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flag Australia mandates 15%-25% of new gas exports go to domestic use starting Dec. 22, 2025, to lower prices and support industry.

flag Australia has introduced a policy requiring gas exporters to reserve 15% to 25% of gas from new contracts for domestic use, effective from December 22, 2025, and fully in place by 2027. flag The move aims to lower soaring wholesale gas prices—up from $4 to over $12 per gigajoule—and ease pressure on energy-intensive industries like steelmaking. flag While manufacturers welcomed the plan, they stressed that real price reductions are essential for success. flag The policy targets supply challenges as aging Bass Strait fields decline, with potential solutions including expanded pipelines from Queensland or new import terminals in cities like Newcastle and Melbourne. flag The government also offers financial incentives to transition to electric heating. flag Environmental groups warn the policy could prolong fossil fuel dependence despite Australia’s existing gas surplus, urging strong safeguards to align with climate goals.

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