Declared Wholesale Gas Market
Most Australian gas markets are based on bilateral arrangements between producers, major users and retailers linked together through pipeline hubs connecting gas fields to gas consumers.
The exception is Victoria where a wholesale gas market was established in 1999 to enable competitive, dynamic trading based on injections into and withdrawals from the transmission system that links multiple producers, major users and retailers. The market was reviewed and, in 2007, intra-day trading intervals were introduced.
Short Term Trading Market
The Short Term Trading Market (STTM) is a wholesale market system designed to facilitate short term gas trading using market driven short term (daily) prices. The STTM operates in the New South Wales and South Australia hubs, with the objective to expand to other state-based hubs.
Gas Supply Hub
The Gas Supply Hub is a voluntary market designed to facilitate trade, competiton and transparency in the gas industry. The market is located at the intersection points of production, storage and major transmission pipelines connecting multiple end user markets.
The initial location for the supply hub will be Wallumbilla in Queensland, a region that is currently seeing significant investment in infrastructure for coal seam gas to supply both the domestic and export gas demand. Wallumbilla connects Queensland gas supply to down stream markets in the southern states.