The federal government is looking to shore up Australia's domestic gas supply through a range of measures, including a national reservation scheme.
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They also include bringing forward a review of domestic gas supplies, reviewing pipeline regulation and extending the consumer watchdog's monitoring role of the market until 2025.
While Australia remains the world's largest LNG exporter, more needs to be done to lower domestic prices and secure supply, Resources Minister Matt Canavan says.
"While we are proud that Australian gas powers industry around the world, we must also be able to reliably and affordably harness gas to grow our own industries and create more Australian jobs," he said in a statement on Tuesday.
"Price and supply are inextricably linked. To put downward pressure on prices and shore up supply, we need more exploration and production."
The minister also took aim at states and territories which he claims are restricting supply for "political purposes".
"For too long we've seen some state and territory governments shelve onshore gas exploration for political purposes and the price we've paid is restricted supply and price creep," Senator Canavan said.
"The plan outlined today tackles that and a host of other issues from all directions."
Labor frontbencher Jason Clare pointed to WA's gas reservation policy as a success story, but wants to see the details of the federal plan before backing it.
"We've been trying to drag the government like a prize bull at the Easter show to get to this point for a long, long time," he told Sky News.
Energy Minister Angus Taylor also urged state and territory governments to free up supply by removing bans on gas exploration.
Mr Clare said it was up to the federal government to work with the states to see whether they were open to lifting moratoriums on fracking.
"The bottom line is we do need more gas," he said.
"We want it at a cheaper price so that Australian manufacturers can continue to produce the goods they do and continue to send goods overseas."
Manufacturing Australia welcomed the announcement, saying lowering gas prices is vital to the future of the industry.
"Today, manufacturers in eastern Australia pay, on average, 150 per cent more for gas and 175 per cent more for electricity than they did a decade ago," the group said in a statement.
Australian Associated Press
