Industry calls for action plan on gas supply

Australia’s oil and gas producers are calling on the Federal Government to use the 2024-25 Budget to urgently unlock new gas supply. Australian Energy Producers has used a budget submission to call for an action plan to avoid looming shortfalls and continue to deliver affordable and reliable energy for homes and businesses. "After more than a year of policy instability, government interventions and project approval delays, a recalibration of the policy and investment environment for natural gas is needed to secure our energy future,” Australian Energy Producers chief executive Samantha McCulloch said. The group argues that price controls imposed on the east coast gas market in 2023 must not become a permanent fixture. The government should outline a plan to return to market signals and incentivise new supply ahead of the scheduled 2025 review of the Code of Conduct, it said. The government has also been urged to review the energy needs for critical minerals processing to ensure gas supply to power the manufacturing of the minerals required to get to net zero. "New gas supply is urgently needed from coast to coast to ensure reliable and affordable energy for homes and businesses," Ms McCulloch said. Australian Energy Producers chief executive Samantha McCulloch. "We are calling on the Federal Government to work with gas producers, energy users and state governments on an action plan to bring on new supply to address near-term structural shortfalls. "Whether it’s through streamlining environmental approvals or fixing the broken offshore regulatory system, Australia needs to move quickly to secure the economic, energy security and emissions reduction benefits of natural gas. “The release of new offshore petroleum exploration acreage is long overdue and this annual process needs to get back on track to maintain our domestic and regional commitments. “We have proposed the establishment of an Australian LNG Producer-Consumer Taskforce to strengthen regional relationships and ensure Australia benefits from a potential 10-fold growth in Asian LNG demand.” The submission also calls for Australia to be a regional carbon capture, utilisation and storage (CCUS) hub – including developing a national roadmap and creating Net Zero Zones to fast-track emissions reductions. "Carbon capture is part of the net zero pathway in a multitude of ways – such as lowering emissions from industries, unlocking low carbon hydrogen and supporting carbon removal," Ms McCulloch said. “It can also be a major economic driver for Australia through new jobs and investment.”

Industry calls for action plan on gas supply

Industry Queensland

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