The Western Australian government has announced significant changes to its Domestic Gas Policy, aimed at securing the state’s energy future and supporting economic growth during the transition to clean energy.

Under the updated policy, new onshore gas projects will be required to reserve 80 per cent of production for domestic use until December 31, 2030.

From 2031 onwards, this requirement will increase to 100 per cent reservation for the local market.

The government believes this approach will stimulate new project development while ensuring long-term gas supply for Western Australia.

Premier Roger Cook stated: “Our gas belongs to Western Australians, and I want to make sure we maximise the benefit to our State from our gas resources.

“This update provides certainty for gas producers and users, helping to facilitate new onshore gas projects — creating local jobs while ensuring our energy needs are met.”

The state’s existing 15 per cent reservation policy for offshore LNG projects will remain unchanged.

An exemption for the ‘first-mover’ in the Canning Basin will also continue, to encourage development in the state’s north.

To accelerate onshore gas developments, the government has committed to strengthening ‘use it or lose it’ provisions in the Petroleum and Geothermal Energy Resources Act 1967.

This measure aims to prevent land banking of onshore petroleum tenements and ensure more gas is brought to market over the coming decade.

Mines and Petroleum Minister David Michael commented: “These policy changes are sensible responses that balance the need for Western Australia to secure its energy future while encouraging onshore producers to bring on more gas supply as and when it is needed.”

The government will also introduce more transparency around the Domestic Gas Policy by publishing an annual WA Domestic Gas Statement, detailing how gas producers are meeting their domestic obligations.

These changes come in response to a review of the policy and the WA Parliament Economic and Industry Standing Committee’s Inquiry into the WA Domestic Gas Policy.

The government asserts that the updated policy will support affordable energy, local jobs, and the state’s economy as Western Australia transitions to a clean energy future.

The effectiveness of these measures will be reviewed after 24 months, with the possibility of further legislative action if required.