The Australian Pipelines and Gas Association (APGA) says it is “deeply disappointed” in the ACT Government’s “ideologically-driven” decision to ban new gas connections, saying it will cost Canberra consumers dearly.
The passage of the Climate Change and Greenhouse Gas Reduction (Natural Gas Transition) Amendment Bill in the Legislative Assembly represents policymaking by ideology over an evidence-based approach, says APGA chief executive, Steve Davies.
He said the Association was supportive of measures to reduce emissions in households by phasing out natural gas and have advocated for a dual pathway of electrification and renewable gases to reach net zero by 2045.
“The ACT Government’s claim that the Territory is run on 100% renewable energy is incorrect, with the Clean Energy Regulator’s most recent data determining the composition of the ACT’s grid as having more than four times higher emissions intensity than natural gas,” said Mr Davies.
“The transformation of the economy to net zero emissions is a monumental undertaking and all technologies will be required to play as big a role as possible to reduce emissions quickly and efficiently.
“The energy transition is not a race between technologies. It will require a collective effort where we harness the strengths of each technology available to deliver the best outcome,” he said.
Mr Davies said every Canberra home that electrifies today and in the foreseeable future will increase the Territory’s reliance on NSW’s coal-fired generation and increase overall emissions.
“This is a short-sighted decision that’s worse for the environment and for consumers.”
“No one is arguing for natural gas to remain long-term, but the fastest and most cost-efficient way to decarbonise is through a dual pathway, which includes electrification and renewable gas. Not a gas ban which levies tens of thousands of dollars in additional costs to households during a cost-of-living crisis.”
He said the ACT Government is yet to reveal how it will finance and deliver additional capacity for an expected 150% uplift in peak demand required to electrify gas use, nor outline how it will replace more than 2,574km of the ACT’s existing overhead electricity network which is at the end of its usable life.
In the ACT, the gas distribution network delivers approximate 43% of total energy consumed, with the electricity network delivering the remaining 53%.
Independent analysis by Redbridge Group conducted in March 2023 found the vast majority of residents in the ACT had a favourable or very favourable view toward the use of renewable gases in the home (48.3%) while fewer than one in five were against (16.4%). The remaining 35.4% were undecided.
