Australian Victoria State Permanently Bans Fracking

Australian state of Victoria has permanently banned exploration and development of all onshore unconventional gas, including hydraulic fracturing and coal seam gas.

In a statement released August 30, the Labor government said the permanent legislative ban, a first for Australia, to be introduced to parliament later this year, will protect the “clean, green” reputation of Victoria’s agriculture sector, which employs more than 190,000 people. “The government’s decision is based on the best available evidence and acknowledges that the risks involved outweigh any potential benefits to Victoria.” The state has imposed a moratorium on fracking since August 2012.

Exemptions to the ban will remain for other types of activities that are not covered by the current moratorium, such as gas storage, carbon storage research and accessing offshore resources, the government said adding that exploration and development for offshore gas will also continue.

Victoria premier Daniel Andrews (Credit: Government of Victoria)

The government will also legislate to extend the current moratorium on the exploration and development of conventional onshore gas until June 30, 2020. 

Australia’s key oil and gas industry body, the Australian Petroleum Production and Exploration Association (APPEA) has been extremely critical of Victorian government’s approach towards the natural gas industry.

“All credible, independent inquiries have confirmed that, properly regulated, the natural gas industry is safe. Political decisions should be based on facts, not dishonest fear campaigns. More than any other state, Victoria relies on natural gas. Almost 80% of homes use natural gas. Natural gas is also the invisible ingredient for manufacturing – 27% of the gas consumed by industry in Victoria is used as feedstock to make essential products such as glass, bricks and fertilisers. There is no substitute,” APPEA chief executive Malcolm Roberts said August 15.

There has been stiff resistance to coal seam gas gas exploration in some Australian states mainly on environmental grounds. New South Wales has seen widespread protests at exploration sites. In the last couple of years the government has bought back and cancelled many permits. 

Shardul Sharma