Brownlee Gerry: Questions for Oral Answer — Questions to Ministers 
Brownlee Gerry: Questions for Oral Answer — Questions to Ministers 
[Volume:607;Page:4903] 
9.  
GERRY BROWNLEE (NZ National—Ilam) 
 to the  
Minister of Energy 
: Has he had any discussion with the Minister for State Owned Enterprises about renegotiating the statement of corporate intent to encourage Genesis Power Limited to develop the Kupe gas field? 
Hon PETE HODGSON (Minister of Energy) 
: 
 No. 
Gerry Brownlee 
: Does the Minister see anything wrong in Genesis Power Ltd mothballing its proposed 400-megawatt generating plant at Huntly because it cannot get a long-term gas supply contract when Genesis Power is a 70 percent owner of the undeveloped Kupe gas field? 
Hon PETE HODGSON 
: The member is apparently not aware that Genesis needs no encouragement. It has set out to get itself a field operator. It is saying it will bring the gas on in 2006 or 2007— 
Gerry Brownlee 
: Well it’s not. 
Hon PETE HODGSON 
: The member contradicts me. I am telling the member the truth of the matter. The Crown is quitting its 11 percent shareholding which was announced by my colleague the Associate Minister of Energy last week. Why was the member not keeping up with that? 
Gerry Brownlee 
: I raise a point of order Mr Speaker. I wonder whether the Government might consider giving the Clerk’s Office some advice. Quite clearly this question should have been set down to Dr Cullen—the real Minister of Energy. 
Mr SPEAKER 
: The member is trying my patience. He knows that is not a point of order. 
H V Ross Robertson 
: What advice does the Minister have on the effect that the development of the Kupe field would be likely to have on gas prices? 
Hon PETE HODGSON 
: I advise the member that developing the Kupe field would raise the price of gas but that that would not necessarily mean higher prices for gas users. Furthermore I am advised that those higher prices which nobody would be paying would encourage more gas exploration. However I am considering that advice with extreme caution because it is contained in a press statement from the Opposition spokesperson on energy. 
Gerry Brownlee 
: Unlike the Government I seek leave to table the full text of the statement the Minister refers to and then he will be a lot better off. 
Mr SPEAKER 
: The member is seeking leave to table the full text. Is there any objection? There is objection. 
Gordon Copeland 
: Is the Government committed to the view that Kupe gas should be downgraded and used to generate electricity when sale on the open market might better optimise economic efficiency and add value to the New Zealand economy? 
Hon PETE HODGSON 
: All other things being equal there is no doubt that using gas directly especially for issues such as hot water heating and space heating is a more efficient use of a resource—which is why some of it is used that way and some of it is used to generate electricity. 
Jeanette Fitzsimons 
: Has the Minister discussed with Genesis why it is currently or has been recently running its Huntly power station at only 40 percent of capacity at night and 80 percent of capacity during the day—rather than flat out—to save water for a dry winter? 
Hon PETE HODGSON 
: Discussions on that matter and many others are continuous in the lead-up to this winter. The most recent meeting was yesterday and I understand that Genesis is likely to significantly increase its throughput through the Huntly plant which will be starting soon.