Overview
The Australian Government has 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 public consultation that closed on 13 March 2026, a draft Design Framework has been developed, informed by stakeholder feedback on early reservation scheme design. We now invite interested stakeholders to provide feedback on the draft design outlined in this document.
The draft Design Framework outlines 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.
Please note: The draft Design Framework is indicative only and subject to change. Final policy settings, including the DSO, will be determined by Government through legislation following consultation.
To have your say:
Read the ‘Domestic Reservation Scheme - draft Design Framework’
Provide written feedback
Submit your feedback by 11:30pm (AEST), Tuesday, 30 June 2026.
The current regulations will remain in place until new arrangements are implemented. Stakeholder input from this process will inform ongoing policy and legislative development ahead of implementation.
