Woodside is also awaiting an imminent decision from the federal government on whether it will be allowed to extend the life of its giant North West Shelf operations in Western Australia for another 40 years.
An approval will end long-running uncertainty over the future of the NWS project, and it will mark the strongest sign yet from the Albanese government on its commitment to letting gas play a role in Australiaโs future energy mix.
Woodside chief executive Meg OโNeill recently faced shareholder AGM backlash over the oil and gas groupโs climate policies.Credit: Trevor Collens
The Labor government, which returned to power on May 3, has promised to accelerate the build-out of renewable energy and slash planet-heating emissions. However, it has consistently highlighted the gas industryโs ongoing importance to the economy, both as a multibillion-dollar exporter of LNG to Asia, and as a supplier of traditional energy for the millions of Australian homes and businesses that still rely on fossil fuels.
Last week, two major conservation groups lost their bid to further delay federal Environment Minister Murray Wattsโ decision to greenlight the extension of the NWS project.
The Conservation Council of WA and Greenpeace Australia had lodged a โreconsideration requestโ earlier this year, which pushed out the deadline for the approval of the controversial project from March 31 until May 31.
The request was lodged to bring more of Woodsideโs Burrup Hub vision into the environment ministerโs assessment. The hub on the Burrup Peninsula in WAโs north-west is expected to generate 4.3 billion tonnes of emissions over its lifespan, more than 10 times the nationโs current annual total.
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Producing and burning natural gas releases carbon dioxide and methane emissions that are contributing to dangerous climate change. Although more Australians are making the switch from gas-powered appliances to electric alternatives, authorities say demand is not falling at the speed needed to avert supply shortfalls in the coming years as eastern Australiaโs Bass Strait gas fields rapidly deplete.
The federal government, meanwhile, has released a โfuture gas strategyโ recognising that the fuel will continue to be needed in the clean energy transition to power gas-fired power stations that can back up the rollout of more renewable energy.
OโNeill said the governmentโs future gas strategy, led by Resources Minister Madeleine King, had made a powerful case for the role of gas in Australia and the region, but must be backed by decisive reforms to boost supply.
โWith a new federal parliament elected, it is an opportunity to finally cut red and green tape, to simplify and streamline Australiaโs approvals system.โ
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