7. Energy Market—Electricity Pricing and Renewable GenerationJONATHAN YOUNG (National—New Plymouth) to the Minister of Energy and ResourcesEnergy Market—Electricity Pricing and Renewable Generation7. JONATHAN YOUNG (National—New Plymouth) to the Minister of Energy and Resources: Does she stand by her reported comments in Energy News on 13 March this year?Hon Dr MEGAN WOODS (Minister of Energy and Resources): Yes in the context in which they were given.Jonathan Young: Does she stand by her reported comments that The Government understands the need to maintain peaking capacity in the power market as it works towards its environmental goals."—capacity which is currently delivered through gas-fired generation?Hon Dr MEGAN WOODS: Yes I do and that is why this Government has made one of the first two tasks of the interim independent climate commission its job to chart our path to 100 percent renewable electricity by 2035. We understand very clearly that there are three fundamental parts of our energy system that we need to get right: security of supply affordability and sustainability. That is why we will be doing the work to put in place carbon budgets so that we have a clear transition plan to 2035.Jonathan Young: Is she expecting households to carry the extra costs of overbuilding generation in order to meet her straight 100 percent renewable goal by 2035—costs which potentially will double the power prices in New Zealand as has been the case in Germany?Hon Dr MEGAN WOODS: One of the things that this Government is absolutely committed to is making sure that we have an affordable electricity system for New Zealanders. One of the key areas for the review into electricity pricing is around what future technology means for electricity pricing for consumers. It's also one of the reasons why this Government wasn't prepared to sit around saying like the Leader of the Opposition did that we need to transition to a fossil-free future but not put in place a transition plan. We will not let New Zealanders be left high and dry by not adequately planning for our future and that is what this Government is committed to doing.Jonathan Young: If New Zealand bans gas generation backup as she has foreshadowed and as the Prime Minister foreshadowed yesterday will New Zealand experience power blackouts as South Australia have faced when the sun isn't shining when the lakes are low and when the wind doesn't blow?Hon David Parker: You sound like Gerry Brownlee.Hon Dr MEGAN WOODS: I reject the premise of that question. The Prime Minister made very clear yesterday that we are currently doing some work that is required around the future and what the member asks simply isn't what was said yesterday.SPEAKER: Before I call James Shaw I want to remind the Minister for the Environment that he should not insult Mr Brownlee by describing me in that way.Hon James Shaw: Does the New Zealand energy market operate in the same way as Germany and South Australia?Hon Dr MEGAN WOODS: A very good question. No it does not and one of the things that we are utterly committed to doing in the review of electricity pricing is looking to the future—something the previous Government did not do—and considering how coming technologies are going to impact on pricing."