Resources Minister Madeleine King slaps down Marion Scrymgour’s call on fracking permits

A senior federal government minister has rejected a Territory Labor MP’s call to pump the brakes on fracking. Read her response to the Member for Lingiari’s controversial comments.

Federal Resources and Northern Australia Minister Madeleine King has distanced the Albanese government from anti-fracking comments made by an NT federal member.

Lingiari MP Marion Scrymgour said the NT government should not approve fracking production permits until the commonwealth amended the Environmental Protection and Biodiversity Act, as it applies to water trigger laws.

Writing in a column in this publication on Sunday, Ms Scrymgour said the water trigger legislation was “in the queue”, and the Territory government should wait for its passage before issuing the permits.

It’s not clear when the legislation will be debated but political observers have speculated it could be as soon as later this year.

In response to Ms Scrymgour’s comments, Ms King said the commonwealth would support projects based on their environmental merit.

“The government will continue to work with the Northern Territory government on the implementation of the Pepper Review and plan for the Beetaloo,” Ms King said.

“The government will support projects that meet the necessary environmental and regulatory approvals — noting there are currently no projects in the Beetaloo Basin currently seeking such approvals.”

Ms King said the government had “committed to expanding the water trigger to all forms of unconventional gas”.

“This forms part of our nature positive plan legislation which will be released for public consultation this year,” she said.

The Territory government this month gave the green light to fracking approvals five years after the release of the Pepper Inquiry report, which provided a road map to a sustainable onshore gas industry.

The scrap is not the first time Ms Scrymgour has opposed Labor government decisions.

In 2007 when she was the Member for Arafura in Clare Martin’s Labor government, Ms Scrymgour joined three other Indigenous MLAs — including current NT Senator Malarndirri McCarthy — to oppose expansion of the McArthur River Mine.

Then im 2009 she quit Paul Henderson’s government in a dispute about Aboriginal homelands.

Federal Labor’s order to pause fracking permits

The federal Labor government wants to apply the handbrake to development of an onshore gas industry in the Territory’s Beetaloo sub-basin.

Just weeks after the NT government gave approval for onshore gas production in the Beetaloo after an exhaustive process to meet regulatory standards, federal Lingiari MP Marion Scrymgour has called for a halt to the Beetaloo process.

She has written to Chief Minister Natasha Fyles demanding gas production approvals at the Beetaloo be deferred.

Writing in the Sunday Territorian, Ms Scrymgour said the NT government should pause production approvals at the Beetaloo until the Federal government amends water trigger legislation.

Recommendation 7.3 of the 2018 Pepper Inquiry into development of a safe onshore gas industry in the Territory requires amendments to the Commonwealth‘s Environmental Protection and Biodiversity Act.

Chief Minister Natasha Fyles and deputy chief minister Nicole Manison announce fracking can proceed in the NT.

Ms Scrymgour said the NT government should not grant any fracking production approvals until federal Labor finally implements amendments to its own legislation.

Federal Labor promised during the 2022 election campaign to amend water trigger laws to make them apply to shale gas production that will take place at the Beetaloo.

But almost a year after winning government Federal Labor has still not made the required amendments.

And despite her own government’s failures, Ms Scrymgour has told the NT government to delay issuing production permits until federal Labor gets its act together.

“The problem we currently face is while the commitment to amend the water trigger provision has been confirmed by Environment Minister Tanya Plibersek, the amending legislation for that actual outcome will have to take its place in the queue along with many other important pieces of legislation that need to be progressed.”

Beetaloo Gas Basin. Origin's Kyalla well drill site. Picture: Supplied

Ms Scrymgour’s comments come as the Territory Labor government tries to maximise the Territory’s resources potential.

In recent weeks deputy chief minister Nicole Manison has released the Minerals Taskforce Report which recommends a change to the royalty payment system, as well as leading a delegation to Japan and South Korea to discuss resources and rare earths.

Ms Manison gave the green-tick to production at Beetaloo and last week announced approval of a new lithium mine at Core’s Finniss prospect.

Lingiari MP Marion Scrymgour speaking at a press conference in Darwin. Picture: Floss Adams.

Ms Manison will attend the Australian Petroleum Production and Exploration Association conference in Adelaide this week where she will promote the Territory as an investment destination.

Australian Petroleum Production and Exploration Association NT director David Slama called for industry certainty.

“We must follow the facts and science to get the best outcome for Territorians,” Mr Slama said.

“The Pepper Inquiry found developing the Beetaloo could be done safely – one of more than a dozen inquiries, reviews and studies to say the same about hydraulic fracturing.

“Regulatory certainty is critical — The industry has invested hundreds of millions of dollars into the region and gas companies can invest much more to help deliver a new wave of economic prosperity and jobs for the NT.”

But senior Territory pollies were at pains to avoid a spat with their Federal Labor colleague, with Chief Minister Natasha Fyles defending the NT’s fracking compliance regime.

“The new industry standards set the bar high with clear expectations and transparency for industry compliance,” she said.

“We are continuing to work with the Australian government, because they know the Territory has the best resources.”

Responding to Ms Scrymgour’s comments, Ms Manison said Territory Labor understands the importance of jobs, regional development and energy security.

“Maintaining Territorians’ confidence in our strong regulatory framework is paramount,” Ms Manison said.

“That’s why we have implemented all 135 recommendations from the Independent Scientific Inquiry into Hydraulic Fracturing (Pepper), and can now carefully manage the onshore gas industry through this framework of increased transparency and accountability.

“This includes an extensive program of water regulatory reform, and Budget 2023 invests a further $13.5m over three years to implement a new Territory Water Plan.

“The Territory has the energy source that Australia and the world needs. Recommendation 7.3 has been complete, and we will continue to work closely with the Australian government as they consult on the Environment Protection and Biodiversity Conservation Act 1999 reform.”

Department of Industry, Tourism and Trade will lead a presentation on the NT’s proposed carbon capture and storage hub and a virtual reality experience of the Middle Arm sustainable development hub.

Resources companies Tamboran and Empire Energy lead the way in the race for production permits at the Beetaloo.

Originally published as Resources Minister Madeleine King slaps down Marion Scrymgour’s call on fracking permits