Stakeholder feedback is being sought on a consultation paper on how to increase liquidity and flexibility in east coast gas markets. This will be through development of the Wallumbilla Gas Supply Hub and improvements to the pipeline capacity trading framework.
The Wallumbilla Gas Supply Hub in southeast Queensland provides a centralised gas trading, settlement and clearing facility through an online portal. Liquidity at the hub has been improving since it was established, yet it remains low compared to international examples.
The Hon Angus Taylor MP, Minister for Industry, Energy and Emissions Reduction, said, ‘More liquid and transparent trade at the Wallumbilla Gas Supply Hub will enable the establishment of a stable trusted reference gas price which will allow participants to have greater confidence in their ability to trade, hedge and make long-term investments.’
The pipeline capacity trading framework provides mechanisms designed to enable a more liquid secondary gas pipeline capacity market and improve the efficiency with which gas pipeline capacity is allocated.
‘Reforms will aim to build on the success of the Day Ahead Auction which has saved gas users $30-60 million in annual pipeline transportation charges,’ Minister Taylor said.
‘Stakeholder feedback will inform development of a roadmap for Energy Ministers to consider.’
Stakeholder feedback is sought on:
- barriers to greater participation in the Wallumbilla Gas Supply Hub, and potential policy options
- key issues to effectiveness of the pipeline capacity trading framework, and potential policy options
- broader issues around related enabling frameworks.
The consultation paper, Options to advance the east coast gas market (PDF 1.39 MB) is now available for review and comment.
Feedback on the issues and options discussed in the paper can be provided using the submission template by midday AEST on 24 December 2021 to email@example.com.
- submission template
- accessible document versions
- general stakeholder forum Q&A session