Union wants national reserve of gas

AUSTRALIANS could have cheaper energy and a cleaner environment if the government reserved some of the nation's gas, a key union says.

Five hundred delegates to the Australian Workers Union's national conference on Tuesday are expected to approve a plan to lobby the federal government for a national gas reserve.

A report by some of the nation's biggest gas users released last year found that Australia's domestic gas prices were rising because major gas producers were focused on maximising LNG exports to China, Japan and Korea.

Australia is the only country where a massive expansion in production has led to serious gas shortages and big price rises for consumers.

The union is expected to approve a motion calling for the government to retain a gas supply for domestic use - which some say should equate to about 15 per cent of LNG production - to take pressure off prices and provide cleaner energy.

AWU delegates are also expected to ask the NSW government to cut red tape and other barriers to the extraction of coal seam gas.

The conference will hear from ACTU secretary Dave Oliver and Treasurer Wayne Swan on Tuesday.

Delegates will also debate a motion to improve union corporate governance by setting a "zero tolerance" policy.

The conference at Jupiters Casino finishes on Thursday.

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