Lock the Gate says the ACCC’s report on wholesale gas supply, released today, shows the way to reduce domestic gas prices is to reduce exports, not to sacrifice more Australian farmland to fracking and coal seam gas.
“The report shows that with some reduction in gas exports, supply has increased and prices have started coming down. But there’s more work to do to make sure Australian businesses aren’t being ripped off by big gas companies, which export most of their gas offshore, creating a shortage here,” Lock the Gate’s Naomi Hogan said.
“The Turnbull Government needs to finally take real, long-term action on limiting gas exports, instead of just talking about it and hoping the gas companies play along. Changes are urgently needed to ease the stress the gas exporters have exerted on manufacturers now.
“Too many Australian farmers are being forced to live in a gasfield, threatening land and water, all so the gas can be exported off overseas.
“Even though Australia is one of the largest gas producing countries, Australian businesses are being starved of gas, routinely paying prices higher than Australian gas landed in Japan.
“It’s a disgrace that while the international market is oversupplied with gas, Australians are being told we have to live with a tight market and see our gas sucked out for export.
“Onshore unconventional gas is expensive to extract and would only keep gas prices high for Australians.
“We’d have enough affordable gas for Australian businesses without having to frack more land, if we stopped exporting so much of it.
“We can meet our energy needs without sacrificing agriculture by getting gas exports under control and by developing renewable energy with storage,” Ms Hogan said.
The AEMO website shows in real time the movement of gas across the East Coast Gas Market. For months, gas from the Bass Strait in Victoria has been transported north to the QLD export terminals. See: http://gasbb.com.au/