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The Frontier modelling indicates that gas prices for industrial customers would be respectively 14 and 25 per cent higher in Melbourne and Sydney if LNG imports set the price for the high demand winter months, but would be 55 and 101 per cent higher should LNG become the benchmark year-round.

“The study concluded that prices would be higher for both residential and industrial customers in Sydney, Melbourne and Adelaide if they relied on imported LNG rather than domestically sourced gas,’’ Frontier said.

“However, the impacts are notably more significant for industrial customers.’’