House debates
Wednesday, 12 October 2016
Matters of Public Importance
Renewable Energy
3:47 pm
Tony Pasin (Barker, Liberal Party) Share this | Hansard source
I will withdraw it—he did open himself up to it, with respect. What we saw on 28 September in South Australia was the triumph of ideology over reality. What the member for Wakefield and I share in common, and I do not think we share a lot of things in common, is that we are proud and parochial South Australians. I do not think either of us wants to see the lights out. I do not think either of us wants to deal with the kinds of jokes and quips that I am sure he got from his interstate colleagues, as I did.
The Prime Minister, in this chamber, not an hour ago, put this debate into context. He said that the people of Australian want us to ensure that the lights are kept on—that is a pretty basic requirement—that electricity is affordable and, in what is—as the member for Wakefield correctly points out—a carbon constrained future, we will need to do it in a way that ultimately reduces emissions.
What I want to talk about is the fact that electricity in my state of South Australia is now at historical highs. The member for Port Adelaide will not disagree with me. We are at historical high levels. It is now, effectively, in the long-term average, twice the cost of electricity in Victoria and twice the cost of electricity in New South Wales. How does that affect average, ordinary constituents in my electorate of Barker? As you heard me say in the party room, I spent my formative years moving water pipes around our irrigation property alongside my father and brother. To be fair, I think it is as noble a profession as this one, but do you know what it does? It gives me empathy with the horticulturalists in my electorate in the Riverland. As such, I receive their Central Irrigation Trust newsletter.
The Central Irrigation Trust is an authority that is responsible for managing, as members on this side heard in the party room, infrastructure to ensure water is taken from the mighty Murray River to properties, and, obviously, electricity is a significant component of this. I thought I would read from their newsletter: 'The CIT believes it is important that it alert its customers to the likelihood of significant water price increases impacting on the 2017-18 financial year as a result of increases in electricity generation costs.'
The newsletter says the CIT—a fairly conservative organisation not prone to hyperbole—recently renewed its pumping station energy contract for the coming 12 months. It continues: 'This contract, unfortunately, is $1.3 million higher than we paid in 2015-16 and $600,000 more than we anticipated. Whilst the CLAT has reviewed its 2016-17 budget to mitigate where possible the cost increases, should retail electricity prices remain at current levels in 2017-18, there will be no option but to increase water consumption prices between 15 and 30 per cent to recover the increased costs.'
'What the heck,' you might think, but these are the people that put fruit and vegetables on your table. These people are operating in a regulatory requirement in South Australia—thanks to Jay Weatherill—which is not only the highest cost, in terms of regulation, not only the highest taxing environment, but they now need to face electricity prices that are twice the cost of states like New South Wales and Victoria. Do you know who pays for that? The consumer pays for that. If we come into this place and want to talk about cost-of-living pressures, let us have a real think about cost-of-living pressures. Your vegetables will be more expensive. Your milk will be more expensive.
On the night of the blackout, I was eating in the Murray Bridge Hotel. We were by candlelight, and I received a phone call from a distressed dairy farmer. Have a listen to this. This is someone who is dealing with commodity prices that are putting him out of business, and because of the blackout he could not milk. Do you know what that does? That means he gets one less milking this month. Less money. He is more likely to have to walk off that property. And why?
It is because—
An opposition member interjecting—
Those opposite can keep laughing about it if they like. He is going to walk off that property because you are driving up the cost of electricity. The member for Port Adelaide is running defence for Jay Weatherill. It will not save him, mate. He is gone.
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