The Australian Competition and Consumer Commission (ACCC) has confirmed that Australia’s gas industry remains committed to supplying the domestic market. However, its Gas Inquiry March 2024 Interim Report has once again highlighted that southern states are relying on gas from the north to meet their energy needs.
According to the report, the gas industry played a crucial role in providing reliable and affordable energy to Australian homes and businesses.
The report, which examined the third quarter of 2024, estimated that east coast supplies would be in surplus by 6 petajoules (PJ).
Despite this surplus, New South Wales and Victoria, which have faced regulatory uncertainty and investment bans, would still need to rely on other states for gas supply, despite having their own untapped gas resources.
The report noted that regulatory approvals were crucial for mobilising investment in newly developed fields: “The southern states are expected to need an additional 25 PJ of supply to avoid a shortfall in quarter 3 2024. This will need to be withdrawn from storage or be transported from Queensland or the Northern Territory to the southern states.”
Australian Energy Producers Chief Executive Samantha McCulloch emphasised that while the gas industry was fulfilling its commitment to providing reliable energy, political will was needed to restore investment confidence and ensure timely approvals for new gas supply.
“Governments must recognise the critical role of gas in keeping the lights on as we transform the economy to net zero,” said McCulloch.
The report also highlighted forecast structural shortfalls from 2028, emphasising the need for urgent action from governments to avoid looming shortfalls and ensure new gas supply is available for Australian households and businesses.
Australian Energy Producers — the peak body representing explorers, developers, and producers of essential energy, including oil, gas, and lower-emission fuels — continues to stress the importance of gas in ensuring energy security and delivering economic benefits while working towards a cleaner energy future.
