Albanese government announces gas reservation plan to address supply and price

The Albanese government unveiled a gas reservation scheme on December 22, 2025, requiring exporters to reserve 15% to 25% of new gas production for Australia's domestic market. Energy Minister Chris Bowen said this would provide 200 to 350 petajoules annually, addressing forecast shortfalls and creating slight oversupply to drive down prices. The scheme applies only to new contracts from 2025 but won't commence operations until 2027, with detailed consultations beginning in 2026. The plan operates through permits and will be national in scope, working with existing state mechanisms like Western Australia's reservation scheme. The government aims to secure gas supply during the energy transition while minimizing impact on LNG trade partners. The announcement was delayed from mid-December due to the Bondi attack.