Future gas strategy delay puts major employers at risk

Tasmanian Labor

The Rockliff-Ferguson Government's failure to deliver its Future Gas Strategy by the end of 2021, as it promised, has left Tasmanian gas customers exposed.

Last year, the Liberals announced they were developing a Future Gas Strategy for the next 20 to 30 years that would aim to provide certainty for all gas market participants in Tasmania.

Energy Minister Guy Barnett told Estimates on 7 September last year:

"We're working on a strategy which will be released before the end of the year for the gas sector going forward, and there will be a discussion paper for public comment. It will be called the Future Gas Strategy and that will be published before the end of this year."

But, with the draft strategy still not even out for consultation, Tasmania has been left without a plan to deal with the risks that have now become apparent.

The Australian has reported that, in a telephone hook-up on Wednesday, regulators warned that Tasmania, Victoria and South Australia face potential gas shortages.

The Australian Energy Market Operator, which runs the power grid and gas markets, warned more than 100 industry players they might be forced to cut gas use if the shortfall materialised, and also invoked an ­emergency supply guarantee mechanism on gas producers for the first time since it was introduced in 2017.

With no strategy to guide government and gas users, the impact of price rises will now be felt in Tasmania, and the Energy Minister's failure to deliver is to blame.

Dean Winter MP

Shadow Minister for Energy and Emission Reduction

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