When investors won't back gas, why should taxpayers?

With their announcement this week of subsidies for a major new gas plant in the Hunter Valley, Prime Minister Scott Morrison and Energy Minister Angus Taylor have made it clear: whatever the roadmap, there’s only one destination – gas.

Globally, gas prices are at unsustainably low levels. Gas companies simply cannot make money at these prices and are going broke. Yet Australians are paying way too much for their own gas. That's because a handful of companies on the east coast controls the price and they fix it at levels above international parity pricing.Simple, the government tells us. Increase the supply of gas and the price will come down. If only it were that easy.

The gas industry around the world is in dire straits. A global oil and gas glut, brought about by building too many LNG plants and over-expanding gas field capacity, was compounded by a drop in demand due to the coronavirus pandemic, combined with a vicious price war between Saudi, Russian and US oil and gas producers. Global gas prices went into freefall and the industry entered a long-term slump.Gas companies around the world are declaring bankruptcy and major projects are being shelved.

Gas in Australia doesn’t adhere – as Angus Taylor suggests it will - to the normal economic rules of more supply equalling lower prices. Gas production tripled on the east coast of Australia following the opening of the three export plants at Gladstone in 2014. Prices also tripled. Essentially we pay more than our customers in Japan do for Australian-sourced gas.

Ore of Morrison and Taylor’s BS

Gaslands.

Gotta look after the donors.

Profits for family & friend's *private* companies? the elite the establishment the 1% ... for as long as WE believe?

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Morrison to back construction of new gas-fired power stationThe government will open up new gas supplies and back the construction of a gas-fired power station in a mammoth new plan that aims to prevent an energy price spike. CroweDM I wouldn't worry too much. If past performance is an indicator of future performance, it'll never eventuate. CroweDM PM Gives Nation Gas, Mylanta Reserves Held in Uzbekistan CroweDM Tuesday's announcement.
Source: smh - 🏆 6. / 80 Read more »

Gas will help Australia bounce back better and stronger from the pandemicGas will help Australia bounce back better and stronger from the pandemic, writes AngusTaylorMP AngusTaylorMP Why is any news organisation permitting a clearly bought and owned politician, to spout such a transparently and probably false agenda? auspol AngusTaylorMP Excellent first step. We have been choked by the climate change stupidity and renewables hoax. AngusTaylorMP And I'm sure he writes it, safe in the knowledge that he will not be around to deal with the consequences of pushing fossil fuels in the face of climate annihilation.
Source: smh - 🏆 6. / 80 Read more »

Nationals MP backed tougher koala habitat protection during inquiryThe Nationals MP sitting on an inquiry into koalas supported findings that habitat conservation for the marsupials needed to be strengthened, raising fresh questions over why his party threatened to bring down the government over the issue | p_hannam p_hannam It is good for koalas in the short term but not for farmers who have a financial an time impost. p_hannam I wonder if there is a feral animal control program that has to be in a real solution. p_hannam Save da koalies.
Source: smh - 🏆 6. / 80 Read more »

Origin stars kidding themselves with pay stinkState of Origin match payments are set to drop from $30k per game to $15k. MARK LEVY unloads over the reaction. That would have to be the most lightweight piece of journalism I've read. Which Origin stars are complaining? None of them. What meaningless drivel is this? and before all the nark's start pointing out no player has been quoted saying this and its media speculation blah blah blah dont dare for a moment think that just because there is zero evidence it might happen doesnt mean it wont. levys preemptive strike might have saved origin Don't think they've dropped our ticket prices by 50%!
Source: wwos - 🏆 12. / 68 Read more »

Qantas seeks 'corporate welfare' with its HQ auction, Birmingham saysFederal Trade and Tourism Minister Simon Birmingham has blasted Qantas' move to start a bidding war between state governments over the location of its headquarters as a blatant appeal for corporate welfare | pwhatch pwhatch more corporate welfare pwhatch This is learned behavior - just like a trained puppy. pwhatch All very well to call QANTAS out on this but what are going to do about it?
Source: smh - 🏆 6. / 80 Read more »

Tighter checks needed to stop JobKeeper rortsEditorial: The Coalition's virtue signalling on prudent use of taxpayer funds is being challenged by revelations about rampant employer rorting of the JobKeeper subsidy Is this another school hall, pink bats stuff up ? When the government hands out the people's money to the private sector it was a disaster waiting to happen. Besides this, the government misspent our money when they decided to give part time workers a full-time wage through job keeper. Monkey see Monkey do. 🤷‍♂️🤷‍♂️🤷‍♂️
Source: smh - 🏆 6. / 80 Read more »