How is it that Australians live in one of the most natural gas-rich countries in the world, yet are facing imminent and critical gas shortages? For the same reason that Australia isn’t currently ranked higher for known gas reserves: climate-deranged Labor governments who are absolutely hostile to fossil fuels. Not just using what we know we’ve currently got, but not looking for new reserves.
In Victoria, for instance, Labor’s Lily D'Ambrosio, who holds the contradictory portfolios of Minister for Climate Action and Minister for Energy and Resources, has outright banned any new gas exploration. Even as the state’s current Bass Strait gas fields are fast running dry. Everywhere else, policy settings from both state and federal Labor encourage companies to export gas rather than reserve it for the domestic market.
The coalition opposition are vowing to reverse this disastrous course.
The coalition will demand gas producers commit to prioritising supply to the domestic market in return for approving a “bucket load” of new projects, with a particular focus on ensuring there is more of the energy source produced in Victoria.
Opposition resources spokeswoman Susan McDonald said an assurance over domestic supply would be part of the approvals process under a Dutton government, but played down the prospect of a rewrite of Labor’s controversial gas code of conduct if the coalition wins the election.
She said Western Australia’s stalled North West Shelf extension would go ahead under the coalition, and declared she wanted to expedite approvals for gas drilling off the Victorian coast.
The sticking point will, of course, be climate zealot D'Ambrosio in Victoria. A Dutton federal government will either have to get into a state’s rights fight with Victoria, or wait until, as is inevitable given polling, Labor are turfed out in that state. But that could be over 18 months away, depending on how long the embattled Jacinta Allan sticks it out.
Amid industry speculation the coalition was considering an east coast reservation scheme – which would force every development to carve off a standard minimum for the domestic market – Senator McDonald signalled her approach would be less prescriptive and decided on a case-by-case basis.
The east coast is forecast to have a shortage of gas from 2028, with the development pipeline unable to meet demand.
Senator McDonald said $10 a gigajoule for Australian gas customers would be a “great price to get back to”, a price not seen since the Russian invasion of Ukraine, with the consumer watchdog reporting that prices offered for 2025 averaged nearly $15 a gigajoule.
Key to any reform will be removing the towering wall of policy blockades Labor have put in place.
While not committing to reform the environmental approvals framework, Senator McDonald said the Coalition would halve approvals times, cut government funding to the Environmental Defenders Office and release more offshore sites for exploration.
“We’re going to bring on more gas by the bucket load,” she told the Australian.
And gas companies are going to have to commit to Australians first.
“In order to partake in that new environment of faster approvals and encouragement to be bringing gas on, then part of your approval process is the prioritisation of the domestic market.
“Approvals will be based on the ability of companies to demonstrate their commitment to gas coming into the domestic market.”
As McDonald points out, Australia’s gas crisis is not because of a lack of gas. It’s because the green-left don’t want anyone to tap what’s there.
“We have massive reserves in Australia; there is no shortage of gas,” she said.
“The short sight has been the Victorian government in not bringing more gas on when they need it.
“So now the whole country is paying a price for Victoria trying to take gas from everywhere else rather than develop their own.”
A bunch of green-left free-riders? Whoever heard of such a thing.
