Appea says federal budget should focus on boosting new gas supply, emissions reductions

Appea, Australia’s peak oil and gas body, on February 6 urged the federal government to use the 2023-24 budget to encourage investment in new gas supply and emissions reduction measures.

The body’s 2023-24 federal budget submission calls for a national carbon capture utilisation and storage (CCUS) roadmap to provide clear policy direction, identify and progress priority hubs for low emissions projects and promote Australia as a regional carbon storage leader.

“Capturing and permanently storing emissions from industrial facilities, including hydrogen production, and directly from the atmosphere makes the most of our world-class geological resources and is critical to reaching net zero,” Appea CEO Samantha McCulloch said.

Appea also called on the government to encourage investment in new gas supply to meet demand and drive down prices, rather than interventionist policies which have the opposite effect.

Key measures include – letting the market work to bring down prices; progressing new acreage releases; encouraging New South Wales and Victoria to lift moratoriums which are contributing to the highest gas prices in the country; and giving major project status to new supply and low emissions technology projects.

Appea has called on the government to keep the scope of the proposed Environmental Protection Agency consistent with its pre-election commitments, while removing existing duplication under the Environment Protection and Biodiversity Conservation Act, avoiding new duplication, and streamlining approvals.