The powers of Australia’s energy market operator will be extended to direct companies to supply gas to the east coast market for the 2023 winter.

Energy Minister Chris Bowen announced the decision following a meeting of state and territory ministers on Friday.

“It’s fair to say the challenges remain, they remain this year, they remain next year, into the immediate future,” he told reporters in Canberra.

“It’s not a silver bullet but it is an important next step building on the reforms we agreed in June in relation to AEMO’s power to buy and store gas.”

NSW Energy Minister Matt Kean says domestic supply is non-negotiable.

“We need to prioritise Australian gas for Australian gas users,” Mr Kean said.

“What we don’t want to see is domestic gas producers prioritising profits and exports ahead of local users.”

Emissions reduction will also be added to the national energy objectives, in the wake of the federal government seeking to legislate a new emissions target.

“It might not sound like much, but this is very important,” Mr Bowen said.

“It sends a clear message to our energy market operators that they must include emissions reductions in the work that they do, in the objectives they have, in any advice or decisions they make.”

Adding the objective will provide certainty to international investors, the minister added.

“Australia is open for business, Australia is determined to reduce emissions and we welcome investment to achieve it,” he said.

– AAP