Before ParliamentEnvironment & Energy Introduced in the House of Representatives, 14 Oct 2026

Old gas price rules and export block would end

This bill changes older gas laws so a new gas reserve scheme can work. It would end the old tool for blocking gas exports. It would also drop the rules on gas prices and make selling gas to local buyers simpler.

Official name: Domestic Gas Reservation (Consequential Amendments) Bill 2026

Who it affects

• Companies that ship liquid gas overseas: The detailed rules for meeting their gas target, and the let-outs when they fall short, are set here.
• Gas producers that do not export: They could ask the watchdog to count their extra output as new gas, which exporters can buy to meet their target.
• Big gas sellers: The price rules and step-by-step offer process would go, but they must still deal fairly with buyers.
• Small gas sellers: Their let-off from the old price rules would go, since the price rules themselves would be scrapped.
• Factories and other big gas buyers: Sellers would have to post clearer details of the gas they have for sale, with ranges of amounts and dates.

Three old gas tools give way

Australia ships a lot of gas overseas as a liquid. This is called liquid gas, or liquefied natural gas.

The government wants more of that gas kept for homes and businesses here. It has put three bills to Parliament together.

The main one is the Domestic Gas Reservation Bill 2026. From 1 January 2028, exporters would need a licence. Each year they would have to sell gas at home equal to up to 20 per cent of their exports. A second bill sets a fee to pay the costs.

This third bill fixes up older laws so the scheme fits in. It changes three sets of rules.

The first is the Competition and Consumer Act 2010, Australia's main law on fair trade. The second is the Gas Market Code. That is a set of rules for how big gas sellers deal with buyers. The third is a set of export rules that holds the old power to limit gas exports.

The energy watchdog, the Australian Energy Regulator, would run the new scheme.

Fair trade law updated

Part 1 adds notes to the Competition and Consumer Act. They point readers to the watchdog's new jobs under the gas reserve law. They also point to its power to share what it learns.

It lets the Gas Market Code hold rules for the new scheme. These include rules on what counts as new gas. New gas is extra gas that would not have been produced anyway. Exporters can use it to meet their target.

The Gas Market Code can also give the watchdog and the energy minister power to make decisions and detailed rules.

Before any such change to the Gas Market Code, two ministers must agree. One is the minister in charge of the gas reserve law. The other is the energy minister.

Rules for counting new gas

Part 2 adds a new section to the Gas Market Code for the reserve scheme. It starts at the same time as the main gas reserve law.

Under the main law, an exporter can sell 90 per cent of its target and carry the rest over. This bill says when that is allowed. There are three cases.

In the first case, the exporter tried hard to sell the gas. It posted the gas for sale online and dealt fairly with buyers. It did not turn down any fair offer.

In the second case, a buyer had a right to call for the gas but chose not to use it.

In the third case, something out of the exporter's control stopped the gas getting through. A flood that cuts a pipeline is one example. So is repair work that could not be planned.

Each year the watchdog must guess how much gas each market will need. It must use the energy market operator's yearly gas forecasts. By 30 June it must also tell each exporter its likely target for the next four years. It must post these online.

Gas producers could ask the watchdog to set a baseline. Gas made above that baseline counts as new gas. Anyone in the gas market could also ask the watchdog to approve set amounts as new gas.

The watchdog must decide within 60 days. It can add conditions. Breaking a condition can lead to a court fine.

Simpler rules for selling gas

From 1 July 2027, the bill would change how big gas sellers deal with buyers.

Today a seller who wants to sell gas posts a public notice inviting buyers. Then it must follow set steps. These include keeping the notice open for at least 20 days, a first offer and a final offer. The bill would remove these steps. Sellers and buyers could agree on their own way to deal.

The notice must now give a range of amounts, a range of dates and where the gas would be delivered. It must be posted online within two days. If the details change, the seller must post an update within three days.

The bill would scrap the rules that set a reasonable price for this gas. The let-off for small sellers producing less than 100 petajoules a year would also go. A petajoule is a very large unit of energy. So would the special let-offs the ministers could grant to some sellers.

Sellers must still deal in good faith. When an exporter sells to a local buyer, two new questions would be asked. Did the exporter turn down a buyer's offer without good reason? Were the price and terms fair?

Sellers must keep records of their talks with buyers, including why a deal did not go ahead.

Old export block ends

The government has a power to limit gas exports when it expects a shortfall at home. It is called the Australian Domestic Gas Security Mechanism.

Part 3 of the bill would remove this power from 1 January 2028. That is the day the new export licences begin. The government says the new licence scheme would take its place.

Any shortfall period that ended before 1 January 2028 would still be dealt with under the old rules. Any export permission given under the old rules would end on that day.

Waiting in the House

Different parts start at different times. The changes to the fair trade law and the new reserve scheme rules start with the main gas reserve law. That is by 1 July 2027 at the latest.

The simpler selling rules start on 1 July 2027. The end of the old export controls happens on 1 January 2028.

The bill was put to the House of Representatives on 14 October 2026. The minister gave the speech on its main idea that same day.

Next, the House debates it and votes. Then it goes to the Senate. If both houses pass it, the Governor-General signs it into law.

Its journey through Parliament

Official sources

• Bill page on aph.gov.au
• Text of the bill
• Explanatory memorandum
• Bills Digest

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