The Federal Government’s decision to delay its assessment of the North West Shelf extension is a blow to Western Australia’s energy security and another example of how our national environmental laws are failing.  

Australian Energy Producers Chief Executive Samantha McCulloch said the North West Shelf project has been powering WA homes and industry for 40 years and will play a critical role in the state’s future energy security and economic prosperity.

“After six years of environmental assessment and having secured state government approval, there is simply no justification for further regulatory delays,” Ms McCulloch said.

“This is yet another example of the open-ended and uncertain approval processes that are driving away investment and damaging Australia’s reputation as a stable, predictable country to do business.

“The extension of the North West Shelf project is needed to ensure reliable and affordable gas supply to Western Australians, with the Australian Energy Market Operator forecasting gas shortfalls in the State from 2030.”

WA’s gas industry is a driving force behind the state’s economy, providing 54 per cent of WA’s primary energy and 60 per cent of the state’s electricity. The industry contributes $35 billion a year to the WA economy and supports more than 73,000 jobs in the state.   

Natural gas also provides more than half the energy used by WA’s mining and minerals processing sector and supports emissions reductions in WA and the region.

A recent independent report by EnergyQuest found that without new gas investment, Western Australia would run out of gas for electricity from the early-2030s and its mining and industrial sectors would be left without gas from mid-2030s.

“The Federal Government must provide certainty to the millions of WA households and businesses that depend on gas and rule out any further delays to this critical energy security project,” Ms McCulloch said.