NSW Farmers side-eye Turnbull's “ad hoc, reactionary” gas push

NSW Farmers chief economist Ash Salardini said the Prime Minister’s dig at NSW for failing to develop more gas reserves was “ad-hoc and reactionary”, and ignored the timeframe required for proper planning and environmental checks, and a likely years-long delay before any approved gas production – let alone the fact NSW “exported more than 70 per cent” of its gas products. 

“The first point - NSW is not at all close to more gas production,” Mr Salardini said. 

“If you think of the appropriate checks and balances that need to be completed before a project is even close to being ready.... it's a pretty shocking set of affairs to be honest.

“They've created a burning platform where there is no burning platform.”

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Fairfax reported on Monday Mr Turnbull had singled out NSW for “comprehensively” failing to develop enough gas reserves – including the controversial Narrabri Gas Project – to help Australia head off grave shortages and keep power bills low, amid ACCC predictions of a looming national gas shortfall, three times worse than first thought.

Mr Turnbull said the government's powers to limit gas exports would be invoked if exporters and states with gas development bans did not show how the shortfall will be met. 

The gas trigger would limit gas exports, drawing more gas back into the domestic market. 

As political and economic commentators have pointed out, state government has committed to put gas projects through the independent Planning Assessment Commission, rather than fast-tracking them – while any approved project would likely take years to produce gas. 

“What is being proposed is a set of solutions that aren't going to solve the problem, a problem that doesn't exist,” Mr Salardini said. 

“This shortage the ACCC has identified... will widespread exploration in NSW solve it in 3 or 4 months time? The answer is absolutely no.

“It's become ad-hoc and reactionary, as opposed to a well thought-out and well-planned energy road map.

“Agriculture and farming certainly has energy and power needs - but it should not come at the cost of proper planning, environmental issues, or the water table.”

Environmental and landholder groups instead urged Federal Government to act on unrestricted gas exports. 

“The Federal Government and gas companies could take simple, urgent action to bring down prices tomorrow, and yet they are using Australian food growers and local communities as a scapegoat for their failed gas export experiment,” Lock the Gate spokeswoman Naomi Hogan said. 

NSW Energy Minister Don Harwin said the state's gas plan was science-based, and gas exploration was ongoing.

NSW Farmers says consent of private landowners must be obtained before gas exploration is allowed on their property, while adequate compensation must be paid should a farmer allow gas extraction on their land.