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In today's edition:

Producers cheer greater acceptance of gas
Nature Positive by whatever name, just do it
Victoria finalises renewable energy handbook

Has the energy transition narrative changed?

The gas industry is figuring out what Labor’s thumping victory means for the sector and the broader energy policy landscape.

Labor may appear to have seized the initiative on more gas, with Woodside Energy greenlit on the North West Shelf extension, but it’s not a done deal.

Shareholder activist organisation Market Forces immediately kicked off a crowdfunding campaign for a fighting fund to take on the banks that will fund the “climate bomb” and provide the seriously big bucks to develop Browse.

“The North West Shelf extension is one step towards Woodside and its partners unleashing one of the biggest, dirtiest new gas fields in Australia: Browse. By itself, the Browse gas field off the coast of Western Australia could add 1.6 billion tonnes of carbon emissions, equivalent to running Australia’s largest coal-fired power station for another 118 years.

We know our people-powered movement works. None of Australia’s big four banks can finance the Browse project directly because of the hard-fought wins we’ve worked with you to lock into their policies. However, with Japanese companies like Mitsubishi and Mitsui partnering on Woodside’s projects, Japanese megabanks loom as major funding threats.” — Will van de Pol, CEO, Market Forces

Shadow Resources Minister Susan McDonald, reappointed just in time to speak on the final day of Australian Energy Producers annual conference, said her agenda included:

· How we can have better streamlined approvals

· How we can stop activist appeals

· How we can have bilaterals between state and federal government

· How we can get investment up again.

She said in an era where there's a requirement for more electricity not less, nuclear “is an important discussion to continue having”. But net zero remained a discussion for the party room, and she was hedging her bets on a gas reservation policy.

“We do not want to intervene in the market. We do not want to see the ADGSM triggered. We do not want to have reservations imposed retrospectively on industry. That is a fail, massive fail, of policy, if we get to that point,” she said.

“However, we do need to see more gas being made available to the domestic market at an affordable price in order for the industry to maintain its acceptability to the country.”

Read the full article

Nature Positive by whatever name, just do it

Conservation groups and clean energy investors called for urgent reform of environment laws, saying the national regime was the single biggest barrier to timely, environmentally responsible energy development in Australia.

“Any decision to stall the progress of much-needed Nature Positive reforms to the Environmental Protection and Biodiversity Conservation (EPBC) Act risks missing a crucial opportunity to address one of the most significant challenges facing investment in renewable energy projects across Australia.

The current iteration of the EPBC Act and its inherent limitations are a cause of significant delays to the construction of new renewable energy infrastructure needed to ensure that Australia can meet its renewable energy targets.” — Kane Thornton, CEO of the Clean Energy Council

With many federal approvals now taking more than two years, all parties want to see a faster yes or no, and the finalisation of the troubled Nature Positive reforms.

Windlab CEO John Martin this week told The Energy’s webinar audience he was hopeful much-needed changes to the EPBC Act recommended in previous reviews would finally be acted on in the coming term of government.

“It's one of those weird bits of legislation where almost every stakeholder hates the current formation of it, no matter where you sit. In that first term of government, we talked about it a lot, (there were) a whole lot of frustrating attempts at it..I think we really have to do something this time,” Martin said.

Political analyst Ben Oquist said the makeup of the Senate this time meant the government was more likely to pursue legislation it may have avoided in the past.

Expert view

"It is worth reflecting how close there was to an agreement on the EPA on the eve of the last election, where there almost was a deal essentially between Tanya Plibersek and The Greens to pass those EPA reforms, notwithstanding that the EPA part of the environment reforms to the EPBC is kind of the easiest part, and the bigger reforms were never even put to the Parliament, and not just because of the difficulty of negotiating with The Greens, but because they're difficult reforms to land.

“I do think the potential for the government to work the Senate in easier ways than before because it is just two clear paths - the Coalition or The Greens - rather than having the crossbench as well, means that they're more likely to pursue things that do require legislation…It's not going to be simple to navigate either the Coalition or The Greens, but it's possible.”

Ben Oquist
Director Climate and ESG, DPG Advisory Solutions

Catch up

Capital

Shifts in international gas markets, including a forecast global supply glut, could push export prices as low as A$13.50/GJ, IEEFA gas analyst Josh Runciman said, placing them broadly in line with recent domestic gas prices. Exporter Australia Pacific LNG (APLNG) recently lowered the LNG price under its large contract with Sinopec, leading APLNG part-owner Origin Energy (ASX:ORG) to declare a $55 million revenue hit.

Real estate investment manager Investa signed a six-year energy agreement with Origin Energy, underpinned by Origin’s PPA with the Stockyard Hill Wind Farm. Investa said under the deal it would procure renewable energy certificates equivalent to ~31.5 GWh of generation annually – enough to supply 100% of projected electricity demands of its managed buildings in NSW and the ACT through to 2031.

Projects

The Victorian Government said it had "fast-tracked $3.3 billion of renewable energy investment" under the Development Facilitation Program, as it released its Handbook for the development of renewable energy in Victoria. The handbook applies to onshore renewable energy facilities that are likely to have an impact on Victoria's threatened bird and bat species, and is expected to end ambiguity that had seen many projects given what they considered to be unworkable conditions.

Policy

Rewiring Aotearoa launched a policy manifesto to electrify everything. Vested interests will push back on a community-first electric future and many of the required actions to achieve this, the grassroots organisation said. The cumulative impact of dialing down individual actions will mean the vision can’t be achieved, the status quo will be preserved and New Zealanders will pay the price - quite literally, the group’s CEO Mike Casey warned.

Dutch-headquartered zinc and lead manufacturer Nyrstar (EBR:NYR) said international industrial policy settings were distorting global markets, eroding smelter operating margins globally and undermining the commercial viability of processing domestically. It released a report by economics research firm Mandala showing falls in Chinese zinc and lead smelter profitability and arguing Chinese smelters can withstand loss-making activities longer than their peers. Nyrstar Australia has a multi-metals processing and refining business in Port Pirie and Hobart producing lead, silver and zinc.

Regulation

Energy retailer Powershop paid more than half a million dollars in fines for failing to comply with life support obligations under the Australian Energy Regulator’s Retail Rules. The company received 8 infringement notices after self-reporting possible breaches dating back to 2023.

The Australian Energy Market Commission published version 229 of the National Electricity Rules, with minor changes including removing a provision in the model terms and conditions for standard retail contracts that allowed customers to opt out from a meter replacement. Retailers AGL, EnergyAustralia and Origin flagged the likelihood for confusion if they were required to notify customers of the change, so the AEMC agreed to remove a transitional rule on this point.

The US Supreme Court voted to narrow the scope of government-required environmental reviews of major infrastructure projects in a long-running case involving a rail line in Utah that would carry billions of gallons of oil. (The Washington Post)

People

Billionaire Tesla CEO Elon Musk has left the Trump administration.

“As my scheduled time as a Special Government Employee comes to an end, I would like to thank President @realDonaldTrump for the opportunity to reduce wasteful spending. The @DOGE mission will only strengthen over time as it becomes a way of life throughout the government,” he posted.

Research

Potential gaps in Australia’s hydrogen certification framework mean it could be out of alignment with emerging international standards, according to a new study from researchers at Monash University. The researchers also found restricting hydrogen production to local renewable supply undermines the balancing benefits of inter-regional electricity flows across the NEM.

California could add 53 GW of clean energy capacity through surplus interconnection, including 36 GW of solar, 17 GW of wind, and 26 GW of energy storage at existing sites without new transmission, according to a working paper by researchers at the University of California, Berkeley.

A Technology Translation Squad (TTS) set up by UNSW will provide critical engineering support to green tech startups to help them commercialise their products more quickly. Eligible applicants can access up to five free days of specialised support under the program supported by the federal Trailblazer for Recycling and Clean Energy (TRaCE) platform.

Lead Technology Translator Dr Matthew Priestly said big consultancy companies were prohibitively expensive for young companies and favoured projects with financial value. “We generally try to take on work that shows high potential to have a positive impact on Australia, our industry partner and the University. We are almost entirely impact focussed,” he said.

Energy storage startup Green Gravity was an earlier collaborator with TTS on a gravity-based system for long-duration energy storage. They are now pursuing a larger R&D project under the TRaCE program, and announced a $2.2 million deal with the UNSW team.

“Working with UNSW gives us access to deep technical expertise, particularly in power systems and grid integration. Our collaboration brings together industry knowledge and academic research to ensure our technology is efficient, safe, and ready for commercial deployment.” — Mark Swinnerton, Founder and CEO of Green Gravity

What's on

June 3
NEM review online forum

The National Electricity Market wholesale market settings review will hold a webinar to consult on reforms with those unable to attend in-person events.

June 3
AEMC Pricing review forum

The Australian Energy Market Commission will host a virtual public forum on its discussion paper looking at the role of electricity pricing in delivering consumer energy resources.

June 3
Australian Offshore Wind Industry Forum

Victorian Energy Minister, Lily D'Ambrosio and CEC Chief Executive Kane Thornton are headlining this Clean Energy Council event in Melbourne.

June 6
National Competition Policy analysis 2025

The Productivity Commission’s call for submissions has a June 6 deadline for an occupational licensing scheme that provides for labour mobility nationally and other competition reform options identified as a priority during the policy study.

June 6
Energy Horizons 2025

NEM review chair Tim Nelson and ARENA General Counsel Dr Cameron Kelly are among the speakers at Macquarie University’s Energy Horizons 2025: Innovation Across Evolving Energy Markets event in Sydney.

June 11
Australia Energy Regulator stakeholder forum

An online forum will be held with electricity and gas retailers and other stakeholders to discuss the findings of the Review of payment difficulty protections in the National Energy Customer Framework.

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The Energy

Has the transition narrative changed?