Review of the ACCC’s LNG Netback Methodology for Australia’s East Coast Gas Market
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May 04, 2026
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Since 2018, the Australian Competition and Consumer Commission (“ACCC”) has published liquefied natural gas (“LNG”) netback prices to provide transparent benchmarks for comparing domestic gas prices against potential export prices in Asia. Following major regulatory reforms and significant market shifts since 2020, the ACCC needed to ensure its netback methodology remained fit-for-purpose.
FTI Consulting was engaged in 2025 to conduct a comprehensive review of the methodology, assessing how recent market developments and future trends should inform the calculation approach. Our analysis delivered actionable recommendations that enhanced the methodology’s relevance and supported the ACCC’s broader objective of improving transparency in the Australian East Coast gas market.
- Supported the objectives of the ACCC’s LNG netback price series by confirming the robustness of the existing methodology and recommending targeted adjustments to reflect current and anticipated market conditions through to 2030
- Supported regulatory objectives through evidence-based recommendations that strengthen price transparency across Australia’s East Coast gas market
- Strengthened market confidence during a period of significant regulatory reform and broader structural change in both the Australian and global gas markets
Our Role
- Conducted multilayered market analysis spanning global LNG markets, eastern Australian LNG exports and the East Coast gas market to identify structural changes from 2020-2024 and project trends through 2030
- Applied structured evaluation criteria aligned with ACCC objectives to assess whether current netback methodology components, including timeframes and pricing mechanisms, remained appropriate given market evolution
- Benchmarked international LNG pricing practices across major markets to identify best practices and extract lessons applicable to the Australian context
- Delivered technical recommendations on methodology refinements, supported by quantitative analysis and a detailed assessment of current and anticipated market conditions
Published
May 04, 2026
Key Contacts