Prebble Richard: Electricity and Gas Industries Bill — In Committee 
Prebble Richard: Electricity and Gas Industries Bill — In Committee 
[Volume:620;Page:15731] 
Hon RICHARD PREBBLE (ACT) 
: 
 I think that the Greens despite suggesting they would not would actually be very interested in what I have to say. I am obliged to the Minister for taking a call—it was very parliamentary of him—and pointing out to me that there has been an amendment in a subsequent Act. Following the 1999 Act in 2001 “new renewable energy source” is defined. I am obliged to the Minister and I have now read it. It certainly does not rule out nuclear energy and it states that a new renewable energy source means an energy source that occurs naturally the use of which will not permanently deplete New Zealand’s energy sources of that kind. What that means is that an imported coal-fired station would meet this definition. Why that is important for those of us who know about energy is that in fact the cheapest way to produce energy in New Zealand is to set up a large coal-fired station and import the coal from Queensland. Indeed that is exactly what one of the State-owned enterprises did. When there was a coal shortage it was importing coal from Australia. 
I find it simply amazing that the Green Party is saying and this bill is saying that a line company—and who would want to do this; well it would be the Auckland line company—can build the 150 megawatt station providing the coal that it burns does not deplete New Zealand’s coal. So here we have the Green Party saying: “We are in favour of coal–fired stations provided it is not New Zealand coal.” That is what it says I will read it out. It means an energy source that occurs naturally the use of which will not permanently deplete New Zealand’s energy sources of that kind. It goes on to say that it has to be replenished if it is in New Zealand. I might point out that this definition clearly allows wood-fired stations because wood would renew within 50 years. So the Greens are in favour of a wood-fired station which I assure members has all the attributes of a coal-fired station. 
Here we have the Green Party saying—actually it is more than saying. I think this bill is almost a direction. It is going to become an absolute certainty that the line companies want to get into generation. We know that because they came along to the Commerce Committee and said they wanted to build a station bigger than 50 megawatts. We even had the United Future party telling us that Solid Energy wants to build a 150 megawatt coal-fired power station. Well if it buys a line company it will be able to do it because then it will come under the exemption and then it will be allowed to build as big a power station as it likes provided it does not use New Zealand coal. That is all the renewable energy sources provision does. It says that we cannot burn New Zealand gas but we can import it from Indonesia and there are people who have said: “Let us bring in liquid gas and have a gas-fired station from liquefied petroleum gas.” That is perfectly OK by the Greens because no doubt they read this clause. 
I have to say to the Committee that I had not appreciated until the Minister drew it to my attention that in 2001 and no doubt it was he who did this he managed to—I will not say con the Greens—persuade the Greens that somehow we are helping the whole planet if we burn Australian coal and not New Zealand coal. 
 The odd thing is of course that New Zealand coal is dug up and sent to Indonesia and the Indonesians send their coal here and that is OK! That is all right; it helps the planet! [ 
Interruption 
] The Green member Sue Kedgley is interjecting from her seat. I ask her to explain to us whether that is what she meant. Is that Green Party policy? Could we have the Green physics that will let us know that somehow or other we help the planet if the Indonesians burn our coal and we burn their coal. 
Hon Maurice Williamson 
: What if they sent ours back? 
Hon RICHARD PREBBLE 
: That is a point but no I do not think that would be allowed. I think we would have to test the Indonesian coal to make sure it is not our coal that has been sent there and brought back again because I think that would be naughty. Under this provision that is what “renewable energy” means. Interestingly what it does not mean is “hydro” and “geothermal” and Lord knows why that is.