The one great thing about capitalism is that it abhors any area of excess profitability, unless of course it is distorted by policy, as in the case of nearly every Australian “market”.
But at least we can say today that one such area of rent seeking is under sustained attack, via the Australian Energy Market Operator (AEMO):
The 2018 Gas Statement of Opportunities (GSOO) contains AEMO’s projections for demand, and information from gas producers about reserves and forecast production, to assess the projected supply-demand balance and potential supply gaps under a range of plausible scenarios for the outlook period to 2038, for the eastern and south-eastern Australian gas markets. This 2018 GSOO, however, comes after an eventful year in the gas industry and in the context of policy and market changes affecting demand and supply in Australia and globally. This GSOO assessment reflects these changes.
