Australian Energy Producers, an industry body for explorers, developers, and producers of essential energy, has argued that a recent parliamentary inquiry into Western Australia’s Domestic Gas Policy ignored the current cost of living pressures and the need for new gas supply.
The organisation slammed the recent Economic and Industry Standing Committee call for government intervention in the market, arguing that it would not unlock the needed gas supply to cater to the growing demand in Western Australia, effectively “failing households and businesses” in the state.
“The last thing WA households and businesses need is government intervention because that will only spook investment in the new gas supply that is urgently needed,” said Caroline Cherry, Australian Energy Producers director for Western Australia.
“WA gas producers have played an important role for a long time providing reliable energy supply, but government policies that unlock new gas reserves to alleviate potential shortfalls and put downward pressure on prices is what is needed.”
Revamping the approvals processes could be one of the fastest ways to get new gas to the market, the director argued.
“While this committee of MPs are entitled to their opinions, we must follow the facts and expert advice,” Cherry said.
“Over summer, Premier Cook said he was focused on policies to bring on new gas supply after the latest independent assessment by the energy policy experts at AEMO.”
The gas industry renewed its calls for the lifting of the export ban on onshore projects to make ventures more commercially viable and deliver more domestic gas supply.
“The government must rethink its ban on onshore projects accessing export markets,” Cherry said.
“As Rystad Energy found last year, allowing onshore gas projects to export expands the number of viable projects – unlocking new domestic supply.”
