As the European cold winter continues, the gas crisis continues to deteriorate in the off-peak season.
Gas is 600% above historical prices.
Electricity is double year on year.
The MSM is paralysingly corrupt and stupid. The gas crisis is now not later.
Australia’s LNG industry is on high alert that the federal government is considering using emergency powers to limit exports with the competition regulator poised to reveal precariously tight supplies for winter 2025.
…recent comments from the Australian Competition and Consumer Commission have elevated expectations within the energy industry that a shortage could be declared one year earlier amid declining output from Victoria’s Bass Strait.
The Australian understands the ACCC has delivered its report to the government, which will determine its release date.
If a looming shortage is deemed, the government can seek to limit exports by LNG participants via the Australian Domestic Gas Security Mechanism, an intervention the industry believes has grown in recent weeks.
“If you had asked me two weeks ago, I wouldn’t have thought that was likely,” said one industry executive who declined to be named.
“But it’s a real possibility now, especially should the ACCC declare a shortfall and the government seeks to show it is acting.”
The decision to trigger the export curb would be determined by Resources Minister Madeleine King. Her representatives did not immediately respond to requests for comment.
The gas price is where it was when the ADGSM was created, and this is in the off-season. Winter prices could roar to anything.
The ADGSM lever must be pulled. If it is not then this winter threatens disaster as LNG imports begin mid-shortage.
The gas price would be at $25Gj if that happened today, up another 50%.
Mad King has proven time and again that she is captured by the cartel, but her colleagues must order her to pull the lever or remove her from the role.
If the cartel bucks, then good. It will give the weak Albanese government kudos.
Polling support for domestic reservations is immense, and the Coalition created the ADGSM.
Fighting the gas cartel is all political upside, something Albo’s cowards have never realised.
It’s either that or all of Australia becomes the economic disaster zone that is Victoria.
A pledge to fast-track gas projects, while outlawing the fuel in new builds and restricting its use, has raised questions about the Allan government’s energy strategy, and accusations of sending mixed signals over the planned transition from fossil fuels.
Gas use has emerged as a thorny political problem for Labor as it seeks to balance its environmental credentials with criticisms that going too far with electrification would hurt households battered by the rising cost of living.
Premier Jacinta Allan announced on Tuesday that her government would fast-track gas projects – including extraction, storage and imports – via smoother planning to ensure reliable supply.
Businesses had previously warned they might leave the state amid a looming shortfall and rising gas prices. But as the industry grapples with the effects of the much-touted electrification program, the government has altered its language to say gas has a role in the energy transition and for business.
The change in language can be traced to a forum held by the Victorian Chamber of Commerce and Industry in which chief executive Paul Guerra urged attendees to “call out the bullshit and call out the ideology”.
Listening to the gas cartel-sponsored Grattan Institute has all but destroyed Victorian energy policy.
The energy transition itself is collapsing without gas security of supply. We are now securing coal to transition away from…coal.
Energy Minister Chris Bowen has backed new powers allowing states to mandate the extension of retiring coal-and-gas-fired power plants, sparking Coalition criticism that Labor is being “dishonest” about longer-term reliance on thermal generation under its energy transition plan.
Pull the bloody ADGSM lever now, build more southern gas storage, and run gas pipelines south at full tilt all year. Build more if needed.
LNG imports must be stopped.
