Treasurer puts gas companies on notice as supply shortfall looms

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“[The ACCC] projects a significant gas shortfall for next year unless gas producers supply more of their uncontracted or excess gas to the domestic market,” Treasurer Jim Chalmers said. | micksfoley

Treasurer Jim Chalmers has put gas exporters on notice over a looming shortfall, urging them to “do the right thing by Australians” and ensure they offer any available supply to local companies that are struggling under sky-rocketing energy prices.

East coast gas prices are soaring on the back of a global energy crunch that has been intensified by a ban on Russian energy exports, which was imposed after Russia invaded Ukraine. However, when gas prices took off following Russia’s invasion of Ukraine Energy Minister Chris Bowen said the ADGSM is “not a short-term answer” because it requires about six months of consultation and only triggers enough supply to fill gaps rather than cut the cost of gas.

“LNG exporters are expected to contribute to the shortfall in 2023 by withdrawing 58 petajoules more gas from the domestic market than they expect to supply,” the report said.“This could place further upward pressure on prices and result in some manufacturers closing their businesses, and some market exit has already occurred.”

 

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micksfoley The pipeline probably cannot take it anyway

micksfoley Crikey! I'll almost fall off my chair when the Airbanese Govt actually DOES something instead of lip service

micksfoley I will never give up my ducted gas heating. You can't beat the grunt of a gas powered system

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