Santos Welcomes NSW's New Public Hearing Process

Australian oil and gas producer Santos April 30 said it welcomes the new regulation introduced by the New South Wales (NSW) government for public hearing processes of the Independent Planning Commission (IPC) while social distancing measures are in place to slow the spread of coronavirus (Covid-19). 

The new regulation will allow the consideration of new projects to continue over the coming months. Santos said this will enable the IPC to hold public hearings and make a determination on whether or not to consent to the development of the Narrabri gas project within 12 weeks of the IPC receiving the department of planning's assessment report. Last month, the NSW minister for planning had referred the project to the IPC for determination.

Santos CEO Kevin Gallagher said a decision on Narrabri is more important than ever, with many investments in new oil and gas development now deferred as a result of low oil prices and the collapse in demand.

"The only way to put downward pressure on gas prices for customers, including manufacturers, is to increase supply and competition.  Santos has committed to provide 100% of Narrabri gas to the domestic gas market and it will be the most competitively-priced gas for NSW customers in the coming years," Gallagher said.

The next step in this process is for the NSW department of planning to provide its assessment report to the IPC for consideration.

"This is an important independent process that will determine where Santos invests in natural gas developments – and we want to invest in NSW, which is the best place to match supply investments with gas demand right now," Gallagher said.

The project, however, has been mired in controversy as many activists say it poses a risk to the local environment. Santos has always denied these claims.