GAS REPORT: An aerial image of Australia Pacific LNG on Curtis Island.
GAS REPORT: An aerial image of Australia Pacific LNG on Curtis Island.

Pressure's on as Qld's gas report 12 months overdue

THE pressure is on to release the Queensland gas supply and demand action plan, which is almost 12 months overdue.

In November 2016 a discussion paper with 29 recommendations to help solve the challenges facing gas producers and buyers was released, the first industry-wide gas discussion paper in Queensland.

Now, 18 months after the discussion paper was published - the plan tipped to manage Queensland's gas issues has not been released, prompting Liberal National Party politician Dale Last to ask why.

Minister for Natural Resources Mines and Energy, Dr Anthony Lynham, is expected to respond to Mr Last's parliament tabled question in June to explain why the final plan has not been released.

When the paper was published for comment from residents and companies Dr Lynham said it aimed at maximising gas supply, economic and job benefits for the state.

The discussion paper said Gladstone's Rio Tinto Yarwun and Queensland Alumina Limited were among the state's largest industrial gas users.

While industrial users such as the two aluminium refineries were locked into longer- term gas agreements, about 10-15 years, securing those deals was becoming challenging given the price environment and market uncertainty, the report said.

It also highlighted the challenges for domestic gas users, whose prices were on the rise, and the relationships between landholders and gas companies amid the rapid expansion of the industry since 2015.

The discussion paper's recommendations included making it easier for small, local businesses to tender for work within the gas industry.

It also recommended an annual, independent performance and compliance report to communicate how the industry was tracking and a central body to handle complaints.