The Victorian Parliament's passing of legislation to lift the moratorium on conventional onshore gas exploration is the right move to support Victorian business and help secure jobs.
Victorian businesses have been struggling with record high gas and electricity costs and the threat of gas shortages, limiting their ability to hire staff and invest. In some cases, their continued operation is threatened.
The passing of the Petroleum Legislation Amendment Act 2020 in the Victorian Parliament last night will allow for the exploration and development of onshore gas reserves from 1 July 2021, potentially boosting Victorian energy supplies.
Since 2017 the Victorian Chamber of Commerce and Industry has called for the removal of the moratorium in Victoria to ensure reliable supplies of affordable and clean electricity and gas (the Chamber does not support fracking) in conjunction with:
A regulatory regime to manage the risks of individual gas supply projects on a case-by-case basis
A domestic gas reservation scheme aimed at securing low cost and reliable gas supply for local industry and gas-fired generators
An integrated national climate and energy policy.
Gas is an important fuel for our transition to lower emissions and achieving net zero emissions by 2050.
The Victorian Chamber supports action on climate change and urges all parties and governments to join business in a bipartisan effort to decarbonise the Australian economy.
Quotes to be attributed to Victorian Chamber Chief Executive Paul Guerra:
"The decision to lift the moratorium is the right one for business owners, manufacturers and all Victorians who in such difficult times cannot afford to be hit with high energy costs and uncertainty about gas supply.
"Lifting the moratorium has been a long-standing priority of the Victorian Chamber. We have strongly advocated for it to be replaced with a regime to manage the risks of individual gas supply projects on a case-by-case basis.
"Our economy has been hit hard, and there is more pain to come as we exit the COVID-19 restrictions, but this decision will help Victorian businesses as they move into recovery.
"We congratulate the Victorian Government on the decision and we encourage them to work with the Federal Government to bring more Victorian gas online and to lower energy prices through an integrated and long-term national climate and energy policy."
