Australian LNG export levels under threat [Gas in Transition]

Australian LNG export levels under threat [Gas in Transition]

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Natural Gas News
Australian LNG export levels under threat [Gas in Transition]

Summary

New emissions policies put at risk Australia’s ability to maintain its existing level of LNG exports. Canberra has also suggested that it may use existing powers to divert gas to the domestic market. Has Australian LNG production already peaked? [Gas in Transition, Volume 3, Issue 8] by: Neil Ford

Australia has a total LNG production capacity of 88.6mn tonnes/year and shipped a record 81.4mn mt last year, accounting for 21% of global LNG exports (see figure 1). Most production came from Western Australia (49mn t), followed by Queensland (24.1mn t) and the Northern Territory (9.2mn t). As a result, the sector is an important part of the economy, generating A$90.4bn ($62.3bn) in export revenues in 2022, up 82% on the previous year according to consultants EnergyQuest, as a result of high global prices. Emissions policies getting tougher However, the Labor government of Prime Minister Anthony Albanese, which came to power in May 2022, has made a legal commitment to achieve net zero by 2050 and, under a deal with the Green Party, on July 1, pledged to cut greenhouse gas (GHG) emissions by 43% from 2005 levels by 2030. Australia’s per capita GHG emissions ar...