The Australian Petroleum Production and Exploration Association claims that a recent ban on unconventional gas development in Victoria could increase the state’s vulnerability to tight market conditions.
According to APPEA’s chief executive, Malcolm Roberts, there was no environmental reason to prohibit onshore gas development in Victoria.
He added that the recent COAG Energy Council confirmed the need to develop new gas supply, claiming the government has played politics by extending restrictions.
Roberts adds that the studies have confirmed that the technology and unconventional gas development, if properly regulated, is safe.
With the restrictions in place, Victoria is facing a supply shortfall by 2019, Roberts said, adding that instead of playing a marginal role in Victoria’s energy mix, natural gas should have a greater role.