An energy chief is warning of the risk of discounting gas in Australia's energy transition, urging investment in new gas projects to avoid a spike in power prices.
Australian Energy Producers chief executive Samantha McCulloch has expressed concern about gas supply with about 40 environmental approvals for projects still pending.
This gas would be used to supply the domestic market as well as prop up Australia's neighbours, Ms McCulloch said.
While investment in renewable energy was good, gas would continue to play a key role as a "reliable backup" during the transition.
"The scale and the pace of the energy transformation means we need to be investing in all fuels and technologies," she said.
"Gas ... is still fueling our manufacturing sector and it's going to play an important role in new industrial opportunities, for example, the processing of critical minerals."
New supply in a timely fashion was also needed to ensure there were no energy shortfalls, the chief executive said.
"We need to reduce the uncertainty and ensure we have regulatory frameworks that can allow robust, timely and efficient processing of these projects," Ms McCulloch said.
"Having a well-supplied market is the key to putting downward pressure on prices."
The delay of environmental approvals that could undermine future supply was off the back of a broken process, opposition resources spokeswoman Susan McDonald said.
A $12 million review into the offshore environment and carbon management regulations was underway, a spokesman for Resources Minister Madeleine King said.
"Australia is committed to remaining a long-term, reliable supplier of resources and energy to our trading partners and it will remain a stable and secure investment destination," the spokesman told AAP in a statement.
"This has been demonstrated by recent investment in purchase agreements."
This includes two Japanese companies investing $760 million in Woodside Energy's $16.5 billion Western Australian Scarborough gas project.
The government continues to move ahead with its transition to renewables with Environment Minister Tanya Plibersek approving a new solar farm in central Queensland.
The Smoky Creek farm will power 200,000 homes and cut emissions by a million tonnes a year, the equivalent of taking 310,000 cars off the road, and help the government reach its 82 per cent renewable energy by 2030 target.
"Australia can be a renewable energy superpower, and projects like this help us get there. We have the right conditions, the technology, and the passion to make the most of these opportunities," Ms Plibersek said.
"It will help transform our economy and better protect our environment."
