Gas market ‘dysfunction’ to return without new supply: ACCI

Business has told an inquiry into cost of living pain that the government’s safeguard mechanism deal with the Greens will push up energy bills and weigh on investor confidence related to new projects.

ACCI used written answers to the Liberal-led inquiry to argue the agreement between Labor and the Greens was set to “add enormous uncertainty and greatly increase the sovereign risk associated with investment in energy production”., who this week said price caps and the safeguard mechanism would not stem investment or add to energy bill pain for consumers.“I don’t think it is accurate,” the regulator told the National Press Club in Canberra on Wednesday.

Ms Cass-Gottlieb said the ACCC had engaged with industry and clarified guidelines on compliance with the emergency price cap rules. She told the press club said there was adequate supply in the system for use on the east coast, covering businesses, homes and gas power generation at reasonable price. Resources Minister Madeleine King told ABC radio in Darwin on Thursday she did not agree with comments from gas lobby group APPEA suggesting that the safeguard mechanism would deter future investment in energy in Australia.“The gas companies are way ahead of the game, actually, in trying to reach net-zero emissions by 2050, and I have full confidence that all investment will continue.”

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