Federal MP Bob Katter has launched a strong defence of the government's domestic gas reservation scheme, declaring it a critical measure for securing the future of North Queensland's heavy industry and manufacturing sector.
Katter Champions Policy for Local Jobs and Energy Security
The outspoken Member for Kennedy argued that the policy, which mandates a portion of gas from new projects be set aside for the domestic market, is essential for keeping local factories operational and protecting Australian jobs. He framed the issue as a fundamental choice between supporting local industry or allowing resources to be exported with no benefit to the national economy.
"We can either have the gas here to make things and employ people, or we can send it overseas and have it employ people over there," Mr Katter stated bluntly. His comments underscore a long-standing debate about resource sovereignty and economic value-adding within Australia.
Tangible Benefits for Townsville and the North
The practical impact of the scheme is already being felt in the region. Mr Katter pointed to the Queensland Pacific Metals (QPM) TECH project as a prime example. This major initiative, located near Townsville, is set to process critical minerals for the battery industry.
Thanks to the reservation scheme, QPM has secured a guaranteed gas supply from Senex Energy's Atlas project in the Surat Basin. This deal is projected to provide significant cost savings. Mr Katter revealed the gas would be supplied at approximately $9 per gigajoule, a stark contrast to the soaring prices on the volatile east coast spot market, which have recently exceeded $40 per gigajoule.
"This is what the gas reservation is delivering – affordable, reliable energy for projects that mean jobs for Townsville and North Queensland," Mr Katter said.
A Counter to Critics and a Vision for the Future
The policy has not been without its detractors, primarily from gas producers and some market purists who argue it distorts investment and market dynamics. However, advocates like Mr Katter dismiss these concerns, prioritising energy security for domestic manufacturing.
He views the scheme as a non-negotiable pillar for re-establishing Australia as a nation that makes things. By ensuring local access to local resources, the policy aims to prevent the offshoring of jobs and industrial capability, providing a stable foundation for projects in critical minerals, processing, and manufacturing.
The success of the QPM project, underpinned by reserved gas, is now held up as a model for how resource policy can directly stimulate regional development and high-value employment in areas like North Queensland.
As global energy uncertainty continues, the debate over the domestic gas reservation scheme is likely to intensify. For leaders in resource-rich regions, the equation remains simple: Australian gas must first serve Australian industry and Australian workers.
