The Short Term Trading Market (STTM) hub in Brisbane has commenced natural gas trading operations.

 

The Federal Government has expressed its hope that the market will allow for increased flexibility for buyers and sellers of gas, saying that the STTM will serve to deliver an improved price and transparency to the market.

 

The market is the culmination of significant collaborative work between the Commonwealth, state and territory governments, industry and the Australian Energy Market Operator (AEMO) – which will operate the new market. 

 

The Minister for Resources and Energy, Martin Ferguson AM MP, says the establishment of the Brisbane STTM hub is an important development.

 

“Given the significant role gas has to play in our energy future, initiatives such as the STTM are important to enhance transparency, and over time can help facilitate greater depth and liquidity in the gas market.

 

“The key role of gas in Australia's energy system was highlighted by AEMO in its 2011 Gas Statement of Opportunities (GSOO), released yesterday, which showed that Australia’s eastern and south eastern domestic and LNG export demand is forecast to grow by between 8.9% and 12.6% per annum over the next 20 years.

 

The STTM is an initiative of the Standing Council on Energy and Resources – formerly the Ministerial Council on Energy. 

 

The establishment of the Brisbane STTM hub – along with AEMO's operation of existing hubs in Adelaide and Sydney – will be closely monitored by energy ministers to ensure the STTM hubs are delivering desired outcomes smoothly and efficiently, from both an industry and customer perspective.

 

More information on the STTM can be found at www.aemo.com.au.