feeding a starved east coast market.

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0	Qld launches historic gas review
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2	Monday, 7 November 2016 Anthony Barich QUEENSLAND has issued its first gas industry-wide discussion paper, from wellhead to the stovetop, to put some meat behind COAG’s push to boost competitive gas supply, liquidity and transparency and shore up the sector’s social licence to feed a starved east coast market. Column 1 0 Dr Anthony Lynham

The terms of reference for the 38-page Department of Natural Resources and Mines discussion paper warned there was a risk on the upside of the state’s massive gas sector, which will be needed to feed the east coast gas market with severe restrictions on drilling in New South Wales and Victoria. The Australian Energy Market Operator says combined LNG and domestic demand will push gas demand on the east coast from 718 petajoules per annum to 1963PJpa by 2020. “On the upside, the state's endowment of gas reserves continues to grow following ongoing land releases and (resources) discovery, but this growth could be stronger,” the terms of reference said. “On the downside, high extraction costs and low global oil prices are leading to a scarcity of development capital. Moreover, domestic consumers remain concerned about gas affordability and availability.” Queensland’s new paper was designed to complement the actions of COAG’s Gas Market Development Plan and the Commonwealth’s Domestic Gas Strategy. The terms of reference speak of a need to ensure the state capitalises on “all possible demand opportunities”, including for greater gas-fired generation, along with gas-to-liquid and manufacturing feedstock applications. The paper also seeks to identify barriers to achieving least-cost supply. These include public and private sector research and development, collaboration, adequacy of pre-competitive geoscientific information, access to capital, labour and land including social licence to operate and optimal tenure management and land release strategies, and removing unnecessary regulatory burdens. The paper also seeks to define the gas regions by endowment and likely development and transportation costs under a number of scenarios, define all existing and potential demand segments and their possible size, and estimate the scope of the potential benefits to Queensland. “We have strong demand, and solid foundations for reliable supply for the next 30 years, but there are challenges,” Queensland Natural Resources and Mines Minister Dr Anthony Lynham said. “That’s why we are developing a Gas Supply and Demand Action Plan to tackle the challenges and maximise supply, economic and job benefits for Queensland. “We will deliver an overarching strategy to maximise domestic and industrial supply at affordable prices. “Building community understanding and confidence in the gas sector and striking the right balance between environmental protection, health and safety and social performance will be critical for its ongoing growth.” Submissions close on December 19. http://www.energynewsbulletin.net/s...icy&sectionsource=s245&aspdsc=yes[/P][/table]