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Is this industry propaganda trying to create a fait accompli?
Industry sources have told The Australian that there are growing indications the government will amend the proposed scheme, as it is aware its original design risks undermining investment in future gas supplies.
One of the most contentious elements is the requirement that LNG exporters make 110 per cent of forecast domestic gas demand available to Australian buyers, an obligation the industry claims could distort the market and drive down prices to levels that discourage new exploration.
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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific's leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
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