{"id":108171,"date":"2025-12-22T09:34:00","date_gmt":"2025-12-21T22:34:00","guid":{"rendered":"https:\/\/en.econostrum.info\/au\/?p=108171"},"modified":"2025-12-21T21:51:19","modified_gmt":"2025-12-21T10:51:19","slug":"gas-prices-are-soaring","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/au\/gas-prices-are-soaring\/","title":{"rendered":"Gas Prices Are Soaring : Australia\u2019s \u2018Cheap Energy\u2019 Era Is Officially Over"},"content":{"rendered":"\n

Gas prices keep climbing, and there\u2019s no sign they\u2019ll slow down anytime soon. As the Albanese government prepares to roll out a new plan to make energy more affordable, Australians are still facing higher bills. The promise of cheaper gas is starting to sound like a distant dream.<\/p>\n\n\n\n

Gas Bills Keep Rising<\/h2>\n\n\n\n

According to the Australian Bureau of Statistics<\/a>, household gas bills have surged by around 130% over the past 15 years \u2014 and almost 50% in just the last five. The price jump hasn\u2019t hit everyone equally: households in Melbourne, Sydney, Adelaide, and Canberra have endured the biggest increases, while Perth, Darwin, and Brisbane have been relatively spared.<\/p>\n\n\n\n

It\u2019s not just households feeling the squeeze. Manufacturers have seen gas costs jump by 120% since 2010, far outpacing inflation<\/a>, which rose by about 50% over the same period. Analysts say higher gas prices added roughly $4.3 billion to Australian energy bills in 2023\u201324 alone. Those costs don\u2019t just hit families \u2014 they ripple across industries, pushing up prices for everything from food to construction materials.<\/p>\n\n\n\n

\"gas\"
Change in household gas costs. Guardian graphicSource: ABS<\/figcaption><\/figure>\n\n\n\n

 <\/h2>\n\n\n\n

Why It\u2019s Happening<\/h2>\n\n\n\n

Experts say Australia is simply running out of cheap gas, reports The Guardian<\/a>. The once-abundant Bass Strait reserves \u2014 the backbone of Australia\u2019s energy supply for decades \u2014 are dwindling. The new fields being developed are more remote, harder to extract, and more expensive to operate. In short, the easy gas is gone.<\/p>\n\n\n\n

The second factor is global. Since the rise of liquefied natural gas (LNG) exports from Queensland in 2014, Australia\u2019s domestic gas prices have become linked to international markets. As overseas demand has grown, so have local prices. Essentially, Australians are paying export-level rates for gas produced right at home.<\/p>\n\n\n\n

The third issue is competition \u2014 or rather, the lack of it. Just three major LNG producers control nearly 90% of the gas reserves on Australia\u2019s east coast. That level of dominance means prices are set under what analysts call \u201cscarcity pricing,\u201d even though the country still has large reserves underground.<\/p>\n\n\n\n

\n

Why are Australians paying so much for gas \u2013 and will Labor\u2019s new scheme bring down prices? https:\/\/t.co\/xluRX4kPcm<\/a><\/p>— John Rowsthorne (@JohnRowsthorne) December 20, 2025<\/a><\/blockquote>