Document ID: chunk:federal_register_of_legislation:F2023N00066:clause:2_6
Version: federal_register_of_legislation:F2023N00066
Segment Type: clause
Provision Reference: sch 2 cl 6
Character Range: 4031–5178

6  Overview of the ADGSM
     (1)        The objective of the ADGSM is to ensure that there is a sufficient supply of natural gas to meet the forecast needs of Australian gas consumers by controlling, if necessary, LNG exports.
     (2)        The ADGSM is intended to be a measure of last resort, only used if market-based solutions and other regulatory interventions fail to provide sufficient gas to Australian consumers.
     (3)        The ADGSM applies Australia wide. In practice, the ADGSM:
          1. establishes a process for the Minister to determine whether there will be a shortage of natural gas for Australian consumers in a forthcoming quarter (a domestic shortfall quarter); and
          2. prohibits exports of LNG during a domestic shortfall quarter, unless written permission has been granted by the Minister or an authorised officer (a permission); and
          3. establishes a permission regime, whereby the Minister or an authorised officer may grant a permission to export LNG.
     (4)   Division 6 of Part 3 of the Regulations came into effect from 1 July 2017 and will be automatically repealed on 1 January 2030.