Interview with Sarah Dingle, ABC News Radio

Interviewer
Sarah Dingle
Subject
Federal Court decision on Santos gas project, review of consultation process for oil and gas projects.
E&OE

SARAH DINGLE: Well, the Federal Government is flagging that it might change the consultation process that oil and gas companies have to undergo with local communities. This comes after gas giant Santos won a Federal Court battle yesterday in a case brought by a group of Tiwi Island elders over a giant underwater pipeline. The pipeline will run between Santos’ Barossa Project in the Timor Sea and Darwin, and construction on that pipeline is now free to resume following that court decision. Resources Minister Madeleine King has opened consultation on changes to the laws, and the Minister joins us live now. Minister King, welcome. First of all, what’s your response to the Federal Court decision in the case of Santos versus the group of Tiwi Island elders? 

MINISTER MADELEINE KING: Good afternoon, Sarah. Yeah, the case and the judgement announced yesterday is – you know, I can understand it’s disappointing for those that lodged the objection to the Barossa Project, and I want to make clear, I care about the concerns of all of those involved, but also I’m impartial to a certain extent and also, of course, the government wasn’t party to these proceedings. But there are contesting positions on the regulations and the effects that the project might have, and that is what has been adjudicated by the Federal Court. I've been very clear for some time now that I do respect the processes of our court system, and they are intentionally designed to be separate from government. And that’s an entirely good thing so that we do have impartial judges that go through the evidence and make a decision. So I understand there will be disappointment and I am – you know, that’s understandable. It is disappointing when these things go against you if you’re party to these proceedings. But I would say the Federal Court was well placed to assess the evidence before it and reach a judgement, and that’s precisely what has happened. 

SARAH DINGLE: Well, that may not be the end of it. The traditional owners are considering the decision. It’s still open to them to launch an appeal to the High Court. Do you think that that is likely and, if so, what would that mean for gas supplies and Santos? 

MINISTER MADELEINE KING: Well, of course it’s entirely open to them to pursue an appeal. And if that’s what they want to do, that’s, you know, a reasonable thing to do. And I accept that it takes a bit of time to make those decisions as well. And, you know, it does start this up again. What it means for gas supply more broadly is not a great deal of effect at the moment because it’s, you know, constrained to a particular project. And because of the decision yesterday, that work has now recommenced by the proponent. So I don’t think this going to the High Court would particularly affect ongoing gas supplies, but it would no doubt have some effect on the precedents that get set in court systems. 

SARAH DINGLE: Now, given that construction is at this point in time cleared to continue, once it’s completed what impact, if any, will this pipeline being built have on Australian gas prices, particularly those on the east coast which have been so squeezed in recent times? 

MINISTER MADELEINE KING: Yeah, well, this project, the Barossa Project, runs north of Darwin. So as people might know – or not know, indeed – the Northern Territory is not connected to the east coast gas market, and nor the west coast gas market. So this gas is not or never was destined for the east coast market. Mind you, we know Squadron Energy is building an import terminal on the east coast, so if things work out and someone wants to buy that gas as an import, they’d be free to do it I’d imagine. But this is principally a gas project that will support the energy security of our region, including our partners in Japan and South Korea, and also for some very important supplies into Darwin itself. 

SARAH DINGLE: So you’ve launched a consultation process looking at the process that oil and gas companies have to undergo when liaising with local communities. That pre-dated the court decision in the case of Santos and the Barossa Project, but what issues are you trying to resolve here? What are the problems? 

MINISTER MADELEINE KING: Yeah. Yes, this review was announced in the last budget and we’ve been working to get the discussion paper out into the public domain, which it is now. But what we – what I want to do and what my department wants to do is to make sure that consultation requirements and expectations of all parties are made very clear. What we have seen is that in many instances there has been a lack of consultation, and this is what has been brought before the courts and, you know, I do respect that and thank those who have brought it forward. And so there is a body of work that industry needs to do to make sure they do undertake consultation. But we’ve heard from them that there’s not enough precision in relation to what that may be. And equally we’ve heard from local communities as well as traditional owners that there is some confusion about what’s expected of them as interested parties as well. So my motivation is to make sure all of this and all of this consultation requirement is strengthened and made more clear to all of those involved. 

SARAH DINGLE: And when you say strengthened, do you mean they have to consult with more people more often? Are there compulsory stage that have to take place? What are you envisioning? 

MINISTER MADELEINE KING: Yeah, well, and this is – we’re in a public consultation period at the moment, which anyone can participate in up until the 23rd of February. And I’ve no doubt there’ll be many views on what that consultation should include. And I’m not going to prejudge that. But I can see where there might be some guardrails around the timing of consultation, making sure that is adequate and appropriate and who needs to be considered as a relevant person so that no-one shortens who that might be or limits it to a smaller group of concerned people than ought to be. So, you know – and it’s important to have some guardrails around definitions. And at the moment under this legislation there’s sort of no definitions around a lot of these things. And the legislation and the regulations haven’t been reviewed in I think over 10 years. And so the time is right given what we’ve seen – much more interest in these regulations than we have in years past. And so it’s a good time to make a review happen that includes everyone that wants to be involved, and we’ll add some more certainty to that important offshore regime. 

SARAH DINGLE: What provisions will be made for Indigenous Australians to have their say on how they think this consultation process can be improved? 

MINISTER MADELEINE KING: Well, the – my department is making sure that everyone – as many people as can – want to be involved can be involved in this process, and we are making it available to known groups, especially in the north and west coasts where the offshore fields are. So we’re making sure we contact as many people as we can to get involved. And I know there are representative groups as well that will seek out comment from traditional owners. And, you know, that’s fine. The more people that want to be involved the merrier, so to speak. It means a lot of work for my department to go through submissions, but it’s an open process of government that we want to make sure if you want to have your say, you should have your say and you’re most welcome to. 

SARAH DINGLE: What happens after consultation has finished? Does a report go straight to you? What’s the process there? 

MINISTER MADELEINE KING: Yeah, well, there has to be an end date to submissions. And sometimes, you know, to be honest, if people are a bit late we let them in anyway because things can happen. But we – well then the department goes through all these submissions and often you see – you know, you can imagine, there’s a pattern of sort of what people want to see, whether it’s, you know, a firmer, tighter definition around things or a more loose one. And, you know, we sort through that. The department does an analysis. I’ll get some recommendations. We may even consider a secondary consultation period as well depending on what the outcomes are. But then we will proceed to amend legislation and regulation if, indeed, that’s what the submissions point to. But the main thing I want to be really clear about is it’s open to anyone at all to make a submission. And I’m determined not to rush this in any undue fashion. I’ve been asked to, you know, hasten it, but I think it’s important that as many people as possible get their say. But, you know, we do have to have timelines so that we can move forward as well. 

SARAH DINGLE: Madeleine King, thank you for joining us. 

MINISTER MADELEINE KING: Thank you.