The Australian Energy Regulator (AER) has made a final decision to classify the proposed Bulloo Interlink Pipeline as a non-scheme gas pipeline under lighter regulation for the first 10 years once the pipeline is commissioned.
Wholly owned by APA Group, the Bulloo Interlink is planned to connect the South West Queensland Pipeline and the Moomba to Sydney Pipeline to transport gas from Queensland and the Northern Territory to New South Wales and Victoria.
The decision follows APA Group’s application to the AER for a ‘greenfields incentive determination’ asking for the pipeline to be exempt from scheme regulation for the maximum 15-year period allowed under the National Gas Law.
AER Chair Ms Clare Savage said the decision balanced the need for investment in gas infrastructure with protecting the long-term interests of consumers to ensure they pay no more than necessary for gas from this pipeline.
“We recognise the strategic importance of the Bulloo Interlink in improving the efficiency, reliability, and resilience of Australia’s gas transmission system,” Ms Savage said.
“Our decision supports investment in this gas transmission capacity that will help to meet demand from southern states, while protecting consumers from the risk that the pipeline’s owner can exercise longer-term market power.”
After the 10-year period, the Bulloo Interlink will remain a non-scheme pipeline, unless a form of regulation review is initiated and a decision made for it to be subject to full regulation.
She said the AER will monitor and report on APA Group’s behaviour in the market from the date the Bulloo Interlink is commissioned.
“While there may be a review to determine if the pipeline should be subject to full regulation after 10 years, it doesn’t mean the Bulloo Interlink will automatically become fully regulated at the end of that period,” Ms Savage said.
“We will continue to monitor its operation closely, ensuring the long-term interests of consumers remain central to its operation.”
Notes to Editors
Greenfields incentive determinations
Under the National Gas Law and National Gas Rules, all gas pipelines in Australia (excluding Western Australia) are regulated as either:
- scheme pipelines: subject to a stronger form of regulation, which includes price regulation by the AER through access arrangements (full regulation), or
- non-scheme pipelines: subject to a lighter form of regulation.
In 2023, the AER gained powers to make greenfields incentive determinations (excluding in Western Australia).
While all pipelines are subject to non-scheme regulation from commissioning, these determinations prevent the form of regulation being changed for a pipeline while the determination is in place.
Determinations can have a maximum duration of 15 years. Proponents of greenfields pipeline projects may apply to the AER for a greenfields incentive determination before a pipeline is commissioned.
More information on the AER’s powers to make a greenfields incentive determination can be found in the AER’s Pipeline Regulatory Determinations and Elections Guide.
Bulloo Interlink
The Bulloo Interlink is planned to connect the South West Queensland Pipeline and the Moomba to Sydney Pipeline to transport gas from Queensland and the Northern Territory to New South Wales and Victoria.
APA Bulloo Interlink Pipeline Pty Ltd (a wholly owned entity of APA Group) submitted its greenfields incentive determination application to the AER for its proposed Bulloo Interlink on 23 May 2025 and provided a revised application on 9 July 2025.