Eight organisations representing a wide range of economic and social interests in South Australia have called on the State Government to establish an independent inquiry into the electricity industry.
In a letter this week to the Treasurer, Tom Koutsantonis, the organisations express their deep concerns about current high prices and the reliability of supply of electricity in South Australia.
“To adequately inform debate amongst stakeholders, we write to request that your Government establish an independent inquiry to investigate all options to transition South Australia’s electricity network towards a low carbon future which promotes the long term interests of South Australian consumers with respect to price, quality, reliability and safety,” the letter says.
The letter adds: “South Australia’s key advocacy organisations are deeply concerned about the impact high wholesale prices are having on the community and economy and what future costs might eventuate in the absence of transparent and evidence based policy decisions.
“We are also concerned about predicted reliability shortfalls in South Australia if we cannot access sufficient ‘baseload’ generation, whether that be locally or through the national electricity market (NEM).
The letter was signed by the chief executives and senior office holders of the South Australian Business Chamber, Central Irrigation Trust, Council of the Ageing, Primary Producers SA, Property Council of Australia, SA Council of Social Service, SA Wine Industry Association and Uniting Communities.
The letter went on: ‘We recognise South Australia is part of the NEM and that all Australian consumers are best served by State and Federal Governments collaborating on policy decisions to ensure Australia can reach its renewable energy and carbon reduction targets with least cost impacts on the entire NEM.
“A South Australian led inquiry will not seek to replicate existing work by Federal Regulators and Agencies but rather present a holistic analysis of options from an authority which is operationally independent of existing market structures with the power to second appropriate international expertise.
“We can all agree that there is an imperative to address this issue and are willing to provide you any assistance as we strive towards a prosperous South Australia.”
The South Australian Business Chamber Executive Director, Industry and Government Engagement, Anthony Penney, said the South Australian Business Chamber had initiated the call for an independent inquiry because of the widespread concern that exists over the current state of the electricity sector and its impact right across SA.
“The breadth of interests represented by the eight groups that agreed to be party to this approach to the State Government confirms the depth of concern that exists about the electricity sector in South Australia,” Mr Penney said today.
“With the Council of Australian Governments due to meet tomorrow, this is a timely call on the State Government to fully explore the issues surrounding power pricing and supply,” he said.
Media ContactSonia Bavistock
Media & Communications Executive
0477 006 475
soniab@business-sa.com
