Australian Energy Producers welcomes the South Australian Government’s decision to remove the moratorium on hydraulic fracture stimulation in the south east, describing it as an important step towards strengthening the state’s long-term energy security.
Chief Executive Samantha McCulloch said the decision reflects growing recognition of the critical role natural gas will continue to play in supporting South Australia’s economy, manufacturing sector and electricity reliability.
“Natural gas is essential to South Australia’s energy security and industrial competitiveness, providing reliable energy for households, businesses and major industries including manufacturing, mining and agriculture,” Ms McCulloch said.
“Unlocking new gas supply will help put downward pressure on prices and ensure reliable energy for households, manufacturers and businesses.
“This announcement is a pragmatic and necessary step to ensure potential gas resources in the south east can be properly assessed under South Australia’s robust environmental and regulatory framework.”
The move is further recognition by the South Australian Government of the importance of natural gas to the state’s economy and energy system, and in driving growth in manufacturing industries.
The South Australian gas industry contributes more than $8 billion a year to the state’s economy and supports more than 14,000 jobs.
Ms McCulloch said the announcement built on the South Australian Government’s broader efforts to secure long-term domestic gas supply, including the recently announced strategic gas reserve agreement with Santos to support the Whyalla Steelworks transformation.
“At a time when energy security is has never been more important, the South Australian government is rightly focused on enabling investment and supporting gas exploration and development so that South Australian’s continue to have access to reliable and affordable energy,” Ms McCulloch said.
