A recent report from the ACCC confirms that Australia’s East Coast gas supply will be sufficient for 2025, providing some relief to businesses that rely heavily on gas for their operations. However, the longer-term outlook remains unclear, with future supply shortages and price hikes posing a potential threat to commercial and industrial (C&I) clients.
The 2025 Gas Supply Forecast
The ACCC’s findings indicate that, despite growing domestic demand, gas production will be able to meet requirements for the next 12 months. This is positive news for businesses that rely on stable gas prices to manage their energy costs. However, after 2025, supply uncertainties are likely to intensify, with key factors including increased export demands, depleting gas reserves, and regulatory challenges.
East Coast gas prices have already seen volatility in recent years, particularly for large consumers. According to the Australian Energy Regulator (AER), gas prices rose by as much as 10% in the last financial year, and future increases could be even more severe.
“While the forecast for 2025 may offer some reassurance, the reality is that longer-term gas supply remains a significant concern. From my experience, businesses need to act now, exploring alternatives like renewable energy and securing long-term contracts to protect themselves against potential volatility in the market.”
– Nick Halaris, Energy Specialist
What Does This Mean for C&I Clients?
While the short-term forecast is stable, businesses should consider planning ahead to mitigate future risks. The unpredictable nature of the gas market means that companies dependent on gas could face significant price shocks beyond 2025. Diversifying your energy portfolio is one way to safeguard your business from potential supply disruptions and price volatility.
At Power Maintenance, we recommend exploring alternative energy options, such as renewables and energy efficiency measures, to reduce dependency on gas. Additionally, locking in long-term contracts while prices are relatively stable could provide some protection from future hikes.
To learn more about how to future-proof your energy strategy, contact PowerMaintenance today for a consultation.
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Energy costs can have a significant impact on your business’s profitability, but with the right partner, you can take control of these expenses. Power Maintenance is here to help you navigate the energy market with confidence. Whether you’re a small business or a large enterprise, our customised solutions and expert guidance will ensure that you’re always getting the best deal.
Source: ACCC Media Release
