RESEARCHERS from the Climate Council have released data showing renewable energy provided five times more power into the national grid last year than gas.

The has come out around the same time as the federal government clarifies its belief of the economic importance of ongoing investment in Australia's gas resources.

On Wednesday 16 February, the Australian Competition and Consumer Commission (ACCC) released its latest Gas Inquiry Interim Report which it had done at the direction of the government.

The report found that while domestic gas contract prices rose slightly between March and August 2021, Australia avoided the up to 230 per cent price increases seen overseas in the Asian LNG spot market.

Based on these findings, it was noted by the ACCC that timely investment and advancement of gas basins and infrastructure, including the controversial Narrabri Gas Project in regional NSW coming online by 2026, would aid in avoiding an earlier than previously forecast gas supply shortfall in the south.

Federal Treasurer Josh Frydenberg and Minister for Industry, Energy and Emissions Reduction Angus Taylor both welcomed the release of the ACCC's report.

“The ongoing supply of affordable gas is crucial to helping Australia’s economy as it rebounds from the impact of the COVID pandemic,” Treasurer Frydenberg said.

“Australia has been fortunate to escape the devastating price impacts seen in Europe due to their energy crisis - accelerating the gas-fired recovery is essential to ensure this does not happen here,” Minister Taylor said.

“It is clear from the ACCC that underinvestment in the gas sector cannot continue.

“This report is a stark warning that we cannot allow activism to slow gas projects. Without unlocking gas, we will feel the price pressures being experienced overseas."

The report also stated that although low emissions alternatives may assist supply in the medium to longer term, technologies like hydrogen will not assist any sooner than 2030.

Despite the government's calls for increased dependence on gas, research recently released by the Climate Council has indicated gas power generation is the lowest it has been in more than a decade and much smaller compared to renewable alternatives.

In fact, controversially to the government's dedication to low gas costs, Climate Council Senior Researcher Tim Baxter said the increase of solar, wind and batteries was making power bills cheaper for Australian households and businesses.

“Let’s be clear, this record has nothing to do with the federal government, which has been missing in action and leaving all of the heavy-lifting to the states and territories,” Mr Baxter said. 

“When you look at the data and what renewables are doing for Australians’ hip-pockets, the push for gas from the Morrison Government seems increasingly irresponsible and economically reckless."

“Every taxpayer dollar spent on new gas-fired power infrastructure is at risk of being wasted on unnecessary stranded assets,” Climate Councillor, energy expert and former BP Australasia President, Greg Bourne added.

“Gas simply cannot compete with renewable energy, which is bringing down power prices for consumers and creating a cleaner, healthier energy system.”

According to the Climate Council data, gas provided just 1.5 percent of NSW's power in 2021, its lowest level in 15 years.