Gas to 'feature more' in Eastern States
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September 17, 2007 - 4:14PM
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Power retailer Origin Energy Ltd says a carbon emissions pricing scheme will position gas as a competitive player in the eastern states energy market.
The market is dominated by coal-fired power generation, which is a cheaper and more abundant energy source than other forms of energy including gas.
In Victoria alone, there is enough coal to underpin about 500 years of electricity generation.
Origin regulation and government affairs national manager Julian Turecek said gas was taking a "back seat" to coal, but climate change fears and the emergence of a carbon emissions pricing scheme was likely to weigh in favour of gas.
Mr Turecek said gas was a more expensive energy alternative when compared with coal, but the addition of a carbon tax would make it more competitive.
"We now have a bi-partisan approach on climate change policy, which we haven't had ever," Mr Turecek said on Monday in Melbourne.
Mr Turecek said there was a push for a carbon emissions trading scheme and the scene was set for gas to play a bigger role in the local energy market.
He said Origin would concentrate on the gas market over the next few years to help bring down its own supply chain emissions.
"Gas-fired power generation has a significant role to play in achieving this reduction," he said.
© 2007 AAPBrought to yo