Hospitality industry calls Victoria’s new gas laws misleading
Victoria’s hospitality is fighting back against the Allan government’s new laws around gas, which they say are designed to phase out gas by stealth.
Restaurants and café owners believe the move by the government could send more businesses to the wall.
The Australian Restaurant & Cafe Association called the move “deeply disappointing”.
“Without proper compensation or support, thousands of hospitality businesses now face potential closure, massive losses, or costly conversions to electric appliances,” chief executive Wes Lambert said.
“These changes could devastate Victoria’s hospitality sector, which is already struggling to survive.”
The sector has accused the premier of lying and misleading the Victorian public after new laws were introduced to parliament last week.
The legislation allows the regulator to prohibit gas connections in new dwellings and restricts plumbers from installing or replacing gas connections in existing homes.
Gas advocates argue that these provisions are effectively phasing out gas in the state, accusing the government of misleading the public.
Minister Allan's statement that Victorians can continue using gas for cooking has been criticised as contradictory. The clauses, part of the Gas Substitution roadmap, have caused widespread confusion among hospitality businesses that rely heavily on natural gas for their operations.
“Affordable and fast access to natural gas is essential for running commercial kitchens, as well as for instant hot water – a critical need for nearly every restaurant and cafe,” Lambert said.
“It is deeply disappointing that the Victorian government and premier signalled one course of action through the media earlier in the week, only to appear to reverse direction and introduce legislation that bans new or extended gas connections, the installation of gas appliances including cooktops, and fails to clarify the future of gas-powered instant hot water systems.”
Australian Pipelines and Gas Association chief executive Steve Davies said, “These draconian measures will not have any impact on improving gas supply for Victorians in the short-term and will instead have the opposite effect through chilling investment in new production.
“Why would any energy company invest in delivering much-needed gas supply for Victoria when the state government is openly trying to destroy the business cases? It is completely counter-productive.
“This bill creates an economically unviable situation where the state government is essentially telling the 60,000 Victorian businesses on the gas network that they don’t want or need their business anymore.”
Another critic is Australian Energy Producers Victorian Director Peter Kos.
“It’s an extraordinary turn of events that adds to the confusion and inconsistency surrounding Victoria’s energy policy,” he said.
“Industry has not been consulted about these amendments to building codes for all existing homes.”
Jonathan Jackson, 16th September 2024
