Australian Domestic Gas Security Mechanism Begins

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Australian Domestic Gas Security Mechanism Begins

The Australian Domestic Gas Security Mechanism (ADGSM) came into force at the beginning of this financial year. The ADGSM is the federal government’s response to insecure gas supply across Australia due to large gas export contracts. The mechanism is legislated under the Customs (Prohibited Exports) Regulations 1958 (Cth) div 6. The ADGSM is comprised of the Total Market Security Obligation, Export Market Security Obligation and Provisional Export Permissions. It operates concurrently with the COAG-AEMO emergency gas market security measures. The mechanism will be in place for five years at which time it will be reviewed. Western Australia will be excluded from any export restrictions.


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