Today, natural gas supports our standard of living and Australia’s energy security, providing over a quarter of our energy needs.2

Gas keeps Australia’s energy system reliable

  • Gas-fired generators provide essential backup when renewable output is low or during peak demand. 1
  • Gas can start quickly and scale rapidly, helping stabilise the grid and keeping electricity reliable.2
  • Its firming role becomes more important as more wind and solar generation enters the grid. 2
Major uses of natural gas

Major uses of natural gas - electrical production, manufacturing, heat source, residential use and chemical input

Gas supports everyday living for millions of Australians

  • Natural gas molecules are chemically transformed into products that are used in our everyday lives (e.g., plastics, fertilisers, packaging, clothing, tyres, detergents, insulators, rubber, propellants, medical products, adhesives and cosmetics). 2
  • Gas is widely used for cooking, heating water, and heating or cooling homes and businesses. 2
  • Today, about 5 million households in Australia rely on natural gas. 2

Everyday uses for natural gas - plastics, fertilisers, packaging, clothing, tyres, detergents, insulators, rubber, propellants, medical products, adhesives and cosmetics

Gas is essential for Australian industry and manufacturing

  • Natural gas is the largest energy source for Australian industry, including manufacturing. 2
  • Around three‑quarters of industrial gas use is for creating high-temperature heat used to make cement, bricks, steel, glass, food products and more. 2
  • Many industries cannot operate and cannot transition without access to reliable gas for industrial processes. 2

Natural gas as heat source for food& beverage manufacture, chemical and paper manufacture, drying, baking, evaporation, pasteurisation, refining biofeul, textiles, plastics, smelting metal, cement production and commercial kilns

Gas supports future energy reliability

  • As Australia transitions to a net zero emissions future, gas will remain essential for households, businesses and industry, and to support the operation of the electricity sector.1
  • Gas helps maintain reliability and affordability as renewables grow and coal generation retires. 2
  • Gas plays a key role during extreme weather and periods of high electricity demand. 1

 

Notes:

  1. 2025 Gas Statement of Opportunities (AEMO)
  2. Future Gas Strategy (Department of Industry, Science and Resources, 2024)