Australia Softens Gas Export Rules Amid Asian Concerns

The Australian government has softened its proposed gas supply rules to address concerns from Asia and local producers. The revised policy requires liquefied natural gas shippers to reserve up to 20% of their export volumes for local customers, aiming for a 10% domestic oversupply each year.

The concession comes after consultations with local gas producers and buyers, as well as officials from Japan, South Korea, and Malaysia. The Asian nations had lodged appeals through the Department of Foreign Affairs and Trade seeking certainty over contract protections.

Energy Minister Chris Bowen said trading partners had engaged constructively with the government, seeking reassurance that existing contracts would be honored. He described the changes as a 'sensible calibration', taking on board feedback from across the industry.