Australian Energy Producers has welcomed the Federal Government’s decision to open five new offshore petroleum exploration areas in the Otway Basin, saying the move will help secure long-term gas supply for Australia’s energy system and support key sectors, including manufacturing.
Chief Executive Samantha McCulloch said the announcement by Federal Resources Minister Madeleine King reinforces the continuing role of natural gas in the nation’s energy mix and highlights the importance of ongoing investment to bring new supply online.
“Exploration is a critical first step in the discovery and development of new oil and gas resources needed to ensure Australia’s long-term energy security,” McCulloch said.
She noted that natural gas underpins a wide range of essential needs, adding, “Natural gas provides reliable electricity, fuel for heating and cooking in more than five million Australian homes, and is the main source of energy for Australian manufacturing.”
With forecasts of east coast gas shortfalls later this decade, Australian Energy Producers said the new acreage release is an important measure to help safeguard future supply.
“As the Future Gas Strategy confirmed, Australia will need continued investment in new gas exploration and development to meet our energy needs to 2050 and beyond,” McCulloch said.
“Bringing new gas supply online sooner is the only sustainable solution to put downward pressure on prices.”
The organisation also noted the Victorian Government’s recent move to release petroleum exploration permits in the Otway and Gippsland basins.
“This week we’ve seen welcome recognition from the Victorian and Federal Government that continued exploration is critical to maintaining the pipeline of gas supply projects to meet our long-term energy needs,” McCulloch said.
Australian Energy Producers said it will continue to work with governments as the outcome of the gas market review approaches, emphasising the need for measures that support reliable and affordable energy for Australian households and businesses.
