Written by Squadron Energy |
The ACCC’s updated outlook on gas demand and supply confirms Australia’s east coast faces gas shortfalls, said Squadron Energy CEO Rob Wheals.
"Squadron Energy’s Port Kembla Energy Terminal (PKET) has completed construction and is the only LNG import terminal capable of guaranteeing gas supply and avoiding price spikes for Australian businesses and families.
"PKET will be capable of meeting forecast gas supply needs in the coming years for both New South Wales and Victoria without the need for new gas fields or major infrastructure development in Australia.
"We strongly reject the assumption that LNG import prices may be higher than current domestic gas prices.
"In the next four years, global LNG supplies are expected to increase by 50 per cent. By 2028, the size of the global LNG market will be about 80 times bigger than Australia’s southern gas markets. PKET comes online in time for Australians to access forecast falls in the global LNG price.
"Furthermore, importing gas will drive down prices during winter peaks by increasing supply. It means we can buy LNG from overseas when global prices are low in the northern hemisphere summer, or our winter, when demand is low, which will benefit Australian consumers."
