Mr Dutton said a Coalition government would force gas exporters to divert uncontracted gas to Australian customers, demonstrating that there is no gas shortage in Australia.
Key points – Australia Institute research has shown:
- Excessive gas exports have caused domestic gas and electricity prices to triple. Limiting exports is the only way to reverse this price increase.
- Gas exporters such as Santos have stated that part of their goal for export gas projects was increasing domestic gas prices.
- This policy would not significantly affect government budgets or the economy because the gas industry pays little tax and employs few people.
- No gas exporter has ever paid petroleum tax, most gas exports are royalty-free and most pay little company tax.
"It is good to see the Opposition identify the key problem in Australian energy policy - excessive gas exports," said Mark Ogge, Principal Advisor at The Australia Institute.
"A decade ago, Santos told investors that their gas projects were 'as much about raising the domestic gas price as about gas exports' and finally some of Australia's leaders may be ready to push back on gas corporations.
"Gas exports have tripled prices for Australians and the only way to stop that is to restrict exports and to switch Australia's energy demand to cleaner sources.
"The gas industry does not pay its way. 80 per cent of Australia's gas is exported, and over half of that gas is given to the multinational gas export corporations royalty-free.
"Australian Treasury has confirmed no gas export project has ever paid the Petroleum Resources Rent Tax which has been in place for almost 40 years.
"This announcement shows that there is no gas shortage and no need to approve new gas projects if exports are limited.
"The gas industry has been taking the piss for too long. It's time to end its free ride."
