The Australian Industry Group has welcomed the Victorian Planning Minister's announcement that a gas import terminal is a step closer to being built.
The Victorian Head of Ai Group, Tim Piper, said that the environmental effects statement, which found the project was possible with some protections, was a boost for industry in Victoria, particularly given the reliance on gas as a fuel source.
"Viva Energy's gas terminal project remains a few years off, so it's pleasing that the State Government has recognised the company needs certainty in order to arrange finance and other factors for the terminal in the early stages.
"While overall State gas use is gradually shrinking, Victoria's heavy industry, in particular, relies on gas and there is real concern that gas supplies could run short in the state within a few years. We need an all-of-the-above energy strategy to avoid that. An import terminal is one important tool in the belt, along with expanded north-south pipelines, local supply development, alternative supply from renewable gas, and efficient electrification.
"This is an important change of direction from the Government, to recognise the need for this terminal and to facilitate it with conditional planning approval.
"Victorian businesses need energy to be affordable and secure. Gas off a ship won't be cheap in itself, but it can forestall a supply squeeze that would send prices rocketing. We do need all the options available, including an input terminal in Eastern Australia, to provide certainty that supply won't fall short of industry's energy needs," Mr Piper said.
Mr Piper commended the Government's approach and said he hoped this was recognition of the role that gas will play in Victoria's industrial landscape for the foreseeable future.
Further comment:
Tim Piper – 0411 430 301
