Report highlights gas-fired economic benefits

Australian gas generated $121.17 billion in domestic economic activity last year, to underpin 5.25 per cent of GDP, new figures show. This was up from a COVID-affected $70 billion the year before – an increase of 42 per cent. While gas production is the major economic driver at over $85 billion and almost 97,000 jobs, the economic analysis by ACIL Allen also demonstrated the importance of gas to Australia's electric power generation and irreplaceable role in manufacturing. The report shows that gas contributes: electricity generation: $5.59 billion (up from $4.11 billion the previous year) and 20,004 jobs (up from 12,289), and high temperature manufacturing: $5.792 billion (up from $5.14 billion) and 29,372 jobs (up from 24,205). Gas Energy Australia chief executive officer Brett Heffernan said gas could not be replaced when it came to industrial heats over 800 degrees Celsius to process things like glass, bricks, ceramics and alumina, or as a feedstock (ingredient) in making plastics, fertilisers, pharmaceuticals, rubber, propellants, refrigeration, adhesives, and cosmetics to name just a few. Meanwhile, Mr Heffernan said LPG was used by 2 million Australian families for in-home cooking, hot water and heating, which had been growing since 2008. "It's significant because LPG is uniquely able to decarbonise," he said. "It has eight paths to achieve net zero or, indeed, actual zero emissions gas. "From as early as 2026 bioLPG, a by-product of sustainable aviation fuel production, will be available in Australia. "But, over the course of the transition to 2045, renewable 'actual zero' synthetic LPG, made from green hydrogen and CO2 from the atmosphere, will replace all conventional LPG. "It's a game-changer that negates the exorbitant costs of switching to alarmingly unreliable electricity, as existing appliances will be net zero in the short-term and actual zero come the 2040s. BioLPG and rLPG are 'drop-in' replacements for conventional LPG. That means no extra capital costs to homeowners, businesses or anyone using it. Existing cylinders, pipes and appliances require no changes." The employment data from the ACIL Allen report also shows significant growth, with Australian gas creating over 17,000 extra full-time jobs over the year to see 258,779 local livelihoods hinging on gas. "Australia's future will need to be built with gas and, increasingly, by renewable net zero and actual zero gases," Mr Heffernan added.

Report highlights gas-fired economic benefits

Industry Queensland

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