Did anyone else see the government’s decision to greenlight Woodside’s North West Shelf liquified natural gas extension earlier this year?  

Woodside’s North West Shelf is already one of Australia’s highest emitting gas facilities¹. Aren’t projects like this one a step in the wrong direction when we should be reducing greenhouse gas emissions to slow the planet’s rate of warming?  

Climate warming is already causing more extreme and unpredictable weather events, making more of our homes uninsurable and more of the country unliveable. 

It’s not just Woodside’s latest project extension, there are more projects being planned, more memorandum of understandings being signed, more proposals in front of government, more financing being arranged for expansion and extraction.  

There’s Woodside’s Scarborough Gas transportation project and Browse Basin reserves in Western Australia, Santos’s Beetaloo Basin in the Northern Territory, not to mention the Narrabi Gas project in North-West NSW.  

Australian Ethical doesn’t invest in these companies or projects, but many other superannuation funds do. Ask you family or friends: do they know what their super is invested in? 

Climate warming is already causing more extreme and unpredictable weather events, making more of our homes uninsurable and more of the country unliveable.

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Why does this keep happening?

There seems to be a general public acceptance, which may help explain why: 

• Politicians continue to approve gas projects 
• Banks and insurers maintain climate policies that still support gas 
• Super funds keep investing in gas-linked companies 

But is gas expansion really helping Australians? 

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Gas expansion is not lowering energy prices

Most Australian gas is exported overseas—with estimates suggesting around 80% goes to Asia and other regions. The same companies that supply domestic gas are also exporting it, making transparency challenging². 

For years, these arrangements were lightly regulated. But the Australian Competition and Consumer Commission is now starting to incentivise companies to prioritise the domestic market³. 

Still, Australian households are using less gas, as renewable energy continues to rise. This is evident in how gas pipeline infrastructure is being depreciated more rapidly — a sign owners expect demand to fall⁴. 

If gas extraction (primarily for export) is creating jobs and economic activity, shouldn’t we be channelling this effort into building a cleaner, more affordable energy future? 

There are a lot of factors that go into the cost of energy, but further gas expansion is not likely to bring Australian energy prices down⁵. 

Our Ethical Investment Criteria ensure our portfolios aren’t exposed to gas expansion like many other superannuation funds. Our portfolios are anchored towards climate and planet positive investments.

Our portfolios are anchored towards climate and planet positive investments.

Not a low emissions alternative

The branding of gas as a transition fuel⁶ suggests it is less emissions intensive than traditional fossil fuels like oil and coal, but this is not a fair representation.  

The Australian Government estimates gas represents about 40% of Australian domestic emissions across all sectors, and 195% of the country’s total domestic emissions from gas⁷. 

And that most Australian gas is exported as liquefied natural gas (LNG), it’s important to acknowledge how energy-intensive adding the processing steps actually is.  

When all the emissions are counted, electricity generation using LNG can be just as polluting as coal⁸. 

What is Australian Ethical doing about gas expansion?

Our Ethical Investment Criteria ensure our portfolios aren’t exposed to gas expansion like many other superannuation funds. Our portfolios are anchored towards climate and planet positive investments. 

Based on scientific evidence we believe further expansion of gas is unnecessary to support the transition to cheaper, renewable energy sources – existing gas production is sufficient for gas to remain an important transition source of energy. 

We engage strategically on two stewardship fronts: 

1. Stopping financing of fossil fuel expansion
2. Positive lobbying on climate policy 

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Earlier this year we fronted up to QBE’s AGM, we raised questions on climate exposure and underwriting.

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We’ve been pushing the big four banks for years – over time we have been influencing Westpac and NAB to improve lending policies aligned with credible climate commitments.

Earlier this year we fronted up to QBE’s AGM, we raised questions on climate exposure and underwriting. In July, we publicly called on Macquarie Group to be clearer on climate disclosures. 

On the political side, we’ve met with state MPs in Western Australia, Queensland and NSW—highlighting the tension between their LNG export ambitions and global climate pledges. 

This work is part of our broader Theory of Change—using our influence to raise awareness, pressure decision-makers and collaborate with others for long-term planetary health. 

We also keep our members informed, encouraging you to be curious, ask questions and coordinate your own efforts for change. 

Ask your family or friends: do they know what their super is invested in?