Environment groups have welcomed a move by the conservative Liberal-National government in the southern Australian state of Victoria to suspend decisions on all onshore gas exploration works.
The Liberal-National Energy Minister Russell Northe is today to reject the approval of work and operation plan applications for exploratory drilling activities until a community consultation process on Coal Seam Gas (CSG) is completed early next year.
The environmental action group Friends of the Earth (FoE) has welcomed the move and said the Government had played an “astute” political hand in an election year.
“It is great to have an energy minister that is willing to listen to the community,” said FoE campaigns co-ordinator Cam Walker.
“The government has played an astute hand, as they could not face the risk of farmers having to blockade drilling operations in an election year.
“They have pushed the problem to the far side of the November election,” Mr Walker said.
“The Coalition needs to fully understand the implications of today’s decision. Community concern will not go away.
“The next year will be used by the community to build its power to oppose any drilling that may be approved after the consultation process”.
“Any party approving onshore gas drilling will have to fight the community every step of the way” added Ursula Alquier, FoE community campaigner and Lock the Gate Victoria co-ordinator.
Mr Northe’s decision means a controversial works application, submitted by Lakes Oil last year to horizontally drill 1500m below the surface at Seaspray, in the eastern Gippsland district, will be delayed until at least 2015.
“This government has resolved to undertake a community consultation in line with a moratorium on fracking and new licences for CSG exploration,” Mr Northe said.
“It is clear there are concerns around prospective onshore gas exploration under currently held licences.
“In the spirit of the current moratorium, the government has decided to put a hold on making any decisions on the approval of current onshore gas exploration work plans.”
The decision is expected to ease the concerns of community and environment groups, particularly in Seaspray, where anxiety over CSG and horizontal drilling has been intense.
Lakes Oil director Rob Annells refused to rule out taking legal action if a decision on the company’s application was rejected or delayed significantly.
Mr Annells told the News Corporation rural publication The Weekly Times this month there was no reason the Government should reject his application and it was a “compromising type situation” to fracking.