Mr Adams began his career as a trainee at the State Electricity Commission of Victoria where he worked in electricity distribution, transmission, generation and retailing. For the past 25 years, he has worked in both the electricity and gas industries in a variety of senior roles managing and operating regulated networks. He was appointed Managing Director of Jemena in November 2008.

During his time in the industry, Mr Adams says that one of the biggest changes has been the unwinding of vertically integrated gas businesses, over 20 years ago, to a horizontally integrated gas market where companies now specialise in gas wholesaling or shipping, or pipelines and networks.

“Only 20 years ago there was almost a state-based approach to the supply and delivery of gas.

“Bass Strait supplied Victoria, Moomba supplied South Australia, Roma supplied Queensland. The integration of eastern seaboard pipelines means we’ve foregone the inefficient state-based approach.”

Gas on the east coast

Jemena’s 797 kilometre Eastern Gas Pipeline (EGP) is a key pipeline in transporting gas interstate on Australia’s eastern coast. Mr Adams says that the company’s upgrade to increase the capacity of the pipeline to deliver gas from Victoria into the Sydney market is a major achievement.

Due to a demand in growth in New South Wales, the company recently installed a midline compressor station on the EGP at Mila, near Bombala in New South Wales. The company is also currently installing a fourth compressor at the EGP’s Longford Compressor Station in Victoria.

“Further expansions are possible and will be considered in response to demand, particularly opportunities from new gas-fired generation in New South Wales and new services designed for the Short Term Trading Market.”

In New South Wales, the company has been rehabilitating its gas distribution network. Recent rehabilitation projects include the Macquarie Fields project, which started in November 2008 and includes 17 km of mains and 900 services and meter sets, and the rehabilitation of approximately 38 km of gas mains in the Liverpool – Smithfield area.

“Over 5,500 km of gas distribution network infrastructure has been rehabilitated in New South Wales since 1987, including 150-year-old cast iron gas mains in the Sydney distribution network and old high density polyethylene pipes,” says Mr Adams.

Expansion opportunities in the sunshine state

Jemena is currently undertaking an expansion of its 627 km Queensland Gas Pipeline (QGP), which runs from Wallumbilla to Gladstone. The expansion includes the duplication or ‘looping’ of 113 km of existing pipeline and the installation of two midline compressors located at Banana and Rolleston. The project is expected to be completed by the end of 2009.

Mr Adams explains that the expansion is due to economic and industrial growth in the Gladstone region. He adds that the number of proposed LNG projects to be located at Gladstone could provide further expansion opportunities for the QGP.

“The extent of these opportunities depends on whether LNG project owners decide to use existing pipeline infrastructure or construct new pipeline infrastructure. Given Jemena owns, maintains, operates and develops gas assets, we are well placed to take advantage of LNG development.”

He adds “If LNG projects in Queensland, Western Australia and the Northern Territory – reportedly worth $200 billion in total – come to fruition, there is no doubt that this will present a fantastic opportunity for the pipeline industry in Australia.

“The use of existing pipelines will help project owners minimise costs when they are in start-up phase and then it seems likely that they may need to also build new pipelines later.”

Providing gas in a carbon constrained economy

Mr Adams says that a major issue facing the gas industry at present is the need for organisations and government to recognise that natural gas is the ideal transition fuel for Australia’s move to a carbon constrained economy.

“There is no doubt that gas is the ideal transition fuel until other renewable energy options – namely wind, solar and geothermal – are fully developed. Gas will always be one of the most flexible sources of power generation.

“I note that Australia’s natural gas industry has welcomed a report by the Clean Energy Council highlighting the benefits of renewable energy – but has warned that renewable energy sources should not be developed at the expense of natural gas,” he says.

“It seems clear that the Federal Government needs to recognise the role of natural gas as both a low emissions

fuel source and as a complement to renewable energy sources.”

Jemena is a key supporter of the Natural Gas. Natural Choice campaign, which aims to reduce carbon emissions and promote the benefits of natural gas use to consumers in New South Wales.

The campaign centres on a household environment, focusing on specific appliances throughout the home.

Mr Adams says that the company is currently conducting research to determine the success of this year’s campaign.

“The 2008 campaign resulted in a 20 per cent increase on the previous year’s electricity to gas conversions so it was highly successful.”

Continual development

Of his time in the industry, Mr Adams says “I have been fortunate enough to work with a very talented, experienced, committed and passionate group of professionals and tradesmen wherever I’ve worked in this industry.

“The most important thing I have learned is that working with such people and hearing their ideas and experiences, is that you never stop learning!”

Mr Adams believes Jemena stands in good stead as it looks to continue to build, own, operate, develop and manage gas assets into the future.

“Jemena is well placed to take advantage of major national energy developments,” says Mr Adams.