It is my great pleasure to introduce the Australian Pipeline Industry Association Directory/Year Book for 2008, and congratulate APIA on its fortieth anniversary. This anniversary represents four decades of successful national representation of Australia’s pipeline sector.

This anniversary is also an opportunity to reflect on the significant achievements by APIA and its members in the development of an interconnected gas market. The south-eastern gas network is more interconnected than ever before, and, judging by the many additional pipeline proposals under consideration, we could see full interconnection of the entire eastern network from Townsville to Hobart to Adelaide by the end of the decade.

The coming year promises further progress with the ongoing Ministerial Council on Energy reforms to the gas industry regulatory framework. I recognise the very strong contribution APIA members have made to the reform process thus far and know all of you appreciate the importance of getting the new regime right. I expect the National Gas Law to be introduced into the South Australian Parliament in the coming months so it can come into effect by mid-2008.

I also note your key role in progressing policy initiatives through the innovative forum that is the Gas Market Leaders Group. I am excited about my role as the Minister responsible for energy, and I look forward to the development of key initiatives in the gas market, such as the implementation of the Bulletin Board in 2008 as an important step in creating a more transparent gas market. I am confident this will lead to new opportunities through the gas supply chain, and I look forward to the Gas Market Leaders Group recommendation on a short term trading market.

On the subject of new opportunities in 2008, the gas industry is well placed to play a role in an increasingly carbon constrained world. Climate change is a serious global challenge and our economy needs to prepare for a carbon-constrained future. Natural gas can play a major role in transitioning to a less carbon-intense economy, having lower greenhouse gas emissions and using less water in energy generation than coal.
Another opportunity for pipeline developers exists in developing water infrastructure. As drought continues to affect major areas of Australia, the effective management of water resources is a high priority. Future investment in water infrastructure allows APIA members to assist with protecting this precious resource.

Finally, I look forward to APIA’s further contributions to the MCE’s market development agenda as well as the development of emissions trading and national water policies.

Martin Ferguson