Geelong Gas Company
| Company type | Private |
|---|---|
| Industry | Gas manufacturing and supply |
| Founded | 1858 |
| Defunct | 30 June 1971 |
| Fate | Absorbed by Gas & Fuel Corporation of Victoria |
| Headquarters | Geelong , Australia |
| Products | Town gas |
The Geelong Gas Company was a privately owned firm founded in 1858 with the purpose of manufacturing and supplying town gas throughout Geelong. Operating from a gasworks facility located in North Geelong, it transformed coal into gas to serve both residential and industrial customers. The company continued its operations until 1971, when the city adopted natural gas and the firm was absorbed by the Gas & Fuel Corporation of Victoria.
Establishment
Efforts to introduce a piped gas system in Geelong commenced in 1854, culminating in a formal meeting to form the company in July 1857. The legal foundation was laid under Act No. 57 of 1857 with the objective "to facilitate the convenience of residents in the Town of Geelong and the municipal district of Newtown and Chilwell."
The initial blueprint involved constructing a facility capable of producing annually and laying down gas mains ranging from 2 inches to 6 inches in diameter.
By April 1858, suitable land for the gasworks was sought. A proposed site within central Geelong was dismissed due to public health concerns, prompting the Gas Company Act of June 1858, which banned gas production inside city boundaries. Subsequently, in March 1859, land was acquired in North Geelong from the Geelong & Melbourne Railway Company at £200 per acre, amounting to . A private railway siding—the first of its kind in the area—was established by September 1859.
On 10 February 1860, the foundation stone was set with a time capsule containing company records and local newspapers, which were later uncovered in 1924. The entire project cost £24,135, staying below the £25,000 budget.
The inaugural gas lamp connection underwent testing on 3 May 1860, followed by an official lighting ceremony on 24 May.
Expansion
During its initial year, shareholders received a ten percent dividend. By 1894, gas powered approximately 13 percent of business premises and street lighting throughout Geelong, with more than 350 street lamps installed across neighboring municipalities. Each lamp consumed of gas, emitting light comparable to that produced by 15 sperm candles. Nevertheless, by 1913 most major contracts for street illumination had transitioned to electric power.
Following World War I, demand outpaced supply capacity; as a result, modernization of the gasworks took place in 1924. Industrial consumption of gas began in 1925, marking a shift from predominantly domestic use. In addition, new company headquarters were established at 161 Ryrie Street in 1920.
In 1957, construction of the No. 5 gas holder occurred in Newtown at a cost of £110,000 to accommodate planned expansions south of the Barwon River. By 1958, the company served approximately 18,000 customers with an extensive network of mains throughout Geelong. By 1963, mains extended over , nearly half installed within the previous decade. A new capacity gas holder was commissioned in 1964 by Power-Gas Corporation (Australia) Pty Ltd.
Obsolescence
By the decade of the 1960s, coal-based gas production had become outdated. In 1963, the Geelong Gas Company transitioned to using an Onia Gegi reforming plant that processed hydrocarbon gases sourced from Shell’s oil refinery at Corio into town gas. This advanced syngas technology drew attention and visits from other gas utilities. Coal carbonising equipment remained solely for coke manufacturing.
The discovery of significant natural gas reserves in Bass Strait revolutionized energy supply. On 16 March 1967, the Geelong Gas Company entered into a twenty-year letter of intent with Esso Australia and Hematite Petroleum to procure natural gas from Bass Strait fields.
The conversion process to natural gas was projected to cost between $2.5 million and $3 million with completion aimed for 1971. This transition entailed constructing a new pipeline from Melbourne, purging existing coal gas from systems, adapting burners and valves for higher pressure operation, and dismantling outdated gasworks infrastructure.
The principal pipeline linking Geelong and Melbourne was finalized in February 1971 at a cost of $1.7 million; it was engineered for pressures up to 1000 psi and a daily capacity of sixty million cubic feet. Residential conversions commenced on 15 March 1971 and concluded by August.
The end
On 11 December 1964, the Gas & Fuel Corporation of Victoria made a takeover offer for the Geelong Gas Company, valuing shares at $3.65 and involving approximately 800 shareholders. This offer was subsequently retracted.
A successful acquisition was completed in 1970 following the passage of legislation by the State Parliament; shareholders received $3.40 per share. With acceptance reaching 70%, the company officially ceased operations on 30 June 1971.
A scandal emerged when an accountant from the Gas and Fuel Corporation purchased 11,000 shares ahead of the takeover announcement, utilizing insider information. Despite evidence confirming this misconduct, no governmental action ensued. Opposition Leader Clyde Holding’s request for a thorough inquiry was obstructed by Premier Henry Bolte, acting on advice from the Auditor General.
The gasworks were dismantled in September 1972, although some structures such as railway sidings and gas holder bases still exist. The former company offices located at 161 Ryrie Street have since been designated as heritage sites.