Scott Morrison attacks NSW for not producing enough of its own gas

TREASURER Scott Morrison has attacked NSW for not producing enough of its own gas and, in a throwback to his previous role as Immigration Minister, has vowed to turn back the boats heading to Asia with our energy.

Scott Morrison has opened fire on NSW for not producing enough of its own gas.

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TREASURER Scott Morrison has attacked NSW for not producing enough of its own gas and, in a throwback to his previous role as Immigration Minister, has vowed to turn back the boats heading to Asia with our energy.

NSW Premier Gladys Berejiklian yesterday refused to speed up coal seam gas production in NSW, despite accusations from one of her own MPs that the state government has caved in to Greens-led scare campaigns on the issue.

Gas production has been on the backburner in NSW since 2015, when the state government was battered by anti-coal seam gas protests on the north coast, resulting in the Nationals losing the seat of Ballina and coming close to losing Lismore at the state election.

Treasurer Scott Morrison. Picture: Kym Smith

NSW Premier Gladys Berejiklian. Picture: AAP

Top rating broadcaster Alan Jones also led criticism of coal seam gas mining.

However, Liberal MP Peter Phelps yesterday accused the state government of failing to mine more gas because it is cowering “to the farmers, who were lied to and mobilised by green groups about the safety of CSG drilling”.

Nationals Leader and Deputy Premier John Barilaro told The Daily Telegraph last night that gas must be part of the state’s energy mix but was reluctant to overlook the ­concerns of those living on the land.

“Businesses and families in NSW are facing a hit to their hip-pocket because of rising energy prices,” he said.

“I am well aware of the concerns in the community about coal seam gas.

“Gas needs to be part of our energy mix — but cannot be at the expense of our prime agricultural land.”

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Deputy Premier John Barilaro said gas will be part of the NSW energy mix.

NSW produces just 5 per cent of its own gas, despite a looming energy crisis threatening to push household bills even higher and causing ­potential blackouts.

Mr Morrison slammed that situation yesterday, saying: “NSW and Victoria have to carry their own weight when it comes to gas supplies and it is not doing it at the moment.”

The federal government has not committed to banning gas exports yet — and it hopes the threat of that measure will ­encourage energy exporters to impose limits themselves.

Mr Morrison said turning back just 15 container ships of gas from the LNG port in Gladstone, central Queensland, would help ease the ­energy crisis.

Origin Energy Limited’s Curtis Island LNG facility.

Australian Treasurer Scott Morrison wants NSW to produce more of its own gas. Picture: AAP

“If we can get those 15 ships back ... then that will go a long way, I think, to addressing the shortfall,” he said.

Ms Berejiklian refused to buckle on the issue, saying the state has a “good balance” on gas mining while noting Santos’s proposal to mine CSG at Narrabri is proceeding slowly through the planning process.

Santos claims its project could supply half of NSW’s gas needs over the next 20 years.

“NSW is the most resilient state when it comes to all ­sources of energy,” the Premier said yesterday.

A demonstrator protests against Santos' plans for a major coal seam gas field near Narrabri.

A Santos coal seam gas well near Narrabri.

Former energy minister Anthony Roberts previously vowed to start opening up land for gas mining again in early 2016 but his replacement Don Harwin has been more ­cautious on the issue.

Lismore Nationals MP Thomas George told the Daily Telegraph that coal seam gas mining in the Northern Rivers is “dead, buried and cremated. End of story”.

The state government discussed a blanket ban on CSG mining in northern NSW but never imposed one.

Santos' Gladstone liquidised gas project on Queensland's Curtis Island.

It did restrict CSG mining in residential areas, near horse and vineyards in the Upper Hunter and in seven villages, including Lismore and Byron.

The Greens vowed to ramp up protests again — a move that could be damaging for the government next year, prior to the 2019 state election.

Greens’ Jeremy Buckingham. Picture: John Fotiadis

“Farmers in the Narrabri district are determined not to let coal seam gas go ahead,” Greens mining spokesman Jeremy Buckingham said.

Ballina Mayor David Wright added: “The reaction against would be stronger than ever because there is too much to lose with tourism and green primary ­production.”