Speech: Australian Energy Producers Chair Meg O’Neill address to the 2025 AGM

(Pictured: Australian Energy Producers Chief Executive Samantha McCulloch, Chair Meg O’Neill and Vice-Chair Tor McCaul)

Welcome

Good afternoon members, fellow Australian Energy Producers directors, and secretariat.

Year in review

This year has been a significant one for our industry.

In Australia, and around the world, we are seeing a marked shift in the public narrative in support of more gas production to meet increasing energy demand and growing consensus on the essential and long-term role of natural gas in our energy future.

As we know, natural gas is a source of high heat for industry and manufacturing, feedstock for fertiliser and a stabiliser for energy grids moving from coal and towards renewable generation.

To ensure our customers at home and abroad have the energy they need for decades to come, our industry continues to advance major gas projects.

In particular, we are heading towards some promising milestones in Western Australia, the Northern Territory and the Otway Basin.

Our industry remains a key pillar of the Australian economy, contributing more than $100 billion a year to the nation’s GDP, supporting around 215,000 jobs across Australia, and is forecast to pay an estimated $22 billion in taxes and royalties to state and federal governments in 2024-25 to help fund essential services and infrastructure.

Meanwhile, our LNG exports continue to support the energy security and decarbonisation goals of our valued trade partners, while strengthening Australia’s strategic role in the region.

We can be proud of this enormous contribution, which underscores the fact that when our industry does well, all Australians benefit.

Queensland’s LNG industry, which in August celebrated a decade since first cargo, is a prime example of how the whole community benefits from a strong gas industry.

Over the decade, Queensland’s gas industry added $127 billion to the state economy and supported almost 60,000 jobs.

It also unlocked gas supply for the domestic market that was only made possible by access to export markets.

To put this return on investment in context, every LNG cargo that leaves Gladstone represents around $11.2 million spent with local businesses and $4.5 million in royalties paid to the Queensland Government.

Gas Market Review

The 2025 Federal Election delivered Prime Minister Anthony Albanese a clear mandate for his government’s agenda.

Our industry is working constructively with the Government on reforms that have the potential to address some of the biggest barriers to new gas supply and investment.

Key among them is the Gas Market Review, which presents an opportunity to future-proof the east coast gas market and break the cycle of short-term fixes, market interventions and looming shortfalls.

As the ACCC confirmed in its last Gas Inquiry report, the market is currently not working for gas producers, large gas users, or households.

The report found regulations that are meant to ensure a well-supplied and functioning market have not only failed to add any material volumes of new gas, they have in fact increased the risk of shortfalls “despite there being sufficient reserves and resources for at least the next decade.”

I commend Minister King and Minister Bowen for their constructive and pragmatic approach to the Gas Market Review, which aims to “improve and streamline” the gas market regulations “to ensure sufficient affordable gas supply in the longer term”.

This requires a considered package of reforms that address barriers to new supply, support continued investment in new gas supply and infrastructure, and provide long-term certainty to all market participants as well as our trade partners.

As Australian Energy Producers’ submission to the review said, a well-designed, prospective reservation policy for the east coast that is linked to new supply can be part of the solution.

However, it must be backed by immediate actions to address near-term supply challenges, because the most effective way to put downward pressure on prices and ensure a well-supplied gas market is to increase supply.

EPBC Reforms

The Albanese Government’s commitment to overhaul national environmental laws to deliver faster and simpler approvals is another important reform, and a welcome step towards fixing a system that is delaying projects, increasing costs and litigation, and driving away investment.

Industry has long called for a system that delivers faster, simpler and more certain project assessments while maintaining strong environmental standards.

With appropriate amendments to the legislation currently before the Parliament, we have an opportunity to achieve this, and our industry will continue to work with the Government and Opposition to ensure these reforms deliver on their objectives.

I acknowledge Western Australian Premier Roger Cook’s ongoing advocacy on this issue to ensure WA’s resources sector is not disadvantaged by these reforms.

Other states must also do their part to bring on new gas supply, especially Victoria and New South Wales – which are most at risk of gas shortfalls.

There have been encouraging signals in both states.

The Victorian Government is poised to release petroleum exploration acreage for the first time in years.

And in New South Wales, Premier Chris Minns has committed to doing more to expedite the Narrabri Gas Project, which has been hampered by approval delays and legal challenges for over a decade, yet could supply half of the state’s annual gas demand.

All this and more will be needed if Australia is to meet our long-term gas needs.

Restoring Australia’s competitiveness

We are at a critical juncture in Australia’s energy transformation.

While the growing recognition from policymakers about the importance of gas is welcome, it must be backed by tangible actions.

The decisions made in the near term will determine whether Australia can continue to provide reliable and affordable energy for all Australians and remain a world-leading energy producer.

As it stands, Australia’s lagging competitiveness means we are not attracting the necessary investment in new gas projects.

Australia is losing out to countries like the US, Canada and Qatar.

To restore confidence, Australia must recommit to being a trusted partner and competitive destination for energy investment.

We must accelerate and streamline project approvals, ensuring our regulatory system reflects the urgency of our energy and climate goals.

We must also foster an investment environment that encourages innovation.

Because one thing is clear – in the decades ahead, the world will need more energy, not less.

Artificial intelligence is turbo-charging global energy demand in ways few would have predicted a decade ago.

Data centres already account for 1.5% of global consumption, and usage is growing at a rate of 12 per cent annually.

The International Energy Agency predicts global electricity consumption from data centres could double by 2030.

Looking at LNG demand specifically, according to Wood Mackenzie, global LNG demand is forecast to rise by 58 per cent by 2050, with the Asia Pacific region accounting for three quarters of total LNG demand by the middle of the century, driven by population growth and industrialisation.

Australia can lead this next wave of energy growth — leveraging our expertise, our proximity, and our reputation for reliability.

If we don’t, others will fill the gap.

Net Zero and CCUS

As world leaders gather in Brazil this week for COP30, climate change remains, rightly, a key focus for Australia.

The Australian Government has set an ambitious 2035 climate target that will require increased action and investment across the economy.

As we at Australian Energy Producers see it, Australia’s climate targets must be backed by policies that recognise and support the critical role of natural gas and of carbon capture, utilisation and storage.

The International Energy Agency, Intergovernmental Panel on Climate Change, and Australia’s recently released Net Zero Plan all recognise the role of CCS in achieving net zero emissions.

It’s why our industry continues to advance CCUS in Australia.

Last month, the Moomba CCS project marked its first year of operation and has now safely stored more than 1.3 million tonnes of CO₂.

Along with the Gorgon CCS project, Australia is now host to two of the largest CO2 storage projects in the world.

Combined, these projects are storing emissions estimated to be equivalent to taking one million cars off the road each year.

With more CCS projects in the pipeline around Australia – including the proposed Bonaparte CCS Project, which in July was conferred ‘Major Project Status’ by the Australian Government – Australia is well-placed to be a global leader in this essential technology.

Conclusion

The energy transition presents opportunities and challenges for our industry, which has a track record of being pioneers and of forging new frontiers.

We are optimistic and ambitious for our future, and for Australia’s potential in the new energy economy.

As we look ahead, collaboration between industry, government, and the community will be crucial.

Through our national advocacy campaign, Australian Energy Producers continues to improve understanding in the community about the essential role of natural gas in our everyday lives.

The campaign is also reinforcing our industry’s significant tax and economic contribution, and countering disinformation from our opponents.

As the lead voice of our industry, Australian Energy Producers continues to advocate strongly for the clarity and certainty our members need to ensure Australians have reliable and affordable energy for today, tomorrow, and the decades ahead.

The work of Australian Energy Producers is only possible with the support and unity of our members. Thank you for your continued support.

New Board

Following today’s meeting we will welcome new Directors to the Australian Energy Producers Board.

I thank the Directors for their efforts this year, and I thank them in advance for an even bigger year ahead.

Finally, I would like to acknowledge the work of the Australian Energy Producers Secretariat team.

Our industry would not have the strong voice it needs in Canberra, in our states and territories, or in communities around Australia, without them.

Thank you.