By The Australian Government's latest review of the gas market, the Domestic Gas Market Study, released today, shows the market is indeed working to supply natural gas for both domestic and export use.
It also highlights that the continuation of the market's capacity to deliver depends on industry's ability to continue to explore for and develop Australia's vast gas resources. It is not a lack of natural gas but onerous regulatory restrictions in some jurisdictions (notably NSW and Victoria) that is impeding gas supply.
APPEA Chief Executive, David Byers, said: "The study follows a long line of previous reviews and reports, including the comprehensive Australian Government 2012 Energy White Paper (itself five years in gestation), that show Australia has more than enough gas to supply both domestic and export markets for decades to come.
"It highlights the duplicative and multiple layers of red and green tape that projects must navigate to unlock the economic benefits from our nation's resources.
"Australia more gas production, not more regulation. With that in mind, APPEA welcomes the study's emphasis on existing gas supply impediments in NSW and Victoria. APPEA looks forward to working further with SCER to allow a more efficient and science-based regime to be developed and implemented in those jurisdictions.
"The study also puts to rest any calls for interventions such as protectionist domestic gas reservation policies, unnecessary national interest tests or similar policies. The study rightly highlights the inefficient and unnecessary nature of such interventions.
"In relation to the recommendation for an industry-led initiative to provide more 'information' to the market, APPEA notes the gas market already has abundant information available to it. The range of gas supply agreements that have been struck over the last 12 months suggests that there is enough information available to allow supply contracts to be concluded between willing buyers and sellers. Recent examples include:
- Origin Energy Limited (Origin) on 20 December 2012 announced the signing of a long
