Australian government ministers have held over 20 meetings with Japanese gas company executives during the last parliamentary term, as the Labor government seeks to bolster investment in the fossil fuel sector. This revelation is part of a report by the think tank InfluenceMap, which suggests that Japanese liquefied natural gas (LNG) companies have collaborated with Australian gas interests to lobby for favorable policies that could extend the industry’s lifespan and delay the transition to clean energy in the Asia-Pacific region.
The report highlights the significant role of Japanese operators in the development and maintenance of Australia’s LNG export industry. Companies such as Inpex, Jera, Mitsubishi, and Mitsui have invested more than A$70 billion in 13 Australian LNG projects, representing about 17% of global LNG capacity. The largest of these investments is in the Ichthys gas field development in the Timor Sea, primarily backed by Inpex.
Environmental and Policy Implications
According to InfluenceMap, the projected output from these 13 developments could result in 290 million tonnes of carbon dioxide emissions annually, equating to roughly two-thirds of Australia’s total annual climate pollution. The report claims that Japanese interests have been active both publicly and privately in maintaining a supportive policy environment for gas in Australia. Freedom-of-information documents reveal that Resources Minister Madeleine King met with Japanese LNG representatives at least 17 times.
Other ministers, including Prime Minister Anthony Albanese, were noted to have had single meetings with these representatives. The report suggests that weak Australian lobbying transparency rules may mean additional meetings occurred that were not documented. InfluenceMap argues that this lobbying has influenced key climate and energy policies, such as the “future gas strategy” released by King in 2024, which advocates for new gas sources to meet demand through 2050 and beyond, despite commitments from both the Australian and Japanese governments to achieve net zero emissions.
Strategic Interests and Economic Factors
The Department of Industry, Science and Resources provided talking points to Minister King before her visit to Japan in October 2024, which echoed language used by the gas industry. The department advised King to assure industry and government leaders that Australia remained committed to being a reliable LNG provider “in support of energy security while transitioning to net zero” and welcomed “further investment in our gas industry.”
Japan, with limited domestic energy resources, relies heavily on energy imports, including Australian gas and coal. Both governments have argued that increased gas supply is necessary for Japan to reduce emissions by replacing coal-fired power and supporting renewable energy. However, leaked “cabinet in confidence” advice to the Western Australian government, obtained by Guardian Australia, warned that unrestricted Australian gas exports to Japan and neighboring countries could hinder the transition to cleaner energy in Asia.
Economic Profits and Criticism
A separate report by the Institute for Energy Economics and Financial Analysis found that Japanese companies have resold more than a third of the gas purchased from Australia, generating over $1 billion in profit in 2024. Critics, including Labor backbencher Ed Husic, argue that this demonstrates Japanese multinationals are profiting from Australian gas that is not essential to meet their domestic energy needs.
Documents released to InfluenceMap show that Inpex and Jera contested this in meetings with government officials, claiming that LNG demand and inventory levels “fluctuate in real-time” and companies purchase a “supply buffer” to ensure stable energy supply, in line with Japanese government policy. They stated that most of what was sold to third countries came from this buffer.
Calls for Transparency and Change
Jack Herring, InfluenceMap’s Australia program manager, stated that the evidence indicates Japanese LNG investment and lobbying could lock in fossil fuel dependence across the region, delaying the shift to genuinely clean energy. He emphasized that the notion of gas as a “transition fuel” contradicts evidence from the Intergovernmental Panel on Climate Change, which both the Australian and Japanese governments have supported.
“In this context, it is increasingly important that the Australian government works towards a just, orderly, and equitable transition away from fossil fuels,” Herring said.
A spokesperson for Minister King described Japan as a “strong and valued investment partner for Australia’s offshore LNG industry,” and noted that the minister “met regularly with resources sector stakeholders as part of her role.”
InfluenceMap’s research revealed that Inpex had twice as many meetings with senior government figures as other Japanese gas companies. Bill Townsend, a senior vice-president at Inpex, stated that the company advocated for “stable and predictable policy settings” with streamlined development approval processes and “reduced red – and green – tape.” Townsend added that Inpex was “working to support Indo-Pacific energy security” while helping the region achieve net zero by 2050, with plans to introduce carbon capture and storage technology at the Ichthys development “from around 2030” and participation in renewable energy projects through a 50% interest in Potentia Energy.
Independent MP Monique Ryan highlighted the scientific consensus on the need to reduce climate pollution, noting that InfluenceMap’s analysis clarifies why the Australian government “continues to act as an enabler” for Japanese gas companies.
“It reinforces the need for more transparent regulation of corporate lobbying, and for the Australian government to act in the best interests of its citizens rather than those of Japanese companies and their industry associations,” Ryan said.