How Australians were robbed of their own gas

The Rudd/Gillard Labor government made the disastrous decision in the early 2010s to authorise LNG exports from Gladstone, Queensland, without forcing gas producers to first serve the domestic market.

As a result of this policy blunder, East Coast Australia became the only gas exporting jurisdiction in the world without a domestic gas reservation policy. We also pay the highest gas costs in the world among gas-exporting countries.

Despite tripling gas output on the East Coast since the LNG terminals opened in 2015, 25% less gas has been delivered to the domestic market.

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About the author

Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.