The Northern Territory’s Power and Water Corporation has filed legal action against its principal gas supplier, Eni after an alleged reduction to its entitled gas supply.

Filed in the Supreme Court of Western Australia, the action follows what Power and Water claims was a reduction in gas supply from June 2021 and continuing into 2022.

Eni does not dispute the supply reduction from its Blacktip gas fields off the Western Australian coastline, claiming it to be excusable under current arrangements.

Though Northern Territory residents were unaffected by the resulting shortage, Power and Water claims to have suffered lost capital in its capacity to on-sell product to ‘strategic customers’.

The action will seek to uncover the reasons for Eni’s failure to meet Power and Water’s historic entitlements.

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