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WA EPA rejects alarmist views

AUSTRALIA'S upstream industry has hailed the latest assessment guidelines from Western Australia'...

WA EPA rejects alarmist views

The EPA launched its Environmental Protection Bulletin on Hydraulic fracturing for onshore natural gas from shale and tight rocks yesterday, which replaces advice issued in 2011 and reflects how industry regulation has evolved in recent years.

The EPA noted that the majority of exploration work in WA is for shale and tight gas - describing shale gas as found in shale formations and requiring hydraulic fracturing to be extracted, while tight gas is trapped in compacted sandstone and limestone and only requires hydraulic fracturing in some circumstances to be extracted.

"There is great interest in the community about the potential environmental impacts and risks of hydraulic fracturing, the regulation of this activity and the knowledge-base of the hydrogeology of the target area," EPA chairman Paul Vogel said.

"It is essential that in preparing for the potential future referral of a larger-scale trial or full production-scale proposal, that the studies undertaken and information provided to the EPA are robust and sufficiently comprehensive to enable a thorough assessment of the environmental impacts and risks."

Vogel said the bulletin only addressed hydraulic fracturing for shale and tight gas, with the EPA set to develop further guidance if hydraulic fracturing for CSG was likely to be considered in WA.

Six small-scale proof of concept proposals involving fraccing were referred to the EPA, but were handballed to the Department of Mines and Petroleum after the agency deemed them not significant enough (in terms of environmental impact) to warrant its attention.

Australian Petroleum Production and Exploration Association chief operating officer, western region Stedman Ellis said the EPA had now outlined a "pragmatic and responsible approach" to the approval of more advanced projects based on a comprehensive and scientifically-based assessment of risk.

"In doing so, it has clearly rejected the alarmist view that shale and tight gas projects cannot be developed safely," he said.

"Instead, the EPA has effectively said that new proposals should be considered on their merits and, if approved, be required to operate in accordance with strict regulations."

He said the new assessment guidelines provided certainty for companies by making it clear what information would be required by the EPA when considering new projects.

While the level of information required was extensive, Ellis said industry recognised that the EPA was responding to community concerns.

"The EPA has reiterated its view that some hydraulic fracturing proposals will not require a formal assessment because the effect on the environment is unlikely to be significant," he said.

"This has been the approach taken in regard to exploration wells currently planned for the Perth and Canning basins.

"The community can be confident, however, that any proposal that is subject to a formal impact assessment in the future will have been through an extremely comprehensive and rigorous process."

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