Scientific enquiry into hydraulic fracturing in NT releases draft final report

The scientific enquiry into development of onshore shale gas using hydraulic fracturing in Australia’s Northern Territory (NT) has released its draft final report, making a total of 120 recommendations.

The report determined that the risks associated with the development of shale gas can be mitigated, and in many cases eliminated altogether, if certain recommendations are implemented.

Formed by the NT government last year, the enquiry is mandated to identify and assess the environmental, social, cultural and economic risks associated with hydraulic fracturing.

A moratorium is currently in place in the NT and the government is waiting for the final report of the independent enquiry, which is expected to be published in March next year, to make a policy decision on the issue.

Inquiry Chair Justice Rachel Pepper said: “The overall conclusion of the report is that risk is inherent in all development and that an onshore shale gas industry is no exception.

“However, if the recommendations made in this draft report are adopted and implemented in full, those risks may be mitigated or reduced – and in many cases eliminated altogether – to acceptable levels having regard to the totality of the evidence.”

The enquiry called on the government to complete a strategic regional environmental and baseline assessment (SREBA) to collect essential baseline data before embarking on the development of any onshore shale gas industry.

It also stressed the need for stringent engineering standards for the construction, maintenance and de-commissioning of all onshore shale gas wells and for the extraction of shale gas by hydraulic fracturing; as well as the adoption of new technologies.

Welcoming the draft report, the Australian Petroleum Production & Exploration Association (APPEA) South Australia / Northern Territory director Matthew Doman said: “Justice Pepper’s draft report echoes the conclusion reached by numerous other scientific inquiries and reviews that any risks associated with hydraulic fracturing can be minimised or eliminated with proper regulation.”

Other recommendations of the enquiry include strong oversight and real-time public scrutiny of data related to monitoring and reporting of all aspects of onshore shale gas operations.

In addition, the enquiry urged the government to have in place an independent and transparent regulatory framework.

The recommendations of the enquiry are not binding on the government.