❓ Mrs. Harvey questions the Premier's decision to grant Mitsui E&P Australia and Beach Energy an exception to the domestic gas policy. The Premier defends the decision by highlighting the project's job creation potential and WA gas supply contribution.
AnsweredQoN 556Legislative Assembly
QuestionView source ↗
DOMESTIC GAS POLICY — MANY EXCEPTIONS
556. Mrs L.M. HARVEY to the Premier:
Will the Premier explain to the house the decision-making
process that he undertook to allow an exception for Mitsui E&P Australia
and Beach Energy from his changes to the government's domestic gas
policy?
556. Mrs L.M. HARVEY to the Premier:
Will the Premier explain to the house the decision-making
process that he undertook to allow an exception for Mitsui E&P Australia
and Beach Energy from his changes to the government's domestic gas
policy?
AnswerView source ↗
As members know, we have had a domestic gas policy in place
in Western Australia going back 14 years. Premier Alan Carpenter introduced it
in 2006 to require a contribution towards domestic gas from major projects
across Western Australia. Before that we did not have a domestic gas policy. It
was hotly contested at the time. It has been a success, and we have seen that
other states have not had a model that has worked particularly well,
particularly Queensland. But we have identified that there are some issues with
it. There have been some problems, particularly about a potential loophole
whereby gas exported from Western Australia to the eastern states could be
counted as domestic gas. We did not want to see that happen, so we had to deal
with that.
The Waitsia project has been around for a considerable period
of time, and we know that it has the capacity to deliver jobs. If we did not
provide for it to be exempted, the project might not happen. It is also
shovel-ready. It is ready to go and a final investment decision will be made
very shortly. There will be 200 jobs in the midwest and 50 per cent of the gas
produced will come into Western Australia, so we decided to allow that project
to happen.
in Western Australia going back 14 years. Premier Alan Carpenter introduced it
in 2006 to require a contribution towards domestic gas from major projects
across Western Australia. Before that we did not have a domestic gas policy. It
was hotly contested at the time. It has been a success, and we have seen that
other states have not had a model that has worked particularly well,
particularly Queensland. But we have identified that there are some issues with
it. There have been some problems, particularly about a potential loophole
whereby gas exported from Western Australia to the eastern states could be
counted as domestic gas. We did not want to see that happen, so we had to deal
with that.
The Waitsia project has been around for a considerable period
of time, and we know that it has the capacity to deliver jobs. If we did not
provide for it to be exempted, the project might not happen. It is also
shovel-ready. It is ready to go and a final investment decision will be made
very shortly. There will be 200 jobs in the midwest and 50 per cent of the gas
produced will come into Western Australia, so we decided to allow that project
to happen.
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