LNG Exports Continue to Energise Oz Economy: APPEA
LNG exports continue to underpin the growth of the Australian economy, the Australian Petroleum Production & Exploration Association (APPEA) said following the release of the latest Australian Bureau of Statistics (ABS) figures on September 4.
According to the figures, resource and energy exports accounted for more than half of total growth in the three months ending June 30, with GDP increasing by 0.5%. The value added by the oil and gas industry to the Australian economy increased to A$34.5bn (US$23.4bn) in 2018-19, a jump of 19% yr/yr, according to the ABS figures. The main driver of this growth was increased production from new LNG facilities.
APPEA CEO Andrew McConville said this data once again reaffirmed the significance of LNG exports for sustaining Australia’s economic trajectory.
“LNG exports are a vital source of strength for our economy and will provide decades of future growth and prosperity,” McConville said. “The Australian oil and gas industry has invested more than $350 billion in the economy over the last decade and this investment will deliver decades of growth, exports and jobs for Australia.”
He said that for the LNG sector to continue to thrive and remain a key driver of the economy, exploration and development must be encouraged not restricted – and industry must continue to have confidence to invest.
“We have consistently highlighted that while governments may seek reforms to intervene in markets, it must be highlighted that any intervention is not without costs,” he said. “The best way to put downward pressure on gas prices remains more gas supply. Eastern Australian gas users have paid a high price for unnecessary, unscientific restrictions on gas development in Victoria and New South Wales.”
McConville said if the industry could further explore and develop gas resources with far-sighted support from governments, Australia’s natural gas could continue to underpin a nation-building shift to a lower carbon, sustainable energy economy.