APA Group says it has developed a growth strategy to mitigate the risk of gas supply shortfalls predicted by the Australian Energy Market Operator (AEMO).
In its 2020 Gas Statement of Opportunities (2020 GSOO) published in March, AEMO forecasted gas supply shortfalls will take effect from around 2023, saying gas supply adequacy was highly uncertain between 2022 and 2024 in Australia’s eastern states.
APA said it has now conducted a review of the 2020 GSOO and agrees with AEMO’s conclusions that supply remains tight due to declining southern gas fields and a lack of new project development in the region.
To mitigate these shortfalls, APA said it is continuing to develop expansion options for its East Coast Grid, including the South West Queensland Pipeline and Moomba Sydney Pipeline.
“It is also noted that AEMO, within the Victorian Planning document referenced in the 2020 GSOO, has flagged expansion of APA’s South West Pipeline, running from Port Campbell to Melbourne, as a project that could improve the future annual supply balance in Victoria,” said APA.
“As has always been the case, APA will investigate and assess any opportunity to expand and/or extend our existing network as required by the market.”
APA said it had been working closely with several producers exploring frontier resources, including in the Beetaloo, Galilee and Gunnedah basins, with pipelines from those locations carrying the potential for connection to the East Coast Grid.
The company also indicated it was still engaged with the proponents of proposed LNG terminals in both Victoria and New South Wales.
For more information visit the APA website.
If you have company news you would like featured in The Australian Pipeliner contact Managing Editor David Convery at firstname.lastname@example.org