The oil and gas industry is a major driver of Australia’s economic growth.
As well as underpinning Australia’s energy security and being the main source of energy for Australia’s manufacturing and mineral processing sectors, the industry is also a significant contributor to the national economy, workforce and tax revenue.
Growing Australia's economy
Australia’s oil and gas industry contributes around $105 billion a year to the national economy and represents around 3.7% of Australia’s GDPi.
The industry’s significant investments also generate flow-on benefits across Australia, supporting businesses across the country while strengthening regional economies, government revenues and energy security.
Australia’s liquefied natural gas (LNG) exports are a key driver of the industry’s economic output and tax contribution. LNG is Australia’s third-largest export, worth $65 billion in 2024-25ii and accounting for 10% of all Australian exports by value.iii
Recent analysis by KPMG found the Australian gas industry is the most productive in Australia, with the average full-time-equivalent (FTE) worker in the gas industry producing $2.8 million of gross value-add – around 16 times the Australian average.iv
Lifting national productivity is a key driver for improving living standards, as it raises incomes, supports job creation, business competitiveness, and government revenues to pay for essential public services and infrastructure.
Supporting local jobs
The Australian oil and gas industry supports around 215,000 jobs around Australia, including 30,000 direct jobs and a further 185,000 indirect jobs across the supply chain.v
Many of these jobs are based in rural and regional towns, providing a range of flow-on benefits including upskilling and educational opportunities, spending with local businesses, employment opportunities for First Nations people, and supporting local community groups.