Luis Feliu
North coast coal-seam gas miner Metgasco has come under fire for its ‘tactics of berating the government while negotiating an out-of-court settlement’ and ‘seeking a bailout with taxpayers money’.
The miner is currently in a legal stoush with the government over its recent licence suspension sparked by massive protests at its exploration site at Bentley near Lismore.
Sydney media reported that a possible payout of $15 million was being discussed as an out-of-court settlement.
But an APN Media report last week quoted an industry source saying there was ‘no way’ the company would walk away from its northern rivers project (PEL16) for anything less than $120 million.
NSW Greens mining spokesman Jeremy Buckingham said Metgasco’s problems ‘all stem from their absolute failure to win community support for coal seam gas in the northern rivers’.
‘To now demand taxpayers bail them out, potentially to the tune of $120 million, is outrageous and borders on extortion,’ Mr Buckingham said.
‘This ongoing berating commentary from the company during the court case and negotiations for a possible settlement, reflects extremely poorly on Metgasco’s management,’ he said.
‘They should stop whingeing and accept reality that the company itself failed.
’Exploration licences come with numerous conditions, including the need for genuine community consultation.
‘Consultation is not just a tick-a-box exercise, but is an important part of earning a social licence to operate.
‘The Petroleum Onshore Act is clear in stating that compensation is not payable if an exploration licences is cancelled for a valid reason.
‘Unfortunately, the government recently repealed a broader ‘public interest’ reason for licence cancellations, which would have made the process far simpler.’
NSW energy minister Anthony Roberts suspended Metgasco’s drilling licence in May just days before 900 police were due to descend on the Bentley site to confront thousands of protectors who had set up a blockade.
The northern rivers region has repeatedly called on premier Mike Baird to declare the region a gasfield-free area.
Industries unprotected
Meanwhile, Mr Buckingham also slammed the state government for failing to protect the dairy and sugar industries on the north coast and across NSW against CSG exploration or mining.
Opponents of CSG mining say ‘critical industry cluster’ protection status should be given to other vital industries such as sugar growing and dairying, in the same way horse studs and wineries in the Hunter have been protected.
The Greens say methods of assessment for critical industry cluster status should be re-examined, and applied to new industries, after the primary industries minister ‘all but admitted’ granting such status to thoroughbred breeders and viticulture was a ‘political fix to quieten opposition in the Hunter region’.
Mr Buckingham says the minister, Katrina Hodgkinson, admitted there would be no more Strategic Regional Land Use plans and that any further consideration of critical industry cluster status (which buffers them from industries such as mining) would have to wait until ‘regional growth plans’ were developed sometime in the future.
He said the minister should re-open the assessment process, and apply it to new industries such as dairy, citrus growing, rice and sugar.
‘It is unfair that certain industries have missed out on even being considered for critical industry cluster status simply because the government is chopping and changing its planning regimes,’ he said.
The minister should set up an assessment process for the cluster status now, he said, ‘so that industries can have some certainty and protection, and will be ready to be included in future planning documents’.
Mr Buckingham said it was a great policy for protecting clusters of agriculture and their associated infrastructure and skills base.
‘The government should set up an assessment process with a clear set of criteria, so that other industries can apply and be provided with protection from disruption by mining or gas exploration,’ he said.
‘Citrus growers, rice farmers, the dairy industry and others have all expressed interest in being assessed for critical industry status.
‘Minister Hodgkinson should tell these industries why they do not deserve the same level of protection as the studs and wineries of the Hunter?
‘The Strategic Regional Land Use Policy was the signature policy for the coalition to deal with land use conflict. It’s clear that this policy has been compromised to the point where the government is walking away from it,’ Mr Buckingham said.
I believe it is completely immoral to campaign to save Strategic Cropping Land, indeed to save any particular land type. We had this happen in Queensland when The Greens and Lock the Gate, is there really a difference, campaigned during the last election that they only wanted to save 4% of Queensland from mining. Those of us on the other 96% were hung out to dry as they deliberately shifted the anti-CSG focus to NSW, thus allowing the projects here an almost free run at getting established. I regard this as one of the most corrupt acts by any Big Environment I have witnessed. It makes the 1991 Greenpeace sellout to Nufarm at Werribee look tame by comparison.
Unless you stop CSG everywhere at best you are simply saving yourself to last, which is an immoral approach. If the CSG projects get up and running in Queensland, and I am still fighting them here even though I am on my own these days, then nothing will save you, it will only be a matter of time before this corrupt industry arrives in your back yard or paddock. Don’t think the Greens won’t sell you out when the time comes, and don’t think Lock the Gate won’t either, because their history proves that they will.
The Greens just want your votes.
Well, Peter Henderson always knew how to win friends and influence people didn’t he? Not! I don’t know who he thinks he really is, but berating and insulting the residents of the Northern Rivers was not a good start. Talking at, and not with, was always his big problem. A recent interview on ABC radio, almost saw him lose it and go into his hard sell about “science proves gas is safe” nonsense. Community Consultation was never his “thing” – but I think a psychiatric consultation may not be too far off.
Hi Graeme, Stop being so grumpy!
The Greens official policy is for NO coal seam gas anywhere. If we were in government, that is what we’d implement. We want to transition to clean energy future.
The Greens also talk about “productive” agricultural land, not just “prime” or “strategic” agricultural land like the Nationals do. We recognise there are many productive farmers whose land may not meet the criteria of being ‘the best of the best’, but run productive farming operations.
The reason the Greens talk about other issues like critical industry cluster status is that during a campaign you use different tactics to point out different issues. The government has recognised that certain industries deserve a different level of protection. Other industries want that same protection, so we are pointing this out as part of a broader campaign. It’s incumbent on the government to explain why they are discriminating between different industries and picking farvourites? Is it all part of a political fix?
Max
Hey Graeme, the Greens have been fighting for QLldas well so please stop defaming them. I vote for the person and appreciate all the hard work that the Greens, Janelle Saffin, Justine Elliott and even Kevin Hogan have done to lobby for a CSG free Northern Rivers. Your criticism would be best directed at those who have done absolutely nothing for the cause instead of trying to divide the community. Division in community is what the mining companies want and you are not helping the issue with your anger that SE QLD was developed so quickly. Also understand that even though a lot of us couldn’t make it up there our hearts and letter writing was there for you. So, please be grateful for all those that did make an effort for keeping CSG out of SE QLD. Your rants do not do the cause any favours.
Regarding Metgasco, the government should tell them ‘They’re dreaming’ when it comes to compensation. The federal and state government have a war on renewable energy but they are not offering to pay compensation to our local solar power companies who have had to lay off workers because of lack of support and certainty. This has been going on longer that what Metgasco has been facing. Solar has the support of the community and they are not getting compensated. Why should Metgasco?
So let me get this straight. The NSW government believes horse studs and wineries are critical industries yet dairy, sugar, citrus, rice (basic foodstuffs) aren’t. mmmm, life on the edge in the eastern suburbs?
Licensing for the CSG industry should not be based on which state its activities are situated in or on which industries are incumbent in the region. It must be an industry where the licensing, or lack thereof, is based on its proximity to drinking water. As this industry is reliant on water to do its fracking dirty deeds, it must be situated near water at all times, which renders it an environmental threat at all times.
Differentiating between people, grapes, and horses just demonstrates even more clearly the woeful incapacity of our government in dealing appropriately with Metgasco and their cronies’ disgraceful lack of regard for anything beyond the hip pocket!