Submission: Narrabri Lateral Pipeline (SUB-102120207)
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18 December 2025
To: New South Wales Government, NSW Planning
Re: Narrabri Lateral Pipeline (SUB-102120207)
Thank you for the opportunity for the Institute for Energy Economics and Financial Analysis (IEEFA) to provide input to the assessment of the Narrabri Lateral Pipeline proposal.
IEEFA is an independent energy finance think tank that examines issues related to energy markets, trends and policies. The Institute’s mission is to accelerate the transition to a diverse, sustainable and profitable energy economy.
In IEEFA’s view, consideration of Santos’s proposal to build the Narrabri lateral pipeline, as part of the broader Narrabri gas project, should be delayed. This is because the Australian Government is considering options to increase domestic gas supply as part of the Gas Market Review, with the outcome having implications for the likelihood of domestic gas shortages and the need for Narrabri gas. Studies have shown that making more Queensland gas available to southern markets could lower gas prices in NSW, whereas Narrabri gas is unlikely to lower gas prices.
There remain a number of uncertainties with Narrabri, including legal cases and stakeholder opposition from farmers, landowners, unions and indigenous groups. The Narrabri gas project will also account for a significant share of the state’s greenhouse gas (GHG) emissions, and is not consistent with the NSW government’s emissions reduction targets.
Kind regards,
Kevin Morrison, Energy Finance Analyst, Australian Gas
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