Resources Minister Madeleine King gently urges QLD to open up more gas amid global turmoil

Australia is facing a “very concerning” gas shortage, a new report shows, as urgent pleas are made for more to be done in Queensland to increase supply. But there could be a very large roadblock in the path of plans to open more gas fields.

Queensland is being urged to open more gas fields to keep Australian lights on, with the federal resources Minister touting more supply as the “best solution” amid the global energy crisis.

Australia is facing a “very concerning” gas shortage in 2023 according to a recent report, with Resources Minister Madeleine King reiterating the government would take “whatever steps are needed” to avoid a repeat of the electricity market meltdown in June.

This has already included threatening to deploy big stick “trigger” measures on the big three LNG exporters — all based in Queensland — to force them to set aside gas for domestic use.

But Ms King, in a speech to resource industry leaders in Brisbane on Thursday, said “ultimately” the best solution to tight gas markets was to “boost supply” — including in Queensland.

The state government has released 20,000sq km of land — 3.5 times the size of Bali — since 2015 for explorers to find gas exclusively for domestic use.

But Ms King is now encouraging her state counterparts “to consider releasing even more acreage under its domestic gas reservation condition”.

Her comments are likely to come under fire from the Greens — which control the balance of power in the Senate — and their vehement opposition to new coal and gas projects in getting to net zero by 2050.

Madeleine King Minister for Resources. Picture: NCA NewsWire / Gary Ramage

Queensland is already doing much of the nation’s heavy gas lifting, producing ¾ of Australia’s gas though much of it is ultimately exported by the three big LNG exporters.

The Australian Consumer and Competition Commission, in its report released last week, found the predicted 2023 gas shortage was a “real risk to Australia’s energy security”.

According to the ACCC there is enough gas coming out of the ground and in storage to cover the shortfall, it’s just that the big three LNG exporters have a tendency to sell it overseas instead of putting it on the domestic market.

Ms King last week confirmed the government would take the initial step toward the first-ever use of the Australian Domestic Gas Security Mechanism, also known as the gas trigger.

Agreements with exporters to ensure some gas is set aside for domestic use were also due to be renegotiated.

Ms King, in her speech on Thursday, signalled the “constructive participation” from the big three exporters based in Gladstone “in discussions so far” as the government moved to make the system more sustainable.

As part of the speech, Ms King also pointed to the resources sector as “part of the solution” in achieving net zero emissions by 2050.

“Without Australia’s resources sector, the world doesn’t have net zero,” Ms King said.

As part of her Queensland trip Ms King also held a jobs and skills roundtable with the mining sector in a bid find ways to encourage more women into the sector.

Originally published as Resources Minister Madeleine King gently urges QLD to open up more gas amid global turmoil