Energy Minister Angus Taylor has spoken today at the Australian Domestic Gas Outlook conference issuing a stark warning that we could be facing a crisis not unlike Europe.
The ongoing situation of Europe’s energy security should act as a warning for Australia to invest in the gas sector here. He also said household electricity bills will skyrocket if we don’t start investing more and prioritising gas projects.
With the federal budget to be released next week, it is anticipated that the Coalition will spend a further $50m to accelerate priority gas infrastructure projects.
This includes projects such as the Southwest pipeline expansion project in Victoria, the Range project in Queensland, the Surat Hub project in Queensland, Stage Two of East Coast Gas Grid Expansion, Lochard Energy’s Heytesbury Underground Gas Storage project in Victoria and Transition Energy’s Gas Infrastructure Hub project in the Bowen Basin.
A feasibility study will also be included into the most efficient infrastructure to deliver natural gas from the Beetaloo Basin in the Northern Territory to the eastern market.
Mr Taylor has quoted the Australian Energy Regulator noted that the phasing out of gas connections will place upward pressure on gas prices with an increase of 3.2% to 3.5% over 5 years on consumers and businesses.