NEWLY released energy data has caused experts to advise local council to “re-think” the roll-out of natural gas to regional areas.
With gas prices expected to soar by between 20-40 per cent in the coming two years, the cost-effectiveness of the Coalition’s $85 million natural gas initiative has been called into question.
New data outlined in a report from the Alternative Technology Association (ATA) suggest it may be better for the region’s consumers to invest in efficient electrical appliances than to go ahead with the reticulated gas network.
It comes two months after the Victorian Government announced $85 million would be spent on supplying reticulated natural gas to 11 regional towns as well as the Murray River communities via a “virtual pipeline”.
ATA’s Craig Memery said advances in electrical appliance technology meant it was fast becoming a more efficient alternative.
“What it means is, in areas like Swan Hill and Mildura, if the community were given a choice between gas or old-style electrical appliances they would be better off with gas,” Mr Memery said.
“But, because of the gas prices and the more cost-effective electric appliances we have now, they would be better off with those new electrical appliances.
“So it would actually be cheaper to subsidise a program for new electrical appliances.”
Mr Memery said for regional Victorians the cost would be even greater than for those in metropolitan areas, where there are more consumers to share the load.
“Our analysis looked at the residential sector and what it found was in areas like Mildura, homes would be tens of thousands of dollars worse off in the course of ten years if they chose gas over electric,” he said.
For more on this story, pick up a copy of Friday’s Guardian (December 5).
