Inquiry into rising cost of bottled gas

13/07/06
The State Government has launched an inquiry into the affordability of bottled liquefied petroleum gas (LPG) in Western Australia.
Energy Minister Francis Logan announced the inquiry today in response to concerns from consumers, particularly those people in regional and outer metropolitan areas who were dependent on bottled LPG.
"Gas is a clean and efficient energy source and there are many people in WA who chose to use it for cooking, water heating and for heating their homes," Mr Logan said.
"However, not everyone has gas piped to their homes and those who do not are suffering the hardship of increasingly expensive bottled LPG. Prices are now at record levels."
LPG is an internationally traded commodity and its wholesale price is set on world markets. Historically, bottled LPG has been cheaper than electricity for home heating, but that advantage has now been eroded.

"This is why I have initiated an investigation into the affordability of bottled LPG," the Minister said.
"The inquiry will focus on the comparative costs of LPG and alternative energy sources, the factors affecting the disparity in prices between metropolitan and regional areas, and the differential impact on families in different circumstances."
The inquiry will also consider the potential opportunities for alternatives to bottled LPG, such as distributed compressed natural gas (CNG) or liquefied natural gas (LNG).
Mr Logan said the inquiry would be conducted by Avon MLA Max Trenorden and Collie MLA Mick Murray and would consult users in metropolitan and regional areas and industry.
"I expect the inquiry to provide advice and recommendations to the State Government by the end of November, 2006," he said.
Minister's office: (08) 9222 8950