Energy reports
Beetaloo: No Answer for East Coast Gas
Year - 2026 Partners - Australian Conservation Foundation + Environment Centre Northern Territory
This report shows The Beetaloo Basin is not an answer for East Coast gas concerns, and if developed will be too slow and too expensive. The report shows that:
Beetaloo Basin gas is up to 2.5 times more expensive than gas produced from existing fields in Queensland - in addition, new, expensive pipeline infrastructure would need to be built, and proponents will likely seek subsidies from the Government and recover costs via high gas transmission fees on gas users.
Gas from the Beetaloo Basin would take at least five years to reach the East Coast market - in reality mega projects in Australia are delivered over budget and overschedule with high risks of delays to be expected and compounded by the remoteness of the project.
Gas demand in Australia is collapsing - over the last 10 years, gas use for power generation in the National Electricity Market decreased by 48% (88 PJ) while at the same time overall gas use has decreased 19% in Victoria (40 PJ) and 19% in NSW (28 PJ). This trend, and broader electrification across households, industry and power, is likely to continue at pace as successive wars in Ukraine and the Middle East highlight the risks of high gas dependence and price hikes.
Australia has a gas export problem - concerns about a shortage of gas on the east coast are being driven by an oversized export industry. Australia exports 80% of the gas it produces and projected shortfalls for southern states are a function of LNG production and export, not supply.
So what is the solution? This report demonstrates that (ever more distant and declining) projected shortfalls in the East Coast gas market can be met with a flexible dynamic domestic gas reservation policy and a tax on exports. This will ensure that gas from Queensland is prioritised for the East Coast market and that Australian’s benefit.
The reality of cost and timing means that gas from the Beetaloo Basin would be would be too late to be meaningful in delivery of any short to medium-term supply. While proponents talk about Beetaloo Basin gas supplying the East Coast gas market, public comments make clear that gas exports are the main focus.