PERTH (miningweekly.com) – The Australian Petroleum Production and Exploration Association (Appea) has welcomed the Western Australian government’s release of its implementation plan outlining its response to an Independent Scientific Panel Inquiry into hydraulic fracture stimulation.
An independent Scientific Inquiry was carried out to understand the risks associated with extracting petroleum products using hydraulic fracture stimulation and to protect the state’s environment from those risks.
The Inquiry handed its report to the state government in September of last year, and the state government has now responded by accepting in-principle the Inquiry’s recommendations and announcing a raft of new, world-class controls as detailed in its Implementation Plan.
The government’s decisions included lifting the hydraulic fracture stimulation moratorium on all onshore petroleum titles existing as of November 2018, while maintaining the ban on the South-West, Peel and Perth metropolitan regions.
The government would also ban hydraulic fracturing in national parks, the Dampier Peninsula and other iconic cultural heritage areas, while introducing a requirement for consent of the relevant traditional owners and private landholders before hydraulic fracturing could be permitted.
The government has also taken the decision to restore the 10% royalty rate for all onshore petroleum, and to establish a Clean Energy Future Fund, with a A$9-million seed allocation, using the royalties from fracking projects, to support the facilitation of clean energy developments.
Hydraulic fracturing would also be prohibited within 2 000 m of gazetted public drinking water sources.
Appea CEO Andrew McConville said that the release of the implementation plan was a step in the right direction and will help provide confidence in the sector.
He said the plan highlighted there were robust regulations in place for onshore exploration and development in Western Australia.
Hydraulic fracturing has been used safely in Western Australia for more than 60 years and the independent scientific inquiry confirmed that if properly regulated, hydraulic fracturing is a safe practice.
“Industry agrees with the government that Western Australia has a proud history of safe and responsible oil and gas operations, and the sector will work closely with regulators, stakeholders and regional communities to maintain this world-class approach.”
McConville said it was vital that the recommendations were implemented with a genuine consideration of science and well-known risks.
“Like many other industries, technological advances in the petroleum sector have driven strong environmental and safety performances in recent years. Western Australia needs a stable policy framework to ensure certainty and confidence for companies to continue to invest in this important oil and gas state.”