“While such mechanisms increase information availability and demand flexibility, they do not provide more gas to Australian industry, nor will they reduce prices. The Gas Bulletin Board and Short Term Trading Markets are already in place and are doing nothing to prevent the supply and prices issues facing Australian industry.”
Ms Cartwright’s warning was issued in the response by the APIA to the just released Federal Government’s Energy White Paper.
“While the Energy White Paper is welcome, and its call for regular review of the energy economy demonstrates foresight, there remains the fundamental challenge facing Australia’s energy industries, and that is, the cost to the domestic economy of linking national gas prices to LNG-export prices,” Ms Cartwright said.
“However, APIA agrees with the suggested part-solution to addressing the price bubble, and that is improved access to the nation’s vast gas reserves in order to increase gas supply.”