Just when we thought we were out, winter drags us back in. The temperatures have been plunging across Victoria in the past week which has resulted in record breaking gas demand

It’s been a time of hibernation in Victoria with lots more time spent indoors with the heat on, having hot showers or baths and cooking hearty meals, all in response to the bitter conditions outside. On the commercial side, where the majority of gas is used to process heat, office towers and industrial businesses are also working overtime to keep the elements away from their staff and keep operations moving. All of this combined, of course, has contributed to a significant peak in total gas demand and a new record has now been set in Victoria.

The gas demand in the Victorian declared wholesale gas market (DWGM) for Friday 9 August 2019 was the highest ever recorded, with a total of approximately 1,304 Terajoules (TJ). That meant it had surpassed the previous 12-year record set back on 17 July 2007, when the total demand then came in at 1282.1 TJ.

The figure below illustrates how gas was consumed across the day by homes, businesses and gas powered generators (GPG):

But how does all this gas get to consumers and businesses in the state? The Declared Transmission System (DTS) supplies natural gas to the majority of Victorian households and businesses, as well as to New South Wales communities along the Murray River between Moama and Albury. AEMO operates the Victorian DTS and provides information about gas supply and demand, system constraints, capability, and development proposals, to assist in the efficient planning and development of gas markets and facilities

With records being routinely broken for demand in both the winter and summer seasons, the need for the energy industry and governments to consider and implement longer-term solutions to address Australia’s ongoing energy demands is more vital than ever.

More analysis on Australia’s gas outlook is available in our recently published Gas Statement of Opportunities and Victorian Gas Planning Report.

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