Australia’s gas industry will enjoy strong growth in demand stretching through to 2050, a new Australian Government report has found.
The Liquefied Natural Gas (LNG) Commodity Report, part of Australia’s Global Resources Strategy, highlights Australia’s comparative trade and investment advantages between now and 2050.
The Australian Petroleum Production & Exploration Association (APPEA) said the study highlights the competitive advantage of the sector and investment opportunities throughout Asia.
“We have spent a generation building our reputation as a competitive and reliable trading partner and through our LNG exports compete as a top global supplier of cleaner energy,” APPEA Chief Executive Andrew McConville said.
“Looking forward, there are three key reasons Australia will remain at the front of the pack – geographical proximity to Asia; the stability of our nation as an investment destination; and our key role in producing cleaner energy through lower carbon or carbon neutral LNG and as a clean hydrogen supplier.
“But we can’t take these opportunities for granted. Global competition is fierce and to secure our full competitive advantage and enjoy this massive economic opportunity, the investment policy settings must be right.”
Minister for Resources and Water Keith Pitt said Australia offers a strong, stable and transparent regulatory environment as well as research and development incentives to support innovation.
“Our proximity to Asia and high quality resources have seen us become the supplier of choice in global supply chains.
“We will seek to consolidate and strengthen this position in the decades to come.”
Minister Pitt said the report found that Australia, one of the world’s largest LNG suppliers, is a secure and competitive destination for developing LNG projects.
“Investors can have confidence in Australia’s stable regulatory settings when making long-term investments,” Minister Pitt said.
The report identifies India and Bangladesh as major emerging LNG markets for Australia. The LNG trade and investment potential between the countries is backed by a new South Asian LNG Partnership.
Australia will invest $11.3 million over 10 years in the Partnership, which will build relationships across the LNG supply chain between participating countries.