Gas fires the nation and powers ahead
Australia’s 40,000km gas pipeline network delivers more than double the energy produced in the National Electricity Market, APGA Chief Executive Officer Steve Davies said today.
Despite predictions that the role of gas would diminish, demand continues to be strong and is actually increasing, Mr Davies said in a panel discussion at the South-East Asia Australia Offshore and Onshore Conference (SEAOC).
“The existing high-pressure gas pipeline network spans 40,000km across Australia and has a replacement cost of around $50 billion dollars,” Mr Davies said.
“That network delivers all of the gas used in Australia: in 2018-19 that was almost 1,600 petajoules (PJ) which is more than 440 terawatt hours (TWh). The National Electricity Market (NEM) in the past 12 months was 203 TWh. So gas pipelines are delivering 2.2 times the energy produced by the NEM.
“Using gas for heat is the lowest emissions non-renewable energy source, with only 25 per cent of the emissions intensity of grid electricity.
“I have no doubt we will continue to use gas for a long time – as set out in Gas Vision 2050.”
Demand for gas continues to be very strong. In 2018/19, final energy consumption of gas was 980PJ, an increase of 3.4 per cent from the previous year. This does not include gas that was converted to electricity. In the same year, electricity consumption was 846PJ, an increase of just 1.4 per cent.
“There is significant potential for investors in gas,” Mr Davies said.
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