A parliamentary inquiry into WA’s limits on gas exports has found it is no longer fit for purpose, and has suggested government intervention may be necessary to prevent gas shortfalls.

Introduced in 2006, the WA domestic gas reservation policy requires 15 per cent of offshore gas to be quarantined for the local market, and prevents onshore gas from being exported.

During the energy crisis in the eastern states last year, the policy was hailed as a masterstroke.

But the inquiry’s interim report, to be tabled in state parliament this morning, says the current policy is unlikely to mitigate looming gas shortfalls, which it warns could threaten thousands of jobs and jeopardise billions of dollars of economic activity.

The committee conducting the inquiry says while WA has relied on gas producers to do the right thing and adhere to the principles and spirit of the policy, there’s a case for government intervention.

Loading

Loading