Resources Minister Madeleine is working to ensure a forecast gas shortage in Australia’s eastern states over winter “does not become a reality”, after the government took a step towards possible export controls.
The Australian Competition and Consumer Commission (ACCC) last week projected a potential shortfall of up to 12 petajoules of gas in the September quarter, enough to supply 76,000 homes. In response, King issued a notice of intent to gas producers, giving the government scope to intervene if additional domestic supply is not made available.
“What this does is brings all the exporters to the table to prove that they will make sure the shortfall doesn’t come to pass,” King told ABC Radio on Thursday, indicating the government would work to reach an agreement over the next 30 days.
Asked whether the government was now at odds with the gas industry, King rejected the suggestion and pointed to support from Australian Energy Producers, the industry’s peak body, for a gas reservation scheme.
“This is, in fact, a well supported policy of government, and that’s because I think the gas industry realises they need to reassure people that industry is doing the right thing – supplying Australians gas before they export it into the international market.”