Gas Energy Australia delivers pre-budget submission to Federal Government

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Greater use of Australian gaseous fuels would deliver more control over our future and budget savings, according to Gas Energy Australia.

In a pre-budget submission to the Federal Government, GEA has pointed out steps that could be taken to ensure gas can help Australia transition to a lower emissions future, while delivering energy security and supporting jobs in manufacturing.

“Our submission welcomes the Federal Government’s leadership on increasing gas supplies but also calls for more specific federal and state action because gaseous fuels are not only better for the environment, but also sustain a range of current manufacturing and future technology jobs” GEA CEO John Griffiths said.

“We welcomed the comment from Minister Frydenberg that ‘gas plays an important role as a transition fuel as we move to a lower emissions economy’ and now we want to the see the Government take policy decisions to reflect that comment.”

Mr Griffiths said gas is not only essential for reducing emissions, but it also has a vital role to play in reliably delivering power and goods to regional and remote areas.

“It makes no sense for Australia to be fully dependent on imported, dirtier and more expensive oil-based fuels for off-grid power generation and transport energy,” he said.

“With recent electricity disruptions and shortages in South Australia and Tasmania, now is the time for governments to act to promote diversification into other energy sources.

“And that means ensuring that all low emission technologies are included in ‘green schemes’ not just renewables so emissions can be cut and energy security restored.”

The GEA submission called for:

  • All carbon abatement policies and programs to be genuinely technology neutral, rather than supporting only largely imported renewable technologies;
  • Support for innovation and development of Australian low emission gas technologies;
  • Strengthening of Australia’s energy security with a more diverse range of low emission energy sources, including gas as a distributed energy source which is likely to be much cheaper than the estimated $3.5 billion for new electricity network interconnectors to SA and Tasmania;
  • Fulfillment of the Coalition’s commitment to restore the rate of taxation on gaseous transport fuels to no more than 50 per cent of the diesel equivalent level; and
  • No cross-subsidising of fixed pipelines at significant expense to taxpayers and consumers, when virtual pipelines already exist and can do the job more cheaply.

Read the full submission here.