Gas suppliers warned that the newly enforced price caps have made it harder for the industry to help bring down Australian electricity prices through “immense uncertainty” to investment in domestic supply projects.
Samantha McCulloch, chief executive of the Australian Petroleum Production and Exploration Association (APPEA), said investment in new supply was the key to providing economic relief to Australians.
“But the ongoing uncertainty around permanent regulation of gas prices in Australia under a mandatory code of conduct is making it very difficult for the industry to secure investment in new supply,” she told reporters in Canberra on Jan. 17.
McCulloch warned that the price cap reforms sent a message to international investors that Australia was “no longer a safe and stable destination for investment.”…