The Australian state of Victoria plans to prohibit the connection of natural gas pipes to new residences beginning next year, according to Minister for Climate Action Lily D’Ambrosio.
The initiative is part of a state program to reduce emissions and minimize energy expenses. According to reports, the gas industry contributes for 17% of the state’s greenhouse gas emissions.
“Reducing our reliance on gas is critical to meeting our ambitious emission reduction target of net zero emissions by 2045 and getting more Victorians on more efficient electric appliances, which will save them money on their bills,” D’Ambrosio said in a statement.
The new regulations will apply to any new public structures that have not yet been designed, including houses, schools, and hospitals.
The southeast Australian state is anticipated to experience gas shortages in the future years as output drops from Exxon Mobil’s offshore reserves, which have historically supplied fuel to the region.
According to a statement received by Reuters from the Australian Petroleum Production and Exploration Association, the forthcoming moratorium is not likely to solve emission-reduction concerns because new dwellings would rely on the coal-based power system.
Electricity generation is said to account for over half of the state’s carbon emissions in Victoria, which is highly reliant on coal.
“The Victorian Government is taking choice away from consumers for limited climate benefit while ignoring the fact that the best way to bring down gas prices is to invest in more gas supply,” said Chief Executive Samantha McCulloch, according to the news agency.
