contrasting fortunes for states with csg

Contrasting fortunes for states with CSG
http://www.theaustralian.com.au/national-affairs/contrasting-fortunes-for-states-with-csg/story-fn59niix-1226471416320

BY: IMRE SALUSINSZKY From: The Australian September 11, 2012 12:00AM

JOBS in the coal-seam gas industry jumped by 6674 positions in Queensland during the first half of this year, compared with just 39 extra jobs in NSW, according to latest industry statistics.

The figures confirm CSG has been in paralysis in NSW since the O'Farrell Coalition government suspended new licences last year, and come on the eve of a highly anticipated announcement on CSG's future in the state.

The Australian understands state cabinet discussed land use policy last night and an announcement is expected later in the week.

A draft policy released earlier this year pleased neither the industry nor environmental and farming groups convinced CSG is a threat to groundwater supplies.

The issue has caused intense political difficulties for Nationals ministers and MPs, along with NSW Planning Minister Brad Hazzard.

However, the essential feature of the draft -- a "gateway" approach in which higher approvals standards are set for farming areas but no land is off-limits -- will almost certainly be retained.


The new industry numbers, collected by the Australian Petroleum Production and Exploration Association, show Queensland bounding ahead of its southern neighbour in CSG, which provides 90 per cent of household gas in Queensland and just 6 per cent in NSW.

The industry now employs 18,538 workers in Queensland and 332 in NSW.

Community contributions by the industry -- including the construction of houses and contributions to sporting clubs and charities -- were about $13.5 million in the first half of this year, bringing the total to about $84 million in Queensland, compared with a total of $551,000 in NSW.

During the next week the APPEA will run advertisements in regional newspapers promising CSG will create 20,000 jobs during the next 10 years.

The Australian understands the organisation has written to NSW Premier Barry O'Farrell, reminding him the establishment of a "balanced" land use policy was a key election commitment.

One of the few CSG projects in development in NSW -- a test well at Fullerton Cove, near Newcastle -- was halted last week after protesters succeeded in gaining a temporary injunction in the Land and Environment Court.

Some of the most contentious CSG proposals are on the outskirts of residential areas, including in Sydney.

The most controversial aspect of the process is fracking, or injecting water under high pressure to fracture an underground coal seam.

Fracking is suspended in all NSW CSG operations.