The oil and gas industry contributes substantially to Australia’s current prosperity in many ways, including:
- investment (currently contributing more than a third of Australian business investment)
- direct and indirect job creation
- regional development
- export revenue
- energy security
The Australian oil and gas industry is today building almost $200 billion worth of projects – and it has the potential to build another $100 billion worth. Developing Australia’s shale gas resources would help underpin further expansion of gas production for domestic and export purposes.
A Deloitte Access Economics report, Advancing Australia, shows that:
- More than a third of current business investment in Australia is in the natural gas sector.
- Over the investment phase, it is estimated that the industry will create about 103,000 (full-time equivalent) jobs across the Australian economy.
- Companies all over Australia are supply goods and services to the oil and gas industry, and the use of fly-in, fly-out staffing is spreading the benefits of the industry across Australia.
- The oil and gas industry’s production profile directly and indirectly represents around 2% of current GDP, with value added of about $28.3 billion in 2010-11.
- The sector’s economic contribution to the national economy will more than double to $65 billion in 2020.
In 2011-12, the Australian oil and gas industry paid $8.8 billion in taxes ($4.8 billion in corporate taxes and $4 billion in production taxes). This is forecast to reach almost $13 billion in 2020. At a time when government revenues are under pressure, the oil and gas industry’s contribution is very important to the nation’s economic wellbeing.