Greens’ plan to halt to investment in gas supply in Australia called out

A Greens plan to halt investment in Australia’s gas supply would “devastate the economy”, a report commissioned by the country’s oil and gas industry regulator has said.

The report, by consultancy EnergyQuest on behalf of Australian energy producers, says that “millions of homes and businesses in south-eastern Australia could face power outages within two years” if the Greens’ policies are implemented.

The Greens want an immediate ban on the construction of new coal, oil and gas infrastructure. According to the party, this will enable the transition of the economy to a carbon-neutral energy supply while maintaining a safe climate.

But the Greens platform on gas would see manufacturers close their factories and long-term export contracts with Queensland cancelled, the report said.

“A freeze on investment in gas supply would devastate the economy. Gas for electricity on the East Coast could be disrupted within two years and run out by 2029,” the report said.

Australian Energy Producers CEO Samantha McCulloch says there is an urgent need for investment in new gas supply to meet domestic demand.

“The Future Gas Strategy makes it clear that the Australian economy will need gas through to 2050 and beyond,” McCulloch said in a statement.

The industry-backed report comes after the federal government said this month that emissions from coal and gas could increase by 1.7 billion tons by 2050 if their use were extended for another 15 years.

Under the government’s gas strategy, the fossil fuel will remain part of the energy mix beyond 2050, when Australia must achieve a legal target of net zero greenhouse gas emissions.

The Greens say the economy can grow by investing in wind, solar and energy storage, and by rebuilding Australia’s electricity grid.