The New South Wales (NSW) government has proposed new legislation to ban offshore oil and gas exploration in the state. The ban has received support from both sides of politics and is aimed at preventing major environmental disasters such as oil spills and reducing greenhouse gas emissions associated with petroleum extraction.
The legislation, which will amend the Environmental Planning and Assessment Act 1979, will ban all sea bed petroleum and mineral exploration and recovery activities in the state’s coastal waters. It will also prohibit energy companies from carrying out other developments related to offshore oil and gas exploration, such as pipelines. The NSW government believes that these measures are necessary to protect the environment from the potential risks associated with offshore mining.
However, the ban will not apply to activities that the state government deems beneficial to the environment. This includes the recovery of sand for beach nourishment or beach scraping to prevent erosion. Dredging activities for removing sediments or pollutants, as well as laying pipelines or submarine cables, will also be exempt from the ban.
NSW Climate Change and Environment Minister Penny Sharpe supports the new legislation, stating that it prioritizes environmental protection and local interests. Similarly, NSW Central Coast Minister David Harris believes that local communities will benefit from the bill, as it aims to protect coastal waters and marine environments.
The state opposition is expected to support the bill, with Shadow Environment Minister Kellie Sloane welcoming the announcement. However, she questioned why the state Labor government did not take action earlier, as the opposition had introduced a similar bill in June 2023.
Despite the proposed ban, some energy producers have expressed their intention to continue exploration activities. Advent Energy Executive Director David Breeze stated that his company would maintain its commitment to exploring and securing gas resources in Commonwealth waters under the Petroleum Exploration Permit 11 (PEP-11). Breeze argued that NSW faces a gas supply shortfall within the next four years and that PEP-11 has the potential to supply the bulk of the state’s gas needs for 20 years.
The proposed legislation has received attention and is likely to have a significant impact on the energy industry in NSW. It reflects the growing concern for environmental protection and the desire to reduce reliance on fossil fuels. As the bill progresses, it remains to be seen how energy producers and the government will navigate the tensions between economic interests and environmental conservation.
