Australian Coat of Arms

Member for Blaxland

Shadow Minister for Trade and Investment

Shadow Minister for Resources and Northern Australia 

If gas prices don't halve Turnbull's bad judgement will be to blame

THE HON JASON CLARE MP
SHADOW MINISTER FOR TRADE AND INVESTMENT
SHADOW MINISTER FOR RESOURCES AND NORTHERN AUSTRALIA
MEMBER FOR BLAXLAND

THE HON MARK BUTLER MP
SHADOW MINISTER CLIMATE CHANGE AND ENERGY
MEMBER FOR PORT ADELAIDE


IF GAS PRICES DON’T HALVE TURBULL’S BAD JUDGEMENT WILL BE TO BLAME


Six months ago Malcolm Turnbull promised to cut gas prices in Australia by half.

TURNBULL: Oh, no, it will be cheaper than the prices that are being offered now. People are being offered prices of $20 a gigajoule. It should be around half that or less.

ABC AM – THURSDAY, 27 APRIL 2017

To do that he created the Australian Domestic Gas Mechanism, which allows the Minister for Resources to restrict exports to put downward pressure on gas prices.

The last day to declare a gas shortfall year and restrict exports under this regulation is today.

It is now very clear why he didn't do this and instead he is relying on an alternate deal with the gas companies.

Turnbull knew that if Barnaby Joyce made this declaration it could have been challenged by the gas companies in court because it was issued by an illegitimate Minister.

As recently as last month, the Chairman of the ACCC, Rod Sims cited east coast businesses were still being offered gas at $16 Gigajoule and in some cases, couldn’t secure gas at all.

We have already seen companies like Incitec Pivot make decisions to invest in the United States instead of Australia and Coogee Chemicals has mothballed its Melbourne plant because of unaffordable gas.

If gas prices don't fall by half in Australia – people will know who to blame.

Turnbull should have stood Joyce aside and appointed someone who could have pulled the trigger.

WEDNESDAY, 1 NOVEMBER 2017

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