PERTH (miningweekly.com) – The Australian Competition and Consumer Commission (ACCC) has called for submissions on its inquiry into the East Coast gas market.
The ACCC East Coast gas inquiry would consider the competitiveness of wholesale gas prices and the structure of the upstream, processing, transportation, storage and marketing segments of the gas industry. The inquiry started in April this year, and was due to report to the government by April 2016.
“Since the inquiry commenced, the ACCC has been engaging broadly to hear first-hand issues and concerns of participants in the East Coast gas market. Gas users, for example, have suggested that there are difficulties in gaining offers to supply gas, and they feel that this is evidence of a noncompetitive market,” said ACCC chairperson Rod Sims.
"Conscious of the reviews to date, the ACCC is seeking specific examples of conduct, negotiations and market practices that show the operation of the market during this time of transition. These could go to issues such as difficulties in obtaining gas, deteriorating nonprice terms and conditions, or increases in price.”
The issue paper released this week would focus on the impacts of liquefied natural gas (LNG) export gas on gas flows and the domestic gas industry, rising domestic gas prices, negotiation processes, access to essential infrastructure, the availability of information, and pipeline development and access to capacity.
"The issues paper forms part of the ACCC inquiry process. Other tools include continuing consultation with industry, conducting public and private hearings, and modelling of the East Coast gas system. The ACCC will also exercise compulsory information powers as required to access information not available to other inquiries,” said Sims.
Submissions to the ACCC were due by July 2.