PREMIERS ON THE HUSTLE IN ENERGY DEBACLE
NSW Premier Dominic Perrottet says he’s “absolutely committed” to working with gas giant Santos to get the Narrabri project off the ground, as the eastern part of the country faces a tense winter of energy shortages.
Fingers are being pointed from all sides of politics as Australians are being warned they could be asked to conserve energy throughout the coming months to prevent load shedding and blackouts.
The Australian Energy Market Operator – which made the “unusual move” this week to temporarily overhaul the energy market – has said the grid is stable across the country and no blackouts are likely to happen this weekend.
But there are no assurances for how long the mechanism – which forces generators to feed into the grid – will be in place, given the crisis is the result of “10 years of inaction”, according to Prime Minister Anthony Albanese.
The crisis has been caused in part by a global gas shortage and a lack of domestic reserve, ageing coal-fired power stations and a slow transition to renewable energy.
Following the national cabinet, the NSW Premier said his government would work closely with Santos to ensure there was more domestic gas supply to keep a similar crisis from unfolding in the future.
“We are completely committed to Narrabri, and working with Santos to get that project off the ground,” Mr Perrottet said.
“A key component of that agreement, and the work we have committed with Santos, has been that there be a reservation policy attached to that project, of which they have supported and agreed to.”
The idea of a domestic gas reserve has come back under the spotlight considering the global gas shortages caused by Russia’s war in Ukraine, and eastern states are looking at the model implemented in Western Australia.
South Australian Premier Peter Malinauskas had earlier called for the domestic gas reservation systems in Western Australia – which is not connected to the rest of the country’s electricity grid – to be closely examined and potentially mirrored in the east.
WA Premier Mark Mcgowan said his state’s gas reservation policy had been “key” to ensuring West Australians were not facing a similar energy crisis.