8.1
During the course of this inquiry, the Senate Economics References Committee (the committee) received evidence from a range of witnesses and examined a number of matters of concern. In the evidence presented, several common themes emerged, with implications for public sentiment emerged. These included issues relating to the strategic outlook for oil and gas, as well as matters relating to taxation, transparency and infrastructure decommissioning associated with Australia's national oil and gas reserves.
8.2
The committee recognises the key role gas plays in creating economic growth and export income earnings for Australia. It also recognises the many thousands of jobs the industry creates and sustains. Equally the committee understands that domestic use and international exports of gas will change as Australia and its trading partners move towards net zero emissions by 2050.
8.3
This inquiry has focused on the maximisation ofAustralia's oil and gas reserves for the benefits for all Australians. The development of Australia's oil and gas reserves have delivered prosperity to many Australians, however, there is always the opportunity to develop and diversify these benefits and opportunities.
8.4
While the transition to low-emission energy occurs, gas will continue to play an ongoing role and remain a critical feedstock for many manufacturers, separate to its utility as an energy source. As such, several submissions, including by the Australian Workers' Union (AWU), have continued to emphasise the importance of ensuring that an affordable gas supply is made available to domestic manufacturers.
8.5
The committee heard that there are significant opportunities for the transition and diversification for the oil and gas industry, including through the development and production of alternative, green fuels or renewable energy sources including green hydrogen. Furthermore, there are opportunities for existing expertise and technology, and some existing infrastructure to be utilised in a lower-carbon future—for example through carbon capture, utilisation, and storage (CCUS), pipeline repurposing, floating hydro, or wind generation platforms.
8.6
The committee heard that Australia's oil and gas industry will be increasingly focussed on decommissioning activities from 2025 as infrastructure ages and fields mature and close.
8.7
The committee recommends that the Australian Government consider reviewing the benefits of the oil and gas industry and whether there are opportunities to develop and diversify the industry for the benefit of all Australians. Consideration should also be given to including a review of the domestic gas security mechanism to ensure that it remains fit for purpose.
8.8
As Australia transitions to net zero emissions by 2050, the committee recommends that the Australian Government consider supporting the diversification and transition to clean and renewable energy especially in areas like green hydrogen, with a role also for blue hydrogen. It is critical to ensure workers are not left behind and this could be achieved through measures like new energy apprenticeships to ensure that the necessary skills are developed.