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Australia Orders Treasury Modeling for LNG Windfall Tax

Prime Minister Anthony Albanese has directed Treasury to model a windfall tax on the country's liquefied natural gas sector amid a global price surge, a move Energy Minister Chris Bowen confirmed as part of a confidential cabinet process. Treasury’s work will need to reconcile contract architecture, international policy alternatives (including UK industry calls for price‑triggered levies and counter‑proposals to ease levies to spur capex) and physical market frictions such as shipping and insurance premia that affect how much revenue can realistically be captured.

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