Santos committed to local jobs, local investment, chief executive tells IPC

Narrabri district would see a significant boost to its local workforce if the Narrabri Gas Project is approved.

Santos managing director and chief executive of Santos, Kevin Galllagher, told Monday’s Independent Planning Commission public hearing that Santos was committed to local employment.

“I am personally committed, as the Santos CEO, to ensuring that, if the project is approved, our operational employees work and live locally with their families as part of the Narrabri community throughout its operation,” Mr Gallagher said in his presentation to the IPC.

“Santos will also work with the Narrabri Shire Council to encourage new gas-using industries to locate in Narrabri, bringing even more jobs and business opportunities, and helping to build stronger and more vibrant regional communities.”

Santos is proposing a $3.6 billion development of the Narrabri Gas Project which the company said would be capable of meeting half the gas demands of NSW when in production.

“Since 2011, we have spent more than $1.5 billion acquiring, appraising, developing and operating gas assets in the Narrabri region,” Mr Gallagher said.

“Santos is already an important member of the Narrabri community.

“Narrabri gas from appraisal wells already supplies the Wilga Park power station, generating enough electricity to power around 23,000 households – and this will soon increase to 32,000 households.

“We employ 16 people who live and work locally, and we are buying locally, spending $2 million last year alone on local goods and services.

“If approved, the Narrabri Gas Project would bring up to 200 skilled, well-paying, secure jobs throughout its operation and many more hundreds during the construction phase,” Mr Gallagher said.

“I am personally committed, as the Santos CEO, to ensuring that, if the project is approved, our operational employees work and live locally with their families as part of the Narrabri community throughout its operation.

“I am also very pleased that Santos has entered into a $14.5 million Voluntary Planning Agreement with the Narrabri Shire Council which, if the project is approved, will deliver improved infrastructure at the Narrabri Airport, more maintenance for local roads, further development of the Narrabri sports and tourism precinct, library relocation to allow the expansion of the Country University Centre and many other valuable community initiatives.”

Presenting Narrabri Shire Council’s submission, the mayor Cathy Redding urged the IPC to approve the project.

Narrabri Shire Council mayor Cathy Redding said in her submission to the IPC that the Narrabri Gas Project had the potential to deliver economic benefits.

The council’s position had been adopted after extensive research and debate, Cr Redding said.

“Over the last month or so in front of this Commission, we have advocated a position in favour of one project, but expressed opposition to another,” (the Vickery mine extension) Cr Redding said.

“We, as a Council will not be deterred from our merit-based assessment, no matter how loud the outside noises are from either side of the debate.

“We have done our research, sought advice and had the debate.

“At our November 2019 meeting, my colleague Councillor Staines, the Deputy Mayor and a passionate advocate for the Narrabri Shire, moved a motion “that Council support the Narrabri Gas Project”.

“This motion was discussed at great length and ultimately supported.

“It is now the agreed position of Narrabri Shire Council. We support this project.

“We have raised our issues with this project. We want to be sure that our groundwater resources will be safe from harm. We want to be sure that farmers are treated with respect and compensated where it is fair and reasonable. We want the recommendation from the Chief Scientist’s report on financial assurance to be enacted. We want Department of Planning to say that the compensation and assurance funds are adequate and explain this to us in plain English.

“And we want continuous monitoring of gas wells in place, until the science on abandoned gas wells is settled.

“With the right safeguards in place and with the proponent’s commitment to fund further research in the area of abandoned gas wells, I believe this project can, and should be, approved.

“Our support for this project is largely premised on social and economic benefits” the mayor said.

“Over the longer term, greater energy security, self-sufficiency and supply chain certainty is likely to be in Australia’s national interest, particularly in a post-COVID-19 world.

“Narrabri Shire is ready to play its part in Australia’s economic recovery and energy security. We want to make things here, not overseas. This project, in conjunction with Inland Rail and our proposed Inland Port has the potential to deliver jobs and opportunities well into the future for our people.

“The multiplier effect is likely to be significant.”