However, in its submission to the reform taskforce, the Chamber urged further reform.

"Industry has been urging energy reform for several years - reform that would benefit not just the minerals and energy industry but the entire State," said Chamber president Peter Lalor in launching the submission today.

Mr Lalor commended the task force on its policy to increase competition in the electricity market by breaking up Western Power. However, the Chamber believes that there should be further separation in the area of power generation.

"The most important objective is to deliver reliable electricity services at the lowest possible cost, and competition is the best way to achieve this result," he said.

He said that the cost and reliability of electricity is a particular issue for the minerals and energy industry because it has a great impact on the cost of the final product.

"It's simple: the more cheap and reliable our electricity supplies are, the more competitive our minerals industry and exports are against the rest of the world," Mr Lalor said.

The Chamber president added that research shows that the Chamber's members spend around $200 million annually on electricity and price reductions would lead to increases in both economic growth employment.

Mr Lalor said that the Government deserved to be commended on its recent decision to seek tenders for the future supply of power for Western Australia, but added that further reform was necessary.

"The Government's power procurement policy is good for Western Australia and I urge them to continue reform in this vital area of State development," he said.