Gas reserve scheme to be scaled back before it begins

Key points

• Labor has scaled back its domestic gas reservation scheme before it begins, limiting ministerial discretion over how much gas exporters must reserve. Resources Minister Madeleine King introduced the amended legislation to parliament on Wednesday.
• The original plan of 20 per cent has become an obligation of up to 20 per cent, and existing contracts are exempt. Critics, including unions, conservationists and business groups, say the draft still leaves exporters loopholes to sell to overseas buyers.
• A report also argues Western Australia's domestic gas shortfall stems from exporters choosing higher-priced markets rather than a lack of supply.