# Australian industrial energy and resource policy

> Developing situation record from CLSTR: https://clstr.news/situations/australian-industrial-energy-and-resource-policy
> Updated: 2026-10-28T06:12:34.000Z. Sources: 10. Developments: 2.

Australia is undergoing several regulatory shifts aimed at managing industrial energy costs and resource availability. A report from Monash University’s Climateworks Centre indicates that industrial regions such as Gladstone, Kwinana, Hunter, Whyalla, and the Pilbara could potentially reduce electricity costs by up to 50% through coordinated clean energy transitions and shared infrastructure.

In tandem with these energy transition discussions, the Federal Government is reviewing the Safeguard Mechanism to potentially tighten restrictions on how large industrial emitters utilize carbon offsets. This review aims to encourage investment in cleaner technology, though industry groups have expressed concerns regarding manufacturing competitiveness.

Additionally, the government is advancing a domestic gas reservation scheme. This policy would require producers to set aside 20 per cent of annual gas exports for the Australian market to ensure supply for local consumers and manufacturers. While the government frames this as support for the manufacturing sector, the policy has faced criticism from the Greens, who argue it may encourage environmentally damaging projects.

## Timeline

### 2026-10-28: Australia moves toward domestic gas reservation policy

Australia is set to implement a gas reservation scheme requiring producers to set aside 20% of exports for domestic use to support local industry and energy security.

8 sources. https://clstr.news/cluster/australia-moves-toward-domestic-gas-reservation-policy

### 2026-10-25: Australia evaluates industrial energy costs and carbon offset regulations

New research suggests coordinated infrastructure sharing could halve industrial electricity costs in Australia, while the government reviews carbon offset rules for major emitters.

2 sources. https://clstr.news/cluster/australia-evaluates-industrial-energy-costs-and-carbon-offset-regulations

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Cite as: Australian industrial energy and resource policy. CLSTR, https://clstr.news/situations/australian-industrial-energy-and-resource-policy
