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Groom Learnt Nothing About Energy Risk


Dr Rosalie Woodruff MP

Dr Rosalie Woodruff MP  -  Wednesday, 8 June 2016

Tags: Renewable Energy, Basslink

Rosalie Woodruff MP | Greens Energy spokesperson

At Budget Estimates today, Energy Minister, Matthew Groom, revealed he has no contingency in place if Keppel Holdings, the parent company of Basslink, decides to walk away from the undersea cable.

Basslink lost $22M last financial year, and $25M the previous year.

Today, Minister Groom revealed Basslink will also forgo close to $40M in facility fees from Hydro, its only source of income.

Basslink may well have been forced to borrow to cover the cost of fixing the cable. That liability may exceed the value of assets, and is secured against the cable itself.

On the same day he declared the energy crisis over, the Energy Minster reveals he hasn't learnt anything about the need for risk management.