We are securing additional gas storage and reducing demand for it to slash Victorian energy bills and preserve supply for those who need it.
Legislation has been introduced into the Victorian Parliament that will:
- allow offshore gas storage projects in Victorian waters, and
- enable specific consultation on the energy transition.
Building Legislation Amendment and Other Matters Bill 2024
This Bill will allow formal consultation to take place on different options for electrifying Victorian homes when existing gas appliances reach end of life.
The following will not be impacted:
- gas cooktops in homes
- gas appliances in existing commercial buildings and industrial, agricultural and factory facilities
- the use of LPG (liquefied petroleum gas).
All new homes that need a planning permit are already required to be built all electric. The consultation will consider expanding this to all new homes and many commercial buildings, too.
Draft regulations will be released for consultation in December 2024. An extended public consultation period will follow, where formal submissions can be made via Engage Victoria.
Offshore Petroleum and Greenhouse Gas Storage Amendment Bill 2024
Gas can be safely stored in underground reservoirs deep in rock layers, where it formed naturally before being extracted.
Victoria has used onshore gas storage to meet demand throughout winter for many years.
This Bill will allow gas to be stored in empty gas reservoirs offshore, to boost supply security. It will provide investment certainty to these critical projects. It will also strengthen accountability and regulatory oversight of operators of storage sites.
Gas in Victoria
Victoria is the largest user of residential gas in Australia. 2 million households and businesses are connected to the reticulated gas network.
Increasing our gas storage will increase reliability and security during periods of high demand. It will also support our gas-powered electricity generators. Gas currently provides around 2 to 5% of Victoria’s total electricity generation on average.
Converting an existing home from gas to all-electric will save the average family $1,700 per year. If they add rooftop solar, they could save $2,700 per year.
Page last updated: 12/09/24