Australia Domestic Gas Reservation Plans Won't Fix South's Shortage

Dow Jones
2小時前

0422 GMT - An obligation to deliver gas to Australia's southern states is still missing from the government's domestic gas reservation exposure draft, says Commonwealth Bank of Australia's Vivek Dhar. That is "where the gas shortfalls are forecast," he says. The draft reaffirms CBA's view that Australia's Queensland state faces a substantial oversupply, but southern states may remain balanced to undersupplied, Dhar says. "Keeping the obligation broad to the east‑coast gas market alongside giving LNG [liquefied natural gas] exporters the power to cite infrastructure constraints to reduce their obligation means LNG exporters can substantially increase their supply in Queensland and still potentially meet their DSO," he says.

 

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