APPEA: Market-Based Energy Policy Needed to Encourage Gas Investments in WA
Today’s announcement by the WA Liberal Party of its energy policy sets out a positive plan to improve energy security for Western Australia. However, a consistent approach to market-based energy policy is needed to encourage investment in the next generation of potential gas market entrants onshore and offshore.
The policy commits to “the viability, growth and competitiveness of Western Australia’s energy sector” and recognised that WA’s energy industry plays a “major role in driving the state’s economic development and contributing to the community’s high standard of living.”
APPEA’s Chief Operating Officer – Western Region, Stedman Ellis said:
“Industry supports market-based energy policy, as we believe that open markets are the best way to attract investment in energy supply and deliver competitive energy pricing.
“Since 2009 APPEA has supported the development of a Gas Bulletin Board (GBB) and Gas Statement of Opportunities (GSOO) for WA, as these measures will help both existing market participants and new investors make commercial decisions about investing in infrastructure or entering into gas supply contracts.
“Domestic Gas Reservation Policy remains a significant intervention in a rapidly changing energy market which is at odds with the policy commitments made today to encourage investment, attract new market entrants and deliver diversity of supply.
“Following the election APPEA looks forward to continued recognition of the importance of market-based energy policy and as such will work with the next Government of WA on the 2014 review of the current domestic gas reservation policy.”
The industry body also welcomed the Liberal’s Conservation & Biodiversity, Water Management, Regional Development and Mines and Petroleum Policy statements.
These policies included measures to expand the approvals tracking system, continue the exploration incentive scheme, complete hydrogeological investigations in the Canning Basin and create a virtual environmental resources sector data base. The recognition of the regulation of greenhouse gas emissions as a national rather than State responsibility was also a sensible and positive step.
LNG World News Staff, March 07, 2013