Action required to prevent Victorian gas shortfall

The Australian Energy Market Operator’s latest analysis finds that additional sources of Victorian gas are required to avert a crisis in gas supplies from 2024.

The report provides compelling evidence why the government needs to lift the moratorium on conventional onshore gas exploration, set to expire in June 2020.

Victorian businesses have for too long faced uncertainty around gas prices and security of supply. This report only adds to this uncertainty and confirms a comprehensive plan is needed to ensure that the state has access to secure and affordable energy. Escalating energy prices threaten the competitiveness, and in some cases the ongoing viability, of Victorian business.

The Victorian Chamber has a longstanding position calling for increased gas supplies to address high prices, including by lifting the moratorium on conventional gas exploration. A regulatory regime to manage the risks of individual gas supply projects on a case-by-case basis should be installed instead of the moratorium.

The Victorian Chamber does not support fracking.

Source: Victorian Chamber of Commerce and Industry