Business

Oil and gas industry says budget will spread the burden

THE oil and gas industry has welcomed the federal budget, saying decisions announced on Tuesday night would spread the burden across all segments of the Australian community and the economy.

Australian Petroleum Production and Exploration Association chief executive David Byers said there was no simple or single solution that would ensure Australia captured a new wave of growth and prosperity.

"Securing economic growth in an ongoing and sustainable manner will require us to focus as a nation on enhancing our productivity performance by removing unnecessary regulations, freeing up firms and workers to respond flexibly in a changing market, and to promote a culture of innovation," Mr Byers said.

"The critical role that Australia's oil and gas industry can play is through investment in the next phase of projects currently under review.

"The ongoing challenge for the Australian Government is to rein in spending, search for expenditure savings, impose budget discipline, and unshackle Australia's productive sectors via vital reforms of the labour relations regulatory framework.

"The Australian Government has made an important start in improving Australia's fiscal position, and with it, Australia's capacity to endure future global economic turbulence."

The association's budget response stated the budget was an important first step in improving Australia's fiscal sustainability and laying the foundation for long-term economic growth.

"Past and current investment in the oil and gas industry has underpinned Australia's economic performance over the past five years, and will provide an important stream of revenues for the Australian community when projects under construction reach production," the response read.

"In seeking to begin the process of fiscal consolidation, the Australian Government has recognised the challenges that lie before it - relatively weak productivity growth, falling terms of trade, and an ageing population. 

"Importantly, there are opportunities to continue to benefit from the rapid economic development that continues throughout the Asia-Pacific."

The oil and gas industry is part way through an investment of around $200 billion on seven LNG projects, including three in Gladstone, peaking with investment in 2013-14 of more than $50 billion.

The industry also has tens of billions of dollars' worth of projects under consideration.

Budget Paper No.1 reported exports of LNG were expected to grow significantly by 2015-16 as the more advanced LNG projects begin production. 

By 2015-16, the value of LNG exports is expected to be roughly double its current level. 

This would see it surpass both thermal and metallurgical coal, currently Australia's second and third largest exports by value. 

Continued robust growth is also expected beyond the forecast years as additional projects come online, with Australia likely to overtake Qatar to become the world's largest LNG exporter before the end of the decade, the paper read.

In relation to east coast domestic gas supply, Budget Paper No.1 recognises that supply challenges impact the market, saying: "restrictions on the spread of new gas extraction technologies are likely to make this problem more acute."

Topics:  appea federal budget 2014 lng oil and gas resources



10 best street art spots to take an Insta selfie

IF YOU are in need of a few trendy new Instagram snaps, then get your phone and selfie-stick ready and head to Brisbane.

Where to find the best coffee

Strauss is known for its superb brew.

COFFEE snobbery is at an all-time high.

Theatre royalty graces Brisbane stage

Don't miss Charles Edwards in this incredible theatre performance.

WHEN acting royalty comes to town, you sit up and take notice.

Don’t go chasing waterfalls…find them on these drives!

The Scenic Rim is just one place nearby that you'll love.

BRISBANE isn’t all bright lights and city slickers.

Your boots are made for walking these tours

Brisbane Greeters tours are a great way to learn the local history of the city.

YOU don’t need a bike or bus for a seriously good tour of Brisbane.

Drink where the cool kids do this summer

There are a bunch of new bars open in Brisbane, make sure you're there!

CHECK out these new funky bars.

Discover Brisbane’s laneway gems

Brisbane's laneways will surprise you.

NOT all of Brisbane City is as it seems…

Big plans to reboot Gladstone's business in 2017 revealed

ECONOMIC GROWTH: Gladstone's Chamber of Commerce is set to reboot the Buy Local scheme to help businesses.

HUGE, exciting plans to make Gladstone businesses a priority in 2017

Former Bechtel worker brutally killed mum of his child

Lionel Patea has been jailed for life for killing Tara Brown.

FORMER Bechtel worker stopped mum seeing kids, court hears.

'Major concern': Gladstone industry needs new coal power plant

NEW PLANT? Gladstone's industry desperately needs another one soon, according to one industry leader.

INDUSTRY leader believes cheaper electricity is needed to save jobs.

Local Partners

The true cause of the Oscars bungle

THE Oscars have ended with a moment that left everyone speechless — but not in a way anyone expected.

HUGE OSCARS FAIL: Wrong film handed Best Picture award

Presenter Warren Beatty shows the envelope with the actual winner for best picture as host Jimmy Kimmel, left, looks on at the Oscars on Sunday, Feb. 26, 2017, at the Dolby Theatre in Los Angeles. The winner was originally announced as La La Land, but was later corrected to Moonlight.

IN A monumental stuff-up, La La Land incorrectly named Best Picture.

Blue Heelers' Ditch Davey joins 800 Words cast

Ditch Davey joins the cast of 800 Words as Terry, the younger brother of George, played by Erik Thomson.

George Turner's brother, Terry, arrives to Weld with a 'few demons'

Oscars winners 2017: Full list of Academy Award winners

Viola Davis accepts the award for best actress in a supporting role for Fences at the Oscars on Sunday, Feb. 26, 2017, at the Dolby Theatre in Los Angeles.

WHO won Oscars this year? Here’s a full list of every winner.

Why can’t Nicole Kidman clap properly?

Nicole Kidman's style of clapping has puzzled Oscars viewers.

FOR some reason, it seems Nicole doesn’t really know how to clap.

Muslim actor makes Oscars history

Mahershala Ali accepts the award for best actor in a supporting role for Moonlight at the Oscars on Sunday, Feb. 26, 2017, at the Dolby Theatre in Los Angeles.

MOONLIGHT star Mahershala Ali makes Academy Award history.

NO ONE OFF LIMITS: Kimmel burns down the house at Oscars

Host Jimmy Kimmel speaks at the Oscars on Sunday, Feb. 26, 2017, at the Dolby Theatre in Los Angeles.

HOST delivers a torrent of abuse on Hollywood’s night of nights.

Price drop as Gladstone's best suburbs to buy a house revealed

Aerial View overlooking Kin Kora residential area, Gladstone.



Photo Brenda Strong / The Observer

HUGE price drop in a select few Gladstone suburbs reveals best buys.

Loaded Chinese family excited about buying Heron Island

The Heron Island Wedding Expo is set to offer people a great chance to get all the information they need on having a luxurious Heron Island Wedding. Photo Contributed

The long-term future of the resort and improvements were discussed.

Mining homes dive: $600k homes sell for $120k-$300k

18 Yeates Street, Moranbah sold for $135,000 in December, after being repossessed by a bank. The owners bought for $545,000 in August, 2011.

The economy still has two speeds, but with a painful twist

Mackay's property market climbing like a Rocket Man

Renewed confidence in Mackay means more homes are being snapped up by those eager to plant their roots in the region.

There's movement in the real estate sector and it's all positive.

'Why we drove 800km to buy a treehouse with a disco ball'

The new owners have planned a few updates, but will stick with much of the original design.

A couple travelled almost 800km for the home of their dreams.

Ready to SELL your property?

Post Your Ad Here!