Over 260 petajoules (PJ) of gas will be made available between now and 2033 through two new enforceable supply commitments under the Gas Code of Conduct exemptions framework.
This would be sufficient to power east-coast gas-fired power stations for around two and a half years.
Gas is critical to supporting reliability and affordability of the increasingly renewable grid, by providing peaking and firming.
‘Peaking’ power is extra power that can be called upon during times of peak demand for electricity. ‘Firming’ refers to maintaining the output of intermittent energy sources such as wind and solar.
The Gas Market Code ensures households and industry can increasingly benefit from downward pressure on wholesale electricity prices that solar is already bringing.
The supply commitments announced today will directly feed into southern demand centres previously identified as being at particular risk of seasonal shortfalls. They will also ensure there is sufficient domestic supply to keep the downward pressure on gas prices.
