Leaky gas progress could lead to a NSW exodus

The situation for the New South Wales gas industry is critical, according to business leaders, and may force some large commercial users to leave the state altogether.

Late last Wednesday, at the Australian domestic gas outlook conference in Sydney, I said to Mike Moraza, group general manager of upstream energy at AGL Energy, “Look, today’s discussion has gone a number of times to this issue of problems of gas supply for New South Wales – my question is whether this is a crisis still to come or is it already a crisis?”

Moraza’s reply was: “This is a crisis now. That’s a fact. We have run out of time (in New South Wales). We are not going to be able to fill the supply gaps that will emerge at the end of 2016.”

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