APGA Chief Executive Peter Greenwood said the gas export controls to ensure adequate domestic supply announced today by Prime Minister Malcolm Turnbull must be restricted to the short term only.
”Simply put, we need to produce more gas,” said Mr Greenwood.
“The real issue for Australia’s gas markets is that too little gas is being produced to meet both domestic and export demand.
“Similarly, the accelerated gas market reforms previously announced focused primarily on pipeline capacity markets and improving liquidity and flexibility does little if anything to increase supply.
“Gas has a vital role to play in Australia’s future energy supply and steps must be taken to ensure this clean and efficient fuel is available to power Australia’s industry and households now and into the future.
“Any action the Federal Government can take to address State moratoria is positive.
“However, there must be a concerted effort across Commonwealth, State and Territory governments to identify all opportunities to increase gas exploration and production.
“No single solution will deliver the required outcome of increased gas supply.
“Importantly, governments must be take note of the implications of intervention in the market, particularly the impact on further investment.
“Quick fixes may be attractive but a holistic approach is required to develop a national energy policy that ensures Australia has secure, reliable, affordable and low emissions energy into the future.
“At this critical time when more investment in exploration, production and pipeline infrastructure is required to increase gas supply, governments must focus on creating longer term certainty.”
