Australia’s LNG flashpoint

Scapegoating foreign buyers will not solve country’s gas shortages

LNG exports have once again become a flashpoint in Australia’s national debate over gas shortages. This time, however, the focus is not on how much gas is leaving the country but on what happens to it after it does. Thinktank the Institute for Energy Economics and Financial Analysis (IEEFA) released a research note in May alleging that Japanese firms resold around half the Australian LNG they purchased in 2024 to third countries. The report cast this as opportunistic trading amid Japan’s sustained efforts to influence Australian policy and ensure uninterrupted export flows. The media quickly amplified the implication that Japan was gaming the system. Nevertheless, that reading—while politica