Australia news live: competition watchdog warns of upcoming gas shortfalls; rescued Hadi Nazari ‘keen for another hike’
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Retail gas prices are beginning to ease from recent highs but structural shortfalls in supply could emerge from 2027, a new report from the competition watchdog shows. The Australian Competition and Consumer Commission’s latest report into Australia’s gas supplies, released Friday, shows the outlook is mixed, noting recent price drops in gas are still well above the costs before 2022.
The ACCC said high international gas and oil prices - caused in part by Russia’s invasion of Ukraine - were still keeping domestic supply costs high but prices under longer-term supply agreements had since moderated. The watchdog said agreements in the first six months of 2024 for 2025 supply were still two-times higher than 2021 at around $14.70 a gigajoule. However, the price had reduced from the 2023 supply, which was around $12.10 to $20.40 a gigajoule and as high as $30 to $35 a gigajoule in some cases.
The energy minister, Chris Bowen, said the Albanese government’s introduction of an extra 600 petajoules of gas into the east coast market during its term has put downward pressure on prices and secured east coast gas supplies until 2027. “We are making sure our energy grid is reliable and working for Australians by delivering cheaper energy with more renewables coming online and gas ready to firm it when needed.”.
