Tuesday, 12 August 2025

Gas supply

Gaelle BROAD (Northern Victoria) (18:23): (1822) My adjournment matter is for the Minister for Energy and Resources to outline what additional support the government will provide to residents in 10 regional communities who are about to lose their gas supply to ensure they are not left out of pocket. The majority of these towns – Heathcote, Kerang, Maldon, Marong, Nathalia, Robinvale and Swan Hill – are in the Northern Victoria electorate. Solstice Energy has announced it will cease supplying gas to homes and businesses in these towns by the end of 2026, forcing 1150 households and 34 businesses to switch to electricity or LPG for heating, hot water and cooking – basic essentials for living. In 2015 the Labor government confirmed that the Energy for the Regions program would proceed and they would deliver natural gas to Victoria’s regions. In 2019 the BIG4 holiday park and lifestyle village in Marong was offered $5000 as an incentive payment to connect natural gas to its 43-unit development. They signed up and changed their toilet block as well as 24 units, with several in progress to change. Now they are being told, under the same government, that this supply will be cut off and they need to change back to LPG.

I have spoken with local residents who were shocked to hear about it through the media. Neither Solstice nor the government have been up-front with residents, deciding to cut the 20-year contract halfway, 10 years early. In Marong, Solstice connected new customers in November last year and one this year who were charged a $2400 connection fee without any forewarning that this supply was about to be cut off. Even with government rebates, residents are concerned they will be left thousands of dollars out of pocket and ineligible for these rebates due to income thresholds or prior use of similar programs. Families are already doing it tough with rising power bills and a cost-of-living crisis; now they are being forced to spend thousands to replace their appliances just to stay warm or cook dinner. For some, to change to electric is costly; it would also require switchboard upgrades and new line connections, not just new appliances. One household estimated it would cost $28,000 to fully convert to electric appliances.

Elderly residents, self-funded retirees and families with newborns and young children are amongst the many residents stressed about escalating price rises and having their gas supply cut off within the year. Many residents simply do not have the money to cover the additional costs associated with changing or the capacity to navigate information online and coordinate trades and new appliances. They are concerned that they will be left severely out of pocket and fear for the vulnerable in the community being contacted by dodgy service providers offering assistance. I have spoken with residents who have said that going electric is not an option, and some homes have no space for an LPG bottle.

The Allan Labor government’s anti-gas agenda has created uncertainty for energy providers and is ultimately hurting our regional communities. What additional support will the government provide to ensure these businesses and residents are supported and not left out of pocket?