APPEA: Clarity Needed on New CSG Regulation (Australia)

The peak body representing the oil and gas industry is seeking a seat at the table as the details are thrashed out regarding yesterday’s announced intervention into coal seam gas (CSG) regulation by the Federal Government.

The Australian Petroleum Production & Exploration Association’s (APPEA) Chief Executive, David Byers, said: “We are very keen to ensure any new federal approach complements, rather than duplicates, the existing extensive state-based regulation of our industry.

“APPEA supports science-based public policy and welcomes the Government’s call for a ‘science-based’ approach to matters regarding the gas industry’s expansion.

“However, it appears the package has the potential to cause major project delays. The states already have rigorous regulatory processes in place and one third of Eastern Australia’s natural gas supply already comes from CSG developed safely and responsibly under this oversight.

“Any regulatory changes should not overturn good practice, or do anything to hurt the jobs or business interests of the thousands of Australians already working in the CSG industry. It is concerning to see the Commonwealth flagging possible amendments to the EPBC Act to create a trigger for more Commonwealth intervention.

“APPEA is also seeking clarification on whether the Government’s yet-to-be-established Independent Expert Scientific Committee, which will provide advice upon impacts to water resources, will have the capacity to examine the impacts of other industries. Valid bioregional assessments should take account of all major users, including agriculture – which accounts for 83% of water taken from the Great Artesian Basin – yet there is no reference in the package to agricultural usage.

“And APPEA will be highlighting the importance of ensuing the CSG industry continues to grow sustainably. There are already more than 9,000 people directly employed in CSG; most of whom live in rural Australia.

“At a time of great economic uncertainty, the past 12 months have seen almost $50 billion committed to CSG projects that will earn hundreds of billions in export dollars. Given the demand for jobs, revenue and growth in Eastern Australia these contributions should not be taken for granted.

“In addition to providing unparalleled economic opportunity, Australia’s CSG industry is also set to play a critical role in reducing greenhouse gas emissions, both here in Australia, and throughout South East Asia.”

[mappress]
LNG World News Staff, November 22, 2011; Image: APPEA