Gas export reserve covers 2% — not 20% — of east coast demand: Grattan Institute | ABC NEWS
Energy Minister Chris Bowen has unveiled a new east coast gas reserve in a bid to reduce domestic gas prices, forcing gas giants to set aside a flat percentage of supply for Australians from July 2027.
But, as Alison Reeve from the Grattan Institute explains, the policy applies restrictions to 20% of spot cargo, meaning only about 2% of the east coast’s total demand would actually be reserved for domestic buyers.
She says the policy won’t deliver a lot of supply to the Australian gas market in the short-term because it won’t apply to existing contracts.
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