Call the CSG bluff urges experts
Claims by the coal seam gas industry that the recent sector reform in NSW will quash the energy market and drive up prices are overblown and the bluff should be called, according to a collaboration of clean energy experts.
Beyond Zero Emissions (BZE), a collaboration of academics and industry specialists, says that the claims are a smokescreen to inflate prices.
“The gas industry has no real commitment to domestic gas supply, and certainly not to cheap supply,” said BZE spokesperson Ben Courtice.
“The gas companies are not desperate to frack NSW for more CSG because they care about the NSW gas supply. They need it for their LNG export trains and contracts with Asia.”
Domestic policies have little to no impact on the price point of gas supply, according to BZE, but rather the industry's own export commitments could drive prices from $3-4 per gigajoule to as much as $10.
“Gas corporations want to access NSW' coal-seam gas at all costs, but is NSW really at risk of shortages? Not if we move towards zero gas use – which our analysis shows is the logical step, from an economic as well as environmental perspective,” Mr Courtice said.
“At the prices we are going to be seeing, no-one will be building new gas power stations in Australia, and households will be hurting at the hip pocket if they rely on gas appliances.”
“NSW can do better than allow itself to be bluffed and bullied by the gas companies. NSW could tomorrow begin to transition away from dirty fossil gas and implement efficient electric technologies powered by renewable energy.”