Gas producer Senex Energy's Chief Executive Ian Davies said on Tuesday Australia's environmental approval process was killing investment in the country's resources sector where it takes almost three years for new projects to get greenlit.
In a speech to the Australian Domestic Gas Outlook (ADGO) conference in Sydney, Davies said the Labor government's planned changes to its environmental protection law had to ensure the nation's resources industry remained competitive.
Labor has proposed reforming the Environment Protection and Biodiversity Conservation Act (EPBC) with new legislation and the establishment of an agency to oversee development decisions.
The government has argued the changes should reduce red tape and streamline the project assessment process.
"The 1,009 days it takes on average to approve a resources project under the EPBC act is killing investment in Australia," Davies told the conference.
"A delay in project approvals by a year or two, combined with additional costs navigating complex regulation, can turn a good investment opportunity into a value-destroying one."
Minister for the Environment and Water Tanya Plibersek did not immediately reply to a request for comment.
Senex, owned by South Korea's Posco International Corp 047050.KS and Hancock Energy, is a Queensland-based gas producer. It had been due to spend A$1 billion ($653 million) on expanding its Atlas project in Queensland's Surat Basin.
But the expansion was put on hold in December 2022 after the government set a price cap on new wholesale gas sales by east coast producers to reduce power bills for households and businesses hit by soaring costs.
($1 = 1.5298 Australian dollars)
