Is Asset a fit and proper person

PEP 11 seismic being discussed in Parliament

https://www.parliament.nsw.gov.au/H....aspx#/docid/HANSARD-1820781676-75868/link/92

ASSET ENERGY PROPRIETARY LIMITED
Mr JEREMY BUCKINGHAM ( 15:10 ): My question is directed to the Minister for Resources, and Minister for Energy and Utilities. Asset Energy Proprietary Limited is a company seeking to conduct seismic testing off the coast of Newcastle under Petroleum Exploration Permit 11. Is the Minister aware that writs have recently been issued in Western Australia for claims against Asset Energy and parent company MEC Resources for unpaid debts? Is the Minister also aware that ASX listed investment firm Grandbridge has previously sought the removal of directors from the board of MEC Resources due to alleged breaches of their director duties? Given that, is the Government concerned that Asset Energy may not meet the fit and proper person test if it were regulated under New South Wales law? Does the Minister think that Asset Energy should be investigated by the Federal Government?

The Hon. DON HARWIN (Minister for Resources, Minister for Energy and Utilities, and Minister for the Arts) ( 15:11 ): I will avoid giving my opinion on some aspects in the question that sought my opinion. Asset Energy Proprietary Limited was granted Petroleum Exploration Permit 11 [PEP11] in Commonwealth waters offthe New South Wales coast in 1999. Mr Jeremy Buckingham asked whether, in my view, the Commonwealth Government should take an approach on what is referred to in New South Wales legislation as a "fit and proper person test". I have recently been advised of some of the concerns that were raised in this question but others raised are certainly of interest to me. It is important for members to understand that as the exploration licence is administered under the Commonwealth's petroleum offshore Act there is, in fact, no provision for a fit and proper test to be carried out as it would be under our onshore legislation.
Th at is one of the reasons why as Minister for Resources I have not been giving my support to the seismic testing that is taking place off the New South Wales coast at present. After carefully considering advice provided to me by my department, when I was as ked my view by the Commonwealth Minister, as he must , I found no reason to change the previous position taken by my predecessor Minister Roberts on behalf of the New South Wales Government in recommending the application for further extension of the permit term for this PEP 11 be refused. In granting the extension of PEP 11 , the Federal Government has exercised its power to overrule my recommendation that the application for suspension and extension be refused. I have previously taken the House through the reasons for that view, and I will briefly refer to them again.

I am acutely aware of the challenge we face as a nation with respect to the affordable supplies of natural gas. I believe that we do have a role to play in contributing to a solution . However, when we introduced the NSW Gas Plan it provided an opportunity to clean up the mess left behind by the former Government. We were able to pause, re-set and restart the operation of a safe and responsible gas industry, under a world-leading regulatory regim e. That is the main reason that I am not happy to give my support to this testing off the coast. We have the right policy settings for gas exploration in New South Wales. We will not support any activities that do not meet the high standards that the commu nity expects. The existence of a fit and proper test is one of the reasons why the Commonwealth Government needs to look at its regime in offshore Commonwealth waters. It needs to bring it in line with the much tougher— [ Time expired. ]