Cement manufacturer Adelaide Brighton has signed deals with two new energy providers for the supply of gas and electricity to its South Australian operations. The company has entered into an agreement with Beach Energy for the supply of gas, and also Infigen Energy, who will supply electricity to the manufacturer’s plants in Birkenhead and Angaston. … Continue reading SA manufacturer signs two new energy deals
A deal has been struck between Prime Minister Malcolm Turnbull and representatives of the gas industry following a warning of shortages along the east coast. Shell, GLNG Operations and Australia Pacific LNG have all agreed to secure more supply over the next two years amid a looming energy crisis. The move follows a report released last … Continue reading Gas agreement offers industry ‘breathing space’
Chemistry Australia CEO Samantha Read has said that manufacturers in the Australian chemistry industry are not seeing an end to rising east coast gas prices. “While there has been some important Government action, the crisis is not over,” said Read. “If anything, there appears to be continued upward pressure both on the cost of gas … Continue reading Gas prices still rising for manufacturers
From July 1, South Australia will surpass Denmark as having the most expensive power in the world. Energy companies AGL, EnergyAustralia and Origin Energy will all be increasing their electricity prices this Saturday. On average, AGL will be increasing its prices by 18 per cent, EnergyAustralia by 19.9 per cent, and Origin Energy by 16.1 … Continue reading SA power prices to become world’s most expensive
Australia’s biggest manufacturer, steel giant BlueScope, has controversially backed a clean energy target for the energy sector. It is unreasonable to favour the provision of affordable and reliable energy over reducing carbon emissions, according to BlueScope chief executive Paul O’Malley. Therefore, he has called for politicians to get behind a clean energy target as a … Continue reading Australia’s biggest manufacturer backs clean energy target
AGL has announced plans to invest $295 million to develop a 210mW gas-fired power station alongside the company’s Torrens Island plant, near Adelaide. Construction of the Barker Inlet power station is scheduled to begin later this year, with full operation expected to be underway in early 2019. “Our decision to move ahead with this development reflects … Continue reading AGL announces development of $295m gas-fired power station
The development of a floating liquefied natural gas (LNG) import facility off Victoria has been suggested as a means to address rising energy costs. The Andrews government is allegedly in talks with energy provider AGL to build the LNG import terminal close to Melbourne, potentially in Western Port. The facility would supply to the east-coast … Continue reading Plans for offshore LNG facility to address energy crisis
Esso Australia has announced the completion of its Longford Gas Conditioning Plant, which processes gas from the Kipper Tuna Turrum development. This marks the conclusion of the $5.5 billion Kipper Tuna Turrum project. Located in Longford, Victoria, the Kipper Tuna Turrum gas fields and conditioning plant will process 1.6 trillion cubic feet of natural gas to … Continue reading Esso completes new gas conditioning plant
Rising energy costs and lack of reliable supply are threatening to push Australia’s red meat processing offshore. The Australian Meat Industry Council (AMIC) is currently conducting a survey of its members to determine the scale of the problem and help create an energy policy for the industry. According to AMIC’s Robert Barker, affordable and reliable … Continue reading Energy costs threaten Australia’s biggest manufacturing industry
Santos has come under pressure from manufacturers demanding that it honours pledges to the domestic market in its $18.5 billion Gladstone Liquified Natural Gas (GLNG) export venture. Complaints have been made after GLNG has been forced to buy domestic gas to make up a shortfall in the project, it has been reported in the AFR. … Continue reading Pressure on Santos to honour GLNG pledge to domestic gas chains
Energy company AGL claimed that Australian manufacturers will be short of gas this winter unless LNG from Queensland is reserved for local industry, according to the AFR. The advice comes as some Australian manufacturers worry that the gas shortage is much worse than first feared. AGL head of wholesale markets Richard Wrightson that he did … Continue reading Winter is coming and Australian manufacturers could be short of gas
The Queensland government’s gas pilot program provides good template for how gas could be developed on Australia’s eastern seaboard, according to Manufacturing Australia. The program provides a piece of land in the Surat Basin for gas extraction solely by domestic companies and manufacturers. “If gas intensive manufacturing is to continue in Australia we need more … Continue reading Queensland government gas pilot program shows the way
Australian Competition and Consumer Commission (ACCC) chief Rod Sims said that Australian manufacturers face lack of financial sustainability due to increasing energy prices, according to a report by the AFR. The report said that according to an analysis of national energy markets conducted by the ACCC, Australian manufacturers are too dependent on gas for power. … Continue reading Energy price hikes continue to affect Australian manufacturers
Australian industry has backed AGL’s $300 million plan to import Liquid Natural Gas (LNG) into NSW & Victoria from Western Australia, according to The Australian Financial Review. The plan comes as manufacturers and industry have complained about increasing gas prices and concerns that too much of Australia’s local supply of gas is being exported. The … Continue reading Australian industry backs AGL gas plan
Australian industrial gas users are seeing prices doubling – if they can get contracts at all – with the next two years cited by Manufacturing Australia as a “crunch point” for customers.
Industry minister Greg Hunt met with executives from some of Australia’s major energy companies yesterday to discuss the “looming shortage” of the resource for manufacturers.
The Australian Food and Grocery Council releases its State of the Industry annual report today, and despite a healthy growth in export figures, has pointed to a strain on the industry through energy costs.
Electricity is a major cost for many manufacturers and a business-critical requirement for all. Price and reliability matter. And right now both seem to be under a cloud. In South Australia, contract prices have been increasing sharply, and short-term spot prices reached extraordinary highs in July.
The Victorian government has announced it will permanently ban unconventional gas, often produced through the controversial process of hydraulic fracturing or “fracking”. Legislation to implement the ban will be introduced this year.
Australian manufacturers are facing ever-escalating prices for gas. In 2016, local spot gas prices have gone from being substantially less than those in Japan to being substantially more. Spot prices will put pressure on contract prices.