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June 27, 2022

Labor welcomes AGL decision on Gloucester

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Energy company AGL’s decision to cease CSG activity in Camden by 2023 and not proceed with the Gloucester Gas Project has been welcomed by the NSW Opposition.

In an announcement this week to the Australian Stock Exchange (ASX) AGL confirmed it will be ceasing CSG activity across the state by 2023 due to volatility in commodity prices, long development lead times and inadequate financial returns.

The decision will provide peace of mind and certainty to communities in both Gloucester and Camden.

The move by AGL is a further opportunity to strengthen NSW’s fledgling renewable energy sector that is struggling to meet a target of 20 per cent of energy supplied by renewable sources by 2020.

This is a responsible and mature decision by a company that has taken a clear decision to reduce its emissions and increase its renewable energy generation.

If the coal seam gas industry is to have a future in NSW, all of the recommendations of the Chief Scientist’s report must be implemented first.

The Baird government must commit to implementing in full all of Professor O’Kane’s recommendations.

This is an opportunity for AGL to begin down the path to more renewable energy sources.

While the NSW government has a target of 20 per cent of energy coming from renewable sources by 2020 – a target instituted by the last NSW Labor government – at present less than 11 per cent of energy comes from renewables.

Luke Foley (opposition leader),  Adam Searle (shadow minister for industry, resources and energy)


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