Gas to kill pensioners this summer

Via the AFR:

Santos and its GLNG project partners have taken their most decisive step yet to head off damaging caps on gas exports, agreeing to divert 30 petajoules of gas away from export and into the domestic east coast market.

The move comes as the federal government is due this month to decide whether to declare 2018 a “shortfall” year for gas on the east coast, which would cause it to slap restrictions on LNG shipments, specifically on GLNG.

Santos said the gas, which represents almost 5 per cent of east coast annual demand, “is being sold” to east coast customers, including power companies, and would otherwise have been exported as LNG.

It didn’t comment on which customers in Asia will now receive lower volumes of LNG, given that all the volumes shipped from the $US18.5 billion GLNG project in Gladstone are covered under long-term contracts.

“We have been producing and marketing domestic gas for many years, and we have the capacity to leverage our various assets and partnerships to ensure this energy security,” chief executive Kevin Gallagher said in a statement.

Prices are the proof of the pudding. We need to see $17.50G fall to $7Gj. Just for starters.

Meanwhile, the Coalition has descended into idiocy:

Federal Liberal MP Craig Kelly has again warned of dangers posed by renewable energy to the lives of pensioners with claims blackouts in the upcoming summer could shut down nursing home airconditioners.

Mr Kelly faced calls from Labor to quit as the House of Representatives’ energy committee chair back in April when he told the ABC’s AM program that pensioners could be killed as a result of renewable energy policies pushing prices up, putting off older Australians from turning the heating up.

The backbencher has again called on the Turnbull government to suspend the Renewable Energy Target and increase the supply of dispatchable coal power across the nation.

“Imagine aged care centres in Western Sydney, the health risks and increased risk of deaths if the air conditioners can’t be turned on,” he said.

Any airconditioning cut outs during periods of extreme heat could be potentially deadly with the December 2014 heatwave in Victoria resulting in more than 200 deaths, and a 2010 heatwave killing nearly 10,000 people in Moscow.

Mr Kelly told The Australian the renewable energy target could be just as deadly in the summer months.

Given it is the gas price that is driving power costs, iposo facto, death by gas…


    • But he clearly does meet and exceed the LNP’s key selection criteria of ‘ignorant fuck’. Tick.

  1. Blackouts caused by gas shortages will be blamed on two entities, the gas companies and the government.

    It just so happens that the current government is also wildly unpopular for a host of other reasons.

    People keep suggesting that somehow the current government will get away with it. Well, current polling tends to highlight that this is most definitely not going to happen. It doesn’t matter who’s fault it originally was, it is now 100% the Turnbull governments problem.

    People are primed. Every bill reminds them of just how ludicrous energy has become. Every news article highlights just how useless and corrupt the government is. Every power outage makes them feel less and less secure.

    If they don’t fix it, and rolling blackouts do happen this summer, its will cataclysmic for the Coalitions future election prospects.

    • Your claims are so interesting – because in 2001, if WA had summer power cuts, it was said that the state government will lose the election. Power supply was a responsibility of the state government – till Tony Abbott came along and kept ranting against the coal tax. The electorate must be so confused now with 2 layers of government constantly talking about electricity.

      • Power cuts in isolation are very different to the rent seeking price increases ad infinitum, combined with the policy chaos (where the idealogical right’s hijacking of pragmatic policy making is made plainly obvious to all and sundry), that will, I think, consign the Libs to ermagod-ageddon.

        This is Labor’s election marketing right here. Smashing them to bits on energy

  2. If gas reservation is a fantastic idea, then surely job reservation is a fantastic idea also. ie, PM Bill English looks like an absolute douchebag and said in the first debate against Jacinda Ardern “who will milk the cows and drive the trucks?”

    Jesus Christ! The job of driving trucks on government funded roads should be reserved for Aussies and Kiwis only. Ditto government funded buses.

    • When I was younger we were lead to believe that migrants were just doing all the dirty jobs- cleaning toilets and the like. Now apparently ‘truck driver’ is a dirty job. I think it’d be an uphill battle to convince me that Aussies are looking down their noses at driving trucks en masse.

  3. It’s not the price of gas I’d worry about in this instance, it is the inevitable risk to reliable stable supply wrought by renewables policies seeing coal shutdown over coming years.

    • Exactly right, the functioning of a complex system cannot simply be defined by what’s happening at the margin.

  4. “Given it is the gas price that is driving power costs, iposo facto, death by gas…”

    Well if your going to do it, gas would be the most efficient option to terminate large numbers of people.
    I seem to remember there was this thing in Europe about 70 years ago, maybe we could get some pointers from there …

  5. I think the only people who would be killed by electricity prices in summer in places like Melbourne and cooler are those whose houses have insulation that is crap for keeping warm in winter anyway.

    It’s a slightly different story in warmer climes but their insulation and house design is probably still crap anyway if they’re killed by electricity prices in summer.