APA Group defends gas projects amid shareholder pressure

During a contentious annual general meeting in Sydney, APA Group leadership defended the company’s future gas infrastructure projects against activist shareholders. The company plans to invest $700 million in a pipeline to transport gas from Queensland to New South Wales.

Addressing concerns regarding the viability of greenfield gas projects and climate goals, leadership argued that natural gas is essential for global food security, noting that nearly half of the world’s fertilizer production depends on it. In response to critics, executives posed the question, “What’s better, gas or starvation?” They also noted that gas energy generation produces approximately half the carbon emissions of coal.

A resolution led by the non-profit Market Forces, supported by over 115 shareholders including US and Norwegian pension funds, demanded greater transparency regarding new gas projects. The motion specifically questioned the multibillion-dollar North to East Australia Pipeline, which is intended to transport fracking gas from the Beetaloo Basin in the Northern Territory. Critics, including Market Forces and the Australian Institute, argued that the company is relying on unrealistic demand scenarios and ignoring a potential global liquefied natural gas glut.