “responsible development” of onshore gas for the domestic market.
How that development would occur when the Lock the Gate is so strong outside Queensland remains to be seen. Derek Barry
Derek Barry
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
