Thursday, 30 May 2024


Questions without notice and ministers statements

Onshore conventional gas


James NEWBURY, Lily D’AMBROSIO

Onshore conventional gas

James NEWBURY (Brighton) (14:28): My question is to the Minister for Energy and Resources. Yesterday the minister contradicted the Victorian government’s own gas report, led by scientist Dr Amanda Caples. On the report, former Minister Pulford said in 2022:

… restarting our onshore conventional gas industry could inject valuable new gas into the market for Victorians …

Why has the minister failed to restart our onshore conventional gas industry?

Lily D’AMBROSIO (Mill Park – Minister for Climate Action, Minister for Energy and Resources, Minister for the State Electricity Commission) (14:29): I thank the member for the question. There was nothing contradictory at all in the comments that I made yesterday to previous questions by the member on this subject matter. I have been very clear: if anyone out there thinks that they can find gas onshore through conventional means, they are welcome to approach the department or me and seek an exploration permit. They will have the ability to apply for an exploration permit through the usual means, and it is open for them to do so. The reality is this: those opposite fail to want to grasp the reality that the lead scientist in Victoria, AEMO and the ACCC have been really clear that there are insufficient reserves of gas that are coming on line to meet the demands of Victorians, and we need to be ready with alternatives in place. The facts are clear. Some may want to live in denial. You know why? Because they are pursuing an ideology instead of the geology of this, frankly.

James Newbury: On a point of order, Speaker, the minister is debating the question. The question was why the minister has failed to restart our onshore conventional gas industry.

The SPEAKER: A point of order is not an opportunity to repeat the question. The minister will come back to the question.

Lily D’AMBROSIO: There is no barrier to conventional onshore gas exploration in Victoria. In fact it was actually lifted a handful of years ago after a previous coalition government put a moratorium not just on coal seam gas exploration and fracking; they actually extended that to include a moratorium on conventional onshore gas. Three opportunities they had. The first one was a moratorium on coal seam gas and fracking under your government in 2012; we were in opposition. They added to that towards the end of 2012, and in 2014 they put the cherry on the icing on the cake. That is what they did. We restarted onshore conventional gas opportunities for those that are prepared to come forward if they believe that there is gas to be found onshore.

The reality is that these proponents of the gas industry report to the ACCC and they report to AEMO, and they have been very clear that there is insufficient prospective gas that is available to come on line to meet our needs. That is the reality of it. Stop putting your ideology in the way of geology and the facts of the matter. I will take my advice from the experts any day. This government will always act on the expert advice and take leadership action to ensure that Victorians have a secure energy supply, whether it is electricity or gas, and that is exactly what we will get on and do.

James NEWBURY (Brighton) (14:33): In question time yesterday the minister advised that the Australian Energy Market Operator said – and I quote – new Victorian production of gas that is due in 2024 is anticipated to be zero and, in 2025, zero. Labor has been in power for a decade and approved no gas exploration projects. Why has the government failed to ensure a steady gas supply for Victorians?

Members interjecting.

The SPEAKER: Treasurer, would you like to answer the question?

Lily D’AMBROSIO (Mill Park – Minister for Climate Action, Minister for Energy and Resources, Minister for the State Electricity Commission) (14:33): There is a previous resources minister who would be very happy to answer the question of course. On the supplementary question, the answer to that question was in my primary answer, which is that for a number of years there were moratoriums put in place by those opposite, who do not actually want to own that decision or those three decisions that they made. They do not want to own any of that. A number of assessments and analyses were conducted over a period of years, and the lead scientist reached a conclusion around the prospectivity of onshore conventional gas availability here in Victoria and made it very clear that there were no proven or known resources available for us. That is the reality. I cannot approve an exploration permit if no-one comes forward and seeks an exploration permit. The option is open, and I would welcome any that do come forward.

Members interjecting.

The SPEAKER: The member for South-West Coast can leave the chamber for half an hour.

Member for South-West Coast withdrew from chamber.