Master Plumbers Australia & New Zealand (MPANZ) has expressed deep concern over the Australian Federal Government’s recent contradictory policy positions on gas. The Government’s dual stance has raised significant uncertainty in the energy sector, potentially jeopardising the nation’s transition to a sustainable energy future.

The Federal Government’s proposed green-ratings system categorises gas as a “phase down” sector. However, MPANZ says this stance contradicts the Albanese government’s declaration of gas as “key” to Australia’s renewable energy rollout and pursuit of net zero by 2050. This inconsistency seriously threatens investor confidence and the stability of the energy supply.

MPANZ Save the Flame Committee Chair Nathaniel Smith said, “The Federal Government’s mixed signals regarding the role of gas in our energy transition are troubling.” He also said, “On one hand, the Future Gas Strategy underscores the importance of gas in supporting renewable energy. On the other hand, the proposed green-ratings system discourages investment in this critical sector.”

The Australian Sustainable Finance Institute (ASFI), tasked with developing the sustainable finance taxonomy, has excluded gas from its green and transition categories, instead labelling it for phase-out. This exclusion could deter institutional investors seeking to enhance their sustainability credentials despite the acknowledged short-to-medium-term necessity of gas as backup firming capacity. At the same time, alternative technologies like batteries scale up.

MPANZ says it wishes to highlight the vital role of gas in maintaining energy reliability and affordability, primarily as the nation works towards integrating more renewable energy sources. The Australian Energy Market Operator (AEMO) forecasts an increase in gas-powered generation by 2050, emphasising gas’s role in firming renewable energy.

“MPANZ is concerned that ideological opposition to carbon gas is being allowed to undermine the Federal Government’s previous stance that evidence-based policy will drive Australia’s energy transition.  The Australian public and business community is already facing energy insecurity, and the plumbing industry, which is heavily involved in installing and maintaining gas infrastructure, needs clear and consistent policy direction,” Mr Smith said. “We urge the Federal Government to align its green-ratings system with the practical realities of our energy transition.”

MPANZ has called on policymakers to recognise gas’s transitional role and ensure that investment frameworks support a balanced, realistic approach to achieving net zero by 2050. The industry seeks assurance that gas infrastructure will not be prematurely phased out, risking energy security and economic stability.

For further comment, please get in touch with Nathaniel Smith at 0410 696 007 or nathaniel@masterplumbers.com.au