The Australian claims the Coalition is seeking get the energy industry “moving” as the east coast gas squeeze becomes more prominent, along with rising prices and pressure from the federal Coalition.
An amendment will be brought before the Victorian upper house this week to remove the moratorium on conventional exploration from the current anti-fracking bill, and will also seek to allow a domestic gas reservation policy for conventional gas.
“By not having it ingrained in a legislative moratorium, it means the industry can start moving now,” a source told The Australian.
“What this effectively does is create an opportunity for the industry to talk to the farming community and to ensure that the environmental elements are protected in all of this.”
However, the government’s bill to permanently ban all onshore unconventional gas development and exploration along with a moratorium on onshore gas exploration until 2020 will still hold enough support to pass unamended, according to The Australian.
In further news, Victoria has committed $10 million to a study on the potential development of conventional gas discoveries.
The study will primarily focus on the Otway Basin in south west Victoria, where the funds will used on scientific, technical and environmental studies into onshore conventional gas extraction and development.
The three-year study will coincide with the current extended moratorium on onshore conventional gas, and will be led by Victoria’s Chief Scientist Amanda Caples.
