ACCC forecasts for 2023 east coast gas shortage despite federal government intervention

ACCC forecasts for 2023 east coast gas.

 The Australian Competition and Consumer Commission (ACCC) has warned that households and businesses on the east coast of Australia face a gas shortage this year, despite efforts by the federal government to ensure adequate supplies.

In its latest report on the country’s gas market, the ACCC warns that users are still struggling to secure enough supplies to meet demand, with a shortfall of 30 petajoules in 2023 – equivalent to roughly 5% of annual consumption. This would increase prices and energy insecurity for east coast households and businesses.

Gina Cass-Gottlieb, ACCC Commissioner, said that the outlook for 2023 is uncertain. “The domestic market is facing a shortfall of around 30 petajoules this year, which could affect the availability and prices of energy for households and businesses on the east coast. We’ve seen some positive steps from the federal government to ensure gas supply security in recent years, but more action is needed if we are to adequately address this situation.”

The ACCC has called on the federal government and gas producers to take action to alleviate the projected gas shortage in 2023. Cass-Gottlieb said, “We need a comprehensive and long-term solution to ensure adequate supplies at affordable prices. This is particularly important for households and businesses struggling with increased energy costs.

The ACCC has warned that east coast households and businesses are facing a potential gas shortage this year, despite the federal government’s efforts to safeguard supplies. The ACCC’s latest report of the country’s gas market reveals that users still need to secure enough reserves to meet demand, with a shortfall of 30 petajoules in 2023. The ACCC has called on the federal government and gas producers to take action to alleviate the projected gas shortage in 2023, with Commissioner Gina Cass-Gottlieb saying that “We need a comprehensive and long-term solution that will ensure adequate supplies at affordable prices.” This is particularly important for households and businesses struggling with increased energy costs. The ACC C’s warnings should be taken seriously, as failure to address the issue could lead to further problems.

“The east coast gas supply forecast for 2023 has improved,” ACCC chair Gina Cass-Gottlieb said.

“But the outlook remains uncertain as the LNG producers haven’t yet committed sufficient volume under firm contracts to address the risk of a domestic shortfall.”

In conclusion, despite efforts by the federal government to safeguard gas supplies on the east coast of Australia, there is still potential for a shortage in 2023. The ACCC has warned that households and businesses on the east coast face a potential shortage this year and has called for action to ensure adequate supplies at affordable prices. The federal government and gas producers should take heed of ACC C’s warnings to address the issue before it becomes a severe problem.

 

A backdrop of intervention.

The ACCC’s report paints a concerning picture of the east coast gas supply outlook, despite federal government intervention. The report analyzed data from early December and should have accounted for the measures introduced by the government later that month.

Gina Cass-Gottlieb, Chairperson of the ACCC, says that the 2023 outlook is still being determined and that despite the federal government’s intervention, there remains a potential risk of an east coast gas shortage in two years.

The situation has created tension between gas users and producers, as their respective demands for supply are at odds with each other. The ACCC proposes introducing measures to improve long-term supply stability, such as gas-sharing arrangements and increased transparency on gas contracts. The ACCC’s report is expected to inform the government’s response to the east coast gas crisis and ensure a secure supply in the long term.

In light of these forecasts, it remains to be seen how this tension will play out between producers and users of gas on the east coast. The ACC C’s 2023 gas supply outlook leaves much to be uncertain. However, the federal government intervention is a step forward in ensuring that the east coast does not face a potential gas shortage in two years.

The ACCC continues to monitor and investigate any anti-competitive conduct concerning the gas supply and will provide updates as the situation evolves.

The ACCC reports that the east coast gas supply outlook is still being determined, despite federal government intervention. Chairperson Gina Cass-Gottlieb states that there remains a potential risk of an east coast gas shortage in 2023 due to the tension between gas users and producers.

 

The ACC C’s Gina Cass-Gottlieb says 2023’s gas supply outlook is uncertain.

The ACC C’s Gina Cass-Gottlieb has warned that the outlook for the 2023 gas supply on the east coast is uncertain despite the federal government’s intervention. She pointed out that while prices have been capped temporarily, there is still a risk of long-term shortages in the years ahead if production doesn’t increase.

At a recent ACCC forum, Cass-Gottlieb said that ACC C’s forecasts show that further measures to improve domestic gas supply are necessary for there is a risk of shortages in 2023. The ACCC has warned that the current cap may not prevent shortages unless further steps are taken — such as encouraging new gas exploration or developing import infrastructure.

The ACCC has also flagged its willingness to use its new powers to enforce reasonable pricing provisions on gas suppliers, suggesting that it may exercise greater scrutiny over the sector in the coming months. This could provide some comfort for producers as they navigate an uncertain future. However, it remains to be seen whether this will be enough to boost investment and production and prevent a future gas shortage.

The ACCC’s comments highlight the precarious nature of Australia’s gas supply situation, despite government intervention. It is clear that producers are not out of the woods yet, and will need to remain vigilant to ensure that Australia has access to a reliable and affordable gas supply in the years ahead.

Watchdog flags scrutiny.

The ACCC has flagged its intention to closely monitor the east coast gas supply in 2023, despite federal government intervention in the market stabilizing gas prices. ACCC chairwoman Gina Cass-Gottlieb said that the wild fluctuations in gas prices had subsided since the government’s intervention, making their role more critical than ever.

“Our role monitoring and reporting on the market will be particularly important this year as it will provide an information base for assessing compliance with the price order and reviewing its effectiveness,” she said.

Ms. Cass-Gottlieb also warned that ACCC forecasts for 2023 indicated an uncertain outlook for gas supplies on the east coast, prompting the ACCC to step up its scrutiny. This follows ACCC’s recent report, which noted that there is currently enough supply of gas to meet demand.

The ACCC will continue to monitor and assess the market as it develops to ensure an adequately supplied, competitive, and transparent east coast gas market in 2023.

Meanwhile, the Australian Petroleum Production and Exploration Association (APPEA) Chief Executive Samantha McCulloch said the ACCC report showed enough supply to meet demand. She noted that ACC C’s role in monitoring and reporting on market conditions is essential for ensuring compliance with price orders and reviewing its effectiveness.

The ACCC’s scrutiny is a significant and essential step forward in ensuring an adequately supplied, competitive, and transparent east coast gas market for 2023. The ACCC will continue to monitor the situation closely over the coming months.