Gas permit appeal in jeopardy after Nationals MP’s ScoMo admission

An admission by an MP that the “looming” federal election influenced Scott Morrison’s rejection of a gas exploration permit will cause headaches for Albanese.

An admission by former Nationals Leader Michael McCormack that the “looming” federal election influenced Scott Morrison’s rejection of a gas exploration permit off the east coast will make it harder for the Albanese government to defend an appeal against the decision.

On Wednesday, Mr McCormack gave an interview to Sky News Australia in which he defended the former PM’s decision to give himself extra ministries without telling the ministers or the public.

During the interview he made it clear that electoral politics had played a part in the thinking around the decision to refuse the PEP-11 permit to drill for gas off the east coast of Australia.

The permit was opposed by Liberal MPs in the seats of Mackellar, Wentworth, Robertson and North Sydney as well as by independent Warringah MP Zali Steggall and well Labor and the Greens.

The refusal, which was made in March this year, was the only occasion that Mr Morrison exercised the powers of the ministers whose jobs he had taken on.

McCormack stated that the “looming” federal election influenced Scott Morrison’s rejection of a gas exploration permit off the east coast. Picture: AFP

The decision is being appealed in the Federal Court by the exploration permit owner Asset Energy.

Mr McCormack told Sky’s Kieran Gilbert Resources Minister Keith Pitt was not “agreeable” with Mr Morrison’s decision.

“Keith wasn’t entirely happy with that decision but at the end of the day we also wanted to remain in government,” he said.

Asked if the government was fearful of losing seats, Mr McCormack said “I think any government would be fearful of losing seats” in circumstances in which the state government was opposing the permit.

“We were looking at a situation where we had an election looming and we didn’t want to ensure that all of those people along the Central Coast and the Eastern Coast of Australia were concerned about something that may not have happened or may not have arisen at any rate – why would you kick an own goal like that?”

Albanese government sources said Mr McCormack’s public statement that politics had played a role in the decision had likely strengthened the hand of Asset Energy in its court fight to get the drilling permit.

Michael McCormack gave an interview on Sky that has made the appeal harder for Anthony Albanese.

In court filings the company alleges that Mr Morrison “predetermined the Application and did not bring an impartial and unprejudiced mind to the resolution of the function he was required to perform”.

Mr Pitt, Mr McCormack and Mr Morrison are understood to have had at least one meeting in which they discussed rejecting the permit.

Mr Pitt refused to be drawn on the decision this week on the grounds that it was before the courts.

Albanese government Resources Minister Madeleine King: that as the matter is before the court it would be inappropriate to comment.

“The Albanese government respects the rule of law and role of the independent judiciary in Australia,” she said.

“If the courts find that the former Prime Minister Scott Morrison, who personally made this decision, may not have made this decision according to law then the government will work to find a legal solution to this issue.”