Albany Announced a $21 Million Package to Facilitate the Transition Away from Pipeline Gas
The Western Australian government has announced a $21 million support package for households and small businesses in Albany that are switching from pipeline gas to bottled liquefied petroleum gas or electricity. The program covers about 6,000 customers in the coastal regional town, located approximately 420 kilometers south of Perth, according to ABC News Australia.
About $16 million of the total amount is earmarked for compensation to households and small businesses. The government has estimated the standard cost of switching to bottled gas at $1,600 per customer. These funds can also be used for electrification.
The package includes a voluntary contribution of $5.5 million from the Canadian infrastructure company ATCO. In January, the company withdrew from a contract to supply pipeline gas to Albany, citing its unwillingness to pay for the maintenance of the aging network, which was estimated to cost $80 million.
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Amber-Jade Sanderson, Minister of Energy and Decarbonization, stated that the package allows many customers to choose gas cylinders, but the government also wants to encourage electrification in the medium and long term.
Albany Mayor Greg Stokes cautioned that electrification could cost more than $10,000 per customer. He advised residents not to begin the conversion until the terms for accessing funding are known.
Authorities are also assessing whether there are enough local plumbers and gas specialists in the region to carry out the transition. Businesses with high gas consumption, particularly restaurants, will be offered free energy audits. Dismantling of the network is scheduled to begin by the end of July 2027, and the government estimates the work will take about three years. Details regarding the transition and the terms of participation for customers are expected to be announced in October.