A recent analysis commissioned by Solutions for Climate Australia has shed light on the diminishing use of gas in the National Electricity Market.
According to the report, gas usage in the market peaked in 2014 and has been steadily decreasing since.
The analysis, which utilised independent and government data, provides insights into the current and anticipated trajectory of Australia’s domestic energy mix.
Tom Quinn — author of the report from Springmount Advisory — commented on the findings, stating: “On both the west and especially the east coast markets of Australia, we’ve seen steady declines in the use of gas for electricity. Gas use for electricity production in the National Electricity Market has halved in the past 10 years.”
Quinn also pointed out that scenario planning from the Australian Energy Market Operator indicates a continued decline in gas use for electricity production in all modelled scenarios.
“The volume of gas in existing fields combined with shrinking gas demand for domestic electricity generation means that existing reserves are enough,” he added.
Labor Environment Action Network National Co-convenor Felicity Wade emphasised the significance of these findings in shaping Australia’s energy policies.
“Labor’s National Policy Platform acknowledges the need to reduce emissions from the gas industry, and we wanted to be really clear about the truth that Australia will need less and less gas to keep the lights on,” said Wade.
She further highlighted the implications of the data, stating: “This data tells us that Australia’s future domestic needs can be met without opening new gas fields.
“The best option for Australia’s energy security and for the global climate is to continue to invest even more in the renewable energy superpower agenda.”
The analysis and its findings provide valuable insights for decision-makers and the public, highlighting the need for a shift towards renewable energy sources to ensure a sustainable and environmentally friendly energy future for Australia.
