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Master Butchers on the chopping block

Apr 11, 2017

Dan van Holst Pellekaan MP
Shadow Minister for Energy and Mining
Master Butchers on the chopping block

MBL Food Services, a division of Master Butchers Co-operative, is the latest South Australian business to be gutted by surging electricity prices.

“The latest edition of MBL News reports the MBL has been hit with a $750,000 increase in its electricity bills this year,” said Shadow Minister for Energy Dan van Holst Pellekaan.

“The latest price shock for the MBL means that its electricity costs have increased by a staggering 448 per cent since 2010, undermining the viability of the operation and ability to employ South Australians.

“Should the MBL fall over, local butchers right across South Australia would face the difficulty of dealing with the offal they produce which is currently turned into tallow and meal at MBL’s Wingfield and Keith rendering plants.

MBL’s CEO Warren McLean lays the blame for the electricity price rises firmly at the feet of Premier Jay Weatherill:

‘SA’s electricity problem is down to the Weatherill Government’s ridiculous commitment to renewable energy.’

“Warren McLean has hit the nail on the head in his critique of the Weatherill Government’s failed electricity policies,” said Mr van Holst Pellekaan.

“Without accompanying grid scale storage, too much intermittent renewable generation has destabilised the market, pushing prices up and undermining reliability.

“The Weatherill Government’s foolish policies closed the Port Augusta power station too soon leaving South Australian consumers at the mercy of the weather and Victorian coal fired power stations.

“Australia’s looming gas shortage is also threatening to inflict another price blow on MBL.”

In respect of the looming gas shortage Warren McLean makes the point:

“Incredibly, Jay Weatherill’s big plan to solve the electricity crisis is to build a power station fired by gas. Doesn’t he know about the gas shortage?”

“South Australia’s electricity crisis has been years in the making under Labor and there will be no quick fix to these issues under this Government.”



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