SA government to lift 10-year fracking ban in southeast region

South Australia Considers Lifting Fracking Ban in the South East

The South Australian government is considering lifting a ban on fracking in the state’s South East region, as concerns grow over potential gas supply shortages in southern parts of the country. This move comes after a 10-year moratorium on hydraulic fracturing was imposed in 2018 by the previous Liberal government. The current Malinauskas government has announced plans to introduce a bill in parliament that would remove the ban, allowing for exploration and scientific studies to determine if there are viable resources to extract.

Fracking, or hydraulic fracture stimulation, is a method used to extract underground oil and natural gas. However, it has been prohibited in the South East due to community concerns about its impact on limestone areas. SA Premier Peter Malinauskas emphasized that the new bill would not directly authorize fracking but would instead enable mining companies to conduct necessary exploration and studies.

Gas Supply Shortfalls and Economic Needs

Malinauskas stated that the state needs more gas to support manufacturing and economic growth. According to the Australian Energy Market Operator (AEMO), there is a projected gas supply shortfall for south-east Australia from 2030 onwards. The premier acknowledged that the bill might face challenges in passing through the upper house, particularly due to potential opposition from the Greens.

“I wouldn’t expect the Greens to support it, but I hope the Liberal Party and One Nation act with a degree of policy consistency and integrity,” he said. He also expressed willingness to engage with the South East community, including a planned visit to Mount Gambier.

Community Concerns and Opposition

The announcement has sparked significant concern among local residents and community leaders. Former Naracoorte Lucindale Council Mayor Ken Grundy criticized the government for disregarding the region’s prime agricultural land. “It’s so disappointing… we had legislation to ban fracking till 2028, and now they want to get in early,” he said.

Angus Ralton, chair of the Limestone Coast Protection Alliance, expressed shock at the decision and urged local MPs and councillors to oppose the change. He highlighted concerns about the pressure on aquifers and the potential for increased water usage by gas companies.

Federal member for Barker Tony Pasin warned that fracking poses an unacceptable risk to the region’s extensive aquifer network. He criticized politicians for changing their stance after elections, stating, “We saw that with the budget and increased taxes and now we’re seeing it with fracking in the South East.”

Calls for Community Consultation

Opposition spokesperson for energy and mining Ben Hood urged the government to consult the community before making any changes. “The community was very clear 10 years ago, and now they have no option,” he said. Jason Virgo, One Nation’s local MP for MacKillop, echoed these sentiments, stating that the government should not rush to remove the moratorium.

“Local communities want gas, but the Labor premier needs to get onto his Labor mates in the eastern states and get them to start drilling their fair share because we are looking at a crunch,” he added.

Environmental Safeguards and Industry Response

In response to concerns about environmental safety, Malinauskas emphasized that gas exploration or mining activities would only proceed if they were environmentally safe. He encouraged the community to lift the moratorium to allow for proper consultation and legislative frameworks.

Earlier this year, the SA government offered land for onshore gas exploration, with Energy Minister Tom Koutsantonis stating there would be no fracking in the South East. However, this recent announcement signals a shift in policy.

Australian company Beach Energy welcomed the move, stating it creates future options for the safe and responsible development of the South Australian Otway Basin. The company noted that while the restart of the Katnook Gas Plant does not rely on fracking, an early expiration of the moratorium could boost investment confidence in the region.

Conclusion

The debate over fracking in South Australia highlights the complex balance between economic needs, environmental concerns, and community input. As the government moves forward with its proposed changes, the outcome will likely depend on the ability to address these competing interests effectively.

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