Prime Minister Scott Morrison said the Government would reset the east coast gas market and create a more competitive and transparent Australian Gas Hub by unlocking gas supply, delivering an efficient pipeline and transportation market, and empowering gas customers.

The Government will get more gas into the market by:

We will boost the gas transport network by:

To better empower gas consumers, the Government will:

"To help fire our economic recovery, the next plank in our JobMaker plan is to deliver more Australian gas where it is needed at an internationally competitive price," the Prime Minister said.

"We'll work with industry to deliver a gas hub for Australia that will ensure households and businesses enjoy the benefits of our abundant local gas while we hold our position as one of the top global liquefied natural gas (LNG) exporters," the Prime Minister said.

"This is about making Australia's gas work for all Australians. Gas is a critical enabler of Australia's economy.

"Our competitive advantage has always been based on affordable, reliable energy. As we turn to our economic recovery from COVID-19, affordable gas will play a central role in re-establishing the strong economy we need for jobs growth, funding government services and opportunities for all."

Minister for Energy and Emissions Reduction Angus Taylor said reliable and affordable gas was more important now than ever.

"A gas-fired recovery will help Australia's economy bounce back better and stronger while supporting our growing renewable capacity and delivering the reliable and affordable energy Australians deserve," Minister Taylor said.

"We are building a robust and competitive gas industry that will allow both gas producers and users to thrive, with lower prices and lower emissions benefiting all Australians."

Minister for Resources, Water and Northern Australia Keith Pitt said the Government's Gas Plan would drive job creation and economic growth in northern and regional Australia.

More reading: The Beetaloo is the gas key.

"This commitment will encourage investment to unlock Australia's vast resources potential - boosting exports, jobs and energy supplies," Minister Pitt said.

"Developing Australia's untapped gas resources will help to deliver more affordable and more sustainable gas supply that supports households and businesses."

Gas supports the manufacturing sector, which employs over 850,000 Australians and is an essential input in the production of plastics for PPE and fertiliser for food production. In 2019, Australia was the largest exporter of LNG, with an export value of $49 billion.

Low gas prices also drive down electricity prices, benefiting all Australian households and businesses. Gas complements our world leading renewables sector by keeping the lights on when the sun isn't shining and the wind isn't blowing.

The Government wants the private sector to step-up and make timely investments in the gas market. If the private sector fails to act, the Government will step in - as it has done for electricity transmission - to back these nation building projects. This may include through streamlining approvals, underwriting projects or the establishment of a special purpose vehicle with a capped Government contribution.

The Government has already taken a number of important steps to ensure affordable and reliable gas prices for Australian users, including increasing domestic supply through the Australian Domestic Gas Security Mechanism, supporting the development of the Beetaloo Basin, and successive Heads of Agreement with east coast LNG exporters.

Gas is part of the Government's plan to reduce emissions without imposing new costs on households, while at the same time creating jobs, growing businesses and the economy.

The Prime Minister said the Government would also work with state governments through a program worth up to $250 million to accelerate three critical projects - the Marinus Link, Project Energy Connect and VNI West interconnectors.

"These links will help put downward pressure on prices, shore up the reliability of our energy grid and create over 4,000 jobs," the Prime Minister said.

"Our plan for Australia's energy future is squarely focused on bringing down prices, keeping the lights on and reducing our emissions and these interconnectors bring us a step closer to that reality."

Together with the Government's existing support for HumeLink and the QNI Interconnector, this means we are accelerating all priority transmission projects identified in the AEMO Integrated System Plan.

The Government's plan will hold the energy companies to account and maintain downward pressure on electricity prices while simultaneously developing the backbone of a reliable, lower emissions National Electricity Market for the next decade and beyond.

The industry has already welcome the PM's strategy.

The Australian Government has today outlined key steps to help grow Australia's oil and gas industry.

"Today's announcement is a good first step to reinvigorate Australia's oil and gas industry, which will be important to help power Australia's economic recovery," APPEA chief executive Andrew McConville said.

"Reliable and competitively priced energy is crucial to the health of our nation's economy. While the average wholesale gas price in Australia last year was around 40 per cent less than the average wholesale price for the Asia Pacific region, more can be done to lower the retail price paid by consumers and businesses.

"APPEA and its members will work with the Government as it looks to extend the Heads of Agreement with the three east coast LNG producers. The Government's plan recognises there is no silver bullet to driving down gas prices and that several steps need to be taken."

Mr McConville congratulated the Government on its support to develop Strategic Gas Basin Plans for the Galilee, Beetaloo and North Bowen Basins.

"Australia has world-class resources reserves, and developing these basins provide stable, secure and affordable energy for Australia for decades to come," Mr McConville said.

"Exploration and development of these basins are critical to the enduring supply challenge Australia faces. Without exploration, there is no gas. Encouraging exploration activities by extending the Junior Minerals Exploration Incentive (JMEI) and allowing junior oil and gas explorers to access the scheme would help fast-track the exploration work that needs to be done in firming up these resources.

"This needs to be matched with improving the investment attractiveness of Australia to ensure we get scarce global capital so this can happen, and we welcome the Government's commitment to work with individual states and territories to improve the regulatory and investment environment."

APPEA also supports the Government's announcement to develop a National Gas Infrastructure Plan.

"Australia's sparse geography and distance to market mean that underpinning gas pipeline infrastructure is critical to delivering affordable gas to Australian businesses and consumers," Mr McConville said.

Australia's oil and gas industry has invested more than $350 billion in oil and gas supply infrastructure development over the past decade, has contributed to government revenue through the payment of $71.6 billion in tax payments and levies, and directly supports 80,000 jobs.

"As a critical enabler of the Australian economy, the oil and gas industry recognises today's announcement as a valuable contribution in ensuring that Australia can unlock the next wave of investment to help underpin Australia's economic recovery out of the COVID-19 recession," Mr McConville said.

Like other industries, Australia's oil and gas sector faces an enormous challenge in recovering from the COVID-19 pandemic.

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