The Australian Pipelines and Gas Association (APGA) believes the Federal Government‘s proposed Gas Code would assist in rebalancing the domestic gas market, but concerns remain that it won’t address supply challenges.
APGA Chief Executive Steve Davies stated that given its expanded role in the short-to-medium term to firm up the grid during coal-fired generation outages and renewable generation constraints, the domestic gas infrastructure industry strongly supports action to bring affordable gas supply to Australian households and industry.
“Gas-fired generation will be vitally important to ensure the ongoing security of the National Electricity Market as coal-fired generation exits and more intermittent renewables come online,” Davies said.
According to Davis, while more information is needed, the emphasis on the domestic gas market is commendable. He noted that there are still some doubts about whether there will be enough dependable gas supply to fulfil demand in the foreseeable future.
“The Federal Government should make the most of this opportunity by allocating resources toward developing carbon-neutral renewable gas supply, such as hydrogen and biomethane, which will increase competition and supply while reducing emissions for end-users,” Davis added.
