Overview
The department and the Department of Industry, Science and Resources (DISR) invited interested stakeholders to provide feedback on the ‘Domestic Gas Reservation Scheme – draft Design Framework’.
The consultation was open for written submissions from 25 May 2026 to 30 June 2026.
The consultation is now closed.
Next steps
We thank everyone who engaged with us and responded to this consultation.
Feedback from this consultation will inform final design settings and legislative development ahead of implementation.
Government’s intent is for legislation establishing the Domestic Gas Reservation Scheme to commence in 2027, with domestic supply obligations applying from 1 July 2027.
The current regulations will remain in place until new arrangements are implemented.
Background
The Australian Government announced it will introduce a Domestic Gas Reservation scheme, with obligations to commence from 1 July 2027. Under the scheme, gas exporters need to supply a proportion of their total export production to the Australian domestic market, equivalent to 20 per cent of their exports, on an annual basis. This is their ‘domestic supply obligation’ (DSO).
Government is also progressing complementary market reforms to support transparency and conduct, aiming to ensure effective and efficient gas contracting markets for all gas trades, including for reserved gas. These reforms are an opportunity to streamline the gas market regulatory framework and manage regulatory burden.
Following the public consultation that closed on 13 March 2026, a draft Design Framework was developed, informed by stakeholder feedback on early reservation scheme design.
The draft Design Framework outlined how the reservation scheme would operate, including key design features such as:
regulatory framework
reservation design, including how the DSO is calculated
compliance and other operational elements
integrated market reforms.
Converlens