Scott Lynda: Electricity and Gas Industries Bill — In Committee 
Scott Lynda: Electricity and Gas Industries Bill — In Committee 
[Volume:620;Page:15860] 
Dr LYNDA SCOTT (National—Kaikoura) 
: 
 I would like to go back to what the Minister Pete Hodgson said about spare capacity. He said that gas-processing facilities are the same as the Maui pipeline; that if there is spare capacity rather than a commercial contract being entered into it would be better if the Government saw a demonstrated need that it had regulation-making powers to actually demand that the industry share that capacity. He said that it had to be recommended by the industry. Well I would like to know from the Minister how he can make that assumption of who the industry is. How many players does that involve? Because in the commentary on the Electricity and Gas Industries Bill that we are debating tonight it states: “The co-regulation model has been developed as a result of a consensus view in the gas sector that: the gas industry could not achieve voluntary self-governance . . .”. Well we have heard tonight from many people in this Committee that the industry does not agree with that. There are many players outside who believe that they would prefer to be self-governing rather than having this co-regulation model. So I would like to know how the Minister can say that it has to be recommended by the industry. How will he know that? 
This to me sounds like a really good example of the nanny State it really does: “Nanny he won’t let me play in the sand pit. I can’t get in there.” So the Government being nanny is going to come in and enforce that rather than let the industry take over. What do New Zealanders who may be listening to this debate want? They want to be able to switch on the lights turn on the oven or turn on the heat and have surety of supply. 
This is 2004 and we have 4 million people in this country. How hard can it be? We have this huge bill and a Government that for years and years has been promising these types of improvements but we have not seen it. We just have not seen the improvements. Despite the rhetoric and despite all the promises we have not seen it. Here we have Part 4A which many industry players are opposing where the Minister can play at being nanny State and nationalise gas processing and make a private company share spare capacity. Well I cannot see that that will not be a disincentive to investment. In Marlborough at the moment we have a huge shortage of accommodation for our vineyard workers. 
Darren Hughes 
: Bring back Mr Burns. 
Dr LYNDA SCOTT 
: No Mr Burns has not sorted anything out. The fact is that this is like this Government coming along and saying: “OK you’ve got a big house you’ve got lots of rooms we’re going to regulate and make you share your accommodation with these vineyard workers whom we need. Because you know there’s a need. The country needs these people to have accommodation. We need our vines to be picked and we need the experts.” We had the Marlborough wine people here today at Parliament. We have a wonderful number of vineyards in Marlborough and a fantastic product and this is exactly the same. One could say “OK this is really important for the country so we’re going to insist that people actually share their houses and use their spare-capacity bedrooms to house these workers.” 
I do not think many people would put up with that. I do not think the Minister would share his house but here we have it with the gas industry. The Minister is saying that if one has some spare capacity the industry can make a private company share that spare capacity. Well a lot of people out there do not want to see this go ahead. Many do not agree with that and they do not agree with the co-regulation model that has been developed. 
The commentary goes on to state: “the proposed regulatory model in the bill was heavily influenced by electricity industry concerns and might impose rules that may be inappropriate for the gas industry”. So it is saying that the electricity industry and the gas industry have some conflicts and “co-regulation would share responsibility between Government and industry”. Well many in the industry do feel that they can regulate their own industry and do not need this Government’s interference. So we will see that this bill will put off overseas investment. United Future members were talking before about being a free-market party but—