Queensland Hunter Gas Pipeline
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The Queensland Hunter Gas Pipeline is a proposed natural gas pipeline.[1]
Location
The proposed pipeline would run from the Wallumbilla gas hub in Queensland to the Narrabri Gas Project in New South Wales, through Gunnedah, Quirindi, Scone, Muswellbrook, Singleton and Maitland to Newcastle, New South Wales.[1]
Project details
- Operator: Jemena
- Owner: Hunter Gas Pipeline Proprietary Limited[2]
- Parent company: Santos[2]
- Capacity: 450 terajoules per day[3]
- Length: 820 kilometers[4] - 833 kilometers[5]
- Diameter: 20 inches or 508 mm[5]
- Cost: AU$1.2 billion / US$870 million[6]
- Status: Proposed
- Start year: Phase 1: 2025[7]; Phase 2: 2026+[7]
Background
The pipeline would be owned by Hunter Gas Pipeline and would be built in two phases.[8] Phase one would connect the proposed Narrabri coal seam gas (CSG) project to Hunter's gas storage facility in Newcastle, New South Wales. Phase two would connect the Narrabri CSG Project with the Wallumbilla gas hub in Queensland. In May 2017, Hunter Gas signed a memorandum of understanding (MOU) to build phase one of the pipeline at a cost of AU$500 million, and operate it.[9] Construction of phase one was approved in 2009 by the New South Wales government but will not begin until the government approves the Narrabri CSG Project, according to the pipeline's project director, Garbis Simonian of Hunter Gas Pipeline.[9] This approval gave Hunter Gas Pipeline consent to build the project until February 2014, provided that substantial construction had begun by February 11, 2019.[10]
In December 2018, after ten years in which construction had not begun, and facing heavy opposition to the Narrabri Gas Project, Simonian applied to have the agreement to build the pipeline extended for another five years, with a new expiry date of October 2024.[10][11] In March 2019, Planning Minister Anthony Roberts retroactively extended the approval process for the pipeline for one year despite consent for the pipeline officially lapsing 17 days earlier.[12]
In October 2019, the pipeline was approved by the New South Wales government. Hunter Gas Pipeline Managing Director Garbis Simonian said the company hoped to bring the pipeline online by the end of 2022.[13]
In August 2020, the pipeline promoters were touting the prospects of the project receiving Australian federal government support as well as financing from equity investors and commercial banks. Australia's National COVID-19 Co-ordination Commission had in August recommended that the Australian government underwrite major new gas pipelines and other infrastructure to help underpin an economic recovery from the pandemic.[6] Quirindi farmer Peter Wills, one of many landholders who could be impacted if the pipeline proceeds, expressed alarm about the project potentially receiving federal government backing: "A deal favouring the Hunter Gas Pipeline and burning public money on building it would be a betrayal of rural constituents across its 800 kilometre route. There will be an angry backlash if the National Party allows this to happen. Politicians should not be giving privileged access to companies that want to industrialise farming districts."[14] The promoters also referred to discussions with unnamed equity investors and two major banks who could provide financing for the pipeline through equity and debt. The project's timeline seemed slightly delayed, as financial close for the project was aimed for mid-2021, along with construction starting mid-2022 and commissioning of the pipeline in the second half of 2023.[6]
In July 2021, amid a surge in Australian gas prices, Garbis Simonian complained about the lack of federal support for the Hunter Gas Pipeline to date: "We have gone to the government to underwrite it, they just keep kicking the ball down the road."[15]
In early August 2022, Santos announced that it had purchased the Hunter Gas Pipeline company, along with the approved Hunter Gas Pipeline route and project, with plans to begin construction in 2024.[2] The project's first phase is expected to become operational in 2025, while the second one is estimated to be ready sometime around 2026.[7] The company's Midstream and Clean Fuels president stated that their acquisition "provides a pathway for the delivery of gas from the Narrabri Project to the domestic market", making "more gas available to cover peak demand periods, especially in circumstances where gas power generators are called on unexpectedly to replace wind, solar, and coal outages."[16] When referring to the company's plans to build an underground pipeline, he said that this "was specifically chosen to ensure minimum impact on communities, landholders, and the environment, but there is room to make further improvements as needed."[16]
In 2023, Minister for Energy Matt Kean signed an Authority to Survey[17] that gave Santos' Hunter Gas Pipeline company power to enter private land without permission from landowners.[18][19] According to an article published in New South Wales' "The Greens", this decision comes after the Minister's announcement that "the government would be fast-tracking this project, contrary to the wishes of the community. In December 2022, landholders from the proposed route of the Hunter Gas Pipeline rallied outside of Matt Kean's electorate office in opposition to the project and made it clear that they will not be giving permission for Santos to enter their property for the purposes of the pipeline."[18] The same article points out that the project has seen decades of opposition and that the project will "lock in an additional 5 megatons of carbon dioxide going into the atmosphere every year at a time when Australia and New South Wales are trying to find more than 7 megatonnes in reduction per year."[18]
Opposition
In 2018, the modification process to the Hunter Gas Pipeline received around 200 objections and comments from people aware of the process.[20]
In June 2020, a community meeting for landowners affected by the project was held by Hunter Gas and the Liverpool Plains Shire Council. Attendees said the meeting "raised more questions than it answered" and that gas company representatives failed to address concerns about erosion, black soil, and impacts on local water supplies.[21]
In July 2020, at a hearing of the Independent Planning Commission on the proposed Narrabri CSG Project in which opponents described an "industrial wasteland" and "widespread and inevitable destruction of agriculture across the north west" if the project goes ahead, regional landholders opposed to the proposed Queensland Hunter Gas Pipeline also presented on how the pipeline, a possible conduit for Narrabri gas, would damage farming operations and the environment.[4]
The Concerned Residents Against the Queensland Hunter Gas Pipeline, a Liverpool Plains group formed in 2020 after the pipeline's Modification Extension was approved in 2019, voiced concerns about the pipeline's approval referring to three main aspects: the ground water supply for Quirindi and farmers living nearby, the constructability and safety issues of the pipeline buried in the Liverpool Plains vertisol soils, and concerns over the spread of coal seam gas into the region.[20] According to the group, the pipeline is "approved to be buried under Borambil creek, and will be in our town water supplies water table - surrounded by water, and near to the pumping station."[20] In their letter to the Narrabri Gas Project IPC, the group also states their "strong objection to the Santos Narrabri Gas project", saying that they want their "agricultural pursuits and natural assets respected, protected and acknowledged in their necessity and long term viability - which is at stark odds with the short term nature of the coal seam gas industry."[20]
In 2021, the Hunter Gas Pipeline company announced that it would explore plans to upgrade the pipeline to make it hydrogen-ready.[22][23] The company's plans were met with accusations of greenwashing, landholder opposition, and safety concerns.[22]
The announcement of the Authority to Survey signed by Minister Kean in 2023 prompted a new wave of opposition from farmers and locals. Concerns from landholders include flooding risks, water scarcity, removal of native trees, and threats to farming and livelihoods in the area.[24] Concerns are not only related to the extensive farmland area around the Hunter Gas Pipeline; the pipeline's proposed route is also traced across an area where the critically endangered Liverpool Plains grasslands occur, and "includes travelling stock routes and reserves set aside in the late 1800s."[25] The construction of the pipeline would require the removal of 75 hectares of remaining grasslands, which represents 1% of the total area that remains.[25] Some opponents have also mentioned that the pipeline crosses koala and platypus habitats, as well as the Mt Tangray Nature Reserve.[26]
Expansion projects
Mainline twinning project
In the 2021 Australian National Gas Infrastructure Plan, a potential twin pipeline along the Northern Gas Pipeline Mainline was suggested as part of a large-scale Beetaloo Basin, South Galilee Basin, and North Bowen Basin development and gas supply, which mentioned potential twinning of the mainline that would add 600–700 terajoules per day of capacity.[27] There were no details on potential ownership, though the plan mentions the need for such infrastructure to be in place by 2028.
- Operator:
- Owner:
- Parent company:
- Capacity: 700 terajoules per day[27]
- Length: 820 kilometers[28]
- Diameter:
- Status:
- Start year: 2028[28]
Narrabri Lateral Pipeline
The Narrabri Lateral Pipeline is a proposed pipeline that will connect the Narrabri Gas Project to the Hunter Gas Pipeline.[29] The pipeline will run from the Narrabri Gas Project processing facility at Leewood to the Hunter Gas Pipeline east of Baan Baa.[29] The project is surrounded by sites such as the Bibblewindi, Pilliga East and Jacks Creek State Forests.[29]
The Narrabri Lateral Pipeline has faced opposition from groups such as the North West Protection Advocacy because of its possible environmental impacts, which include methane emissions and the clearing of around 120 hectares of native Pilliga Forest vegetation.[30][31] Opponents also highlight that Santos "has lodged the flagrantly misleading Scoping Report claiming there are no cumulative impacts associated with the proposed lateral pipeline in respect of atmospheric emissions, visual disturbance, biodiversity and bushfire risks. This despite several major fossil fuel industrial projects either underway in the region, or in planning."[31]
In December 2022, the Narrabri Lateral Pipeline was declared "critical state significant infrastructure" (CSSI) by the New South Wales government, because the project would be "vital to securing affordable and reliable gas for more than one million households and thousands of businesses."[32]
In response to this declaration, a spokesperson for the opposition group Hunter Gas Landholder Rights Alliance said that they oppose the Hunter Gas Pipeline and that the declaration "would make it harder to oppose the project" and "reduces the amount of environmental impact the government will be concerned about when these projects are put in."[32] Environmental group Lock the Gate also expressed their opposition to the project following the announcement.[32]
- Operator: Santos[29]
- Owner: Hunter Gas Pipeline Proprietary Limited[29]
- Parent company: Santos[29]
- Capacity: 200 terajoules per day[29]
- Length: 50 - 60 km[29]
- Diameter: 500-550 mm[29]
- Cost: $90 million[29]
- Status: Proposed[29]
- Start year: 2028[28]
Articles and resources
References
- ↑ 1.0 1.1 Pipeline supports for CSG hubs, The Australian Pipeliner, Mar. 16, 2016, accessed Aug. 10, 2021.
- ↑ 2.0 2.1 2.2 "Australia's Santos buys pipeline route for undeveloped gas project". Reuters. Retrieved 2023-07-31.
- ↑ AEMO 2018 Gas Statement of Opportunities, AEMO, June 2018, accessed Aug. 10, 2021.
- ↑ 4.0 4.1 Narrabri Gas Project opposition flag water, environment, health worries, Narrabri Courier, Jul. 23, 2020, accessed Aug. 10, 2021.
- ↑ 5.0 5.1 "About - Hunter Gas Pipeline". Hunter Gas Pipeline. Retrieved 2023-07-31.
- ↑ 6.0 6.1 6.2 Angela Macdonald-Smith, Hunter Gas Pipeline angles for government backing, The Australian Financial Review, Aug. 31, 2020, accessed Aug. 10, 2021.
- ↑ 7.0 7.1 7.2 Australian Competition and Consumer Commission (ACCC) (January 2021). "Gas inquiry 2017-2025 Interim report" (PDF). Australian Competition and Consumer Commission (ACCC). Retrieved July 29, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ Hunter Gas Pipeline Project, Hunter Gas Pipeline, accessed Aug. 10, 2021.
- ↑ 9.0 9.1 Queensland Hunter Gas Pipeline joins with Jemena for stage one for Santos Narrabri approval, The Maitland Mercury, May 4, 2017
- ↑ 10.0 10.1 Gas pipeline backer Garbis Simonian says his $1 billion-plus plan is "insurance" for NSW gas users, New Castle Herald, Dec. 26, 2018, accessed Aug. 10, 2021.
- ↑ "Coal Seam Gas in NSW". nwpa. November 17, 2019. Retrieved July 31, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ 'Disappointing': Last-minute pipeline, land-clearing changes rile foes, Sydney Morning Herald, Mar. 7, 2019, accessed Aug. 10, 2021.
- ↑ Hunter pipeline to slash costs of Queensland gas transport, Australian Financial Review, Oct. 23, 2019, accessed Aug. 10, 2021.
- ↑ Billy Jupp, Quirindi farmers slam Hunter Gas' push for federal government backing for Queensland Hunter Gas Pipeline, Moree Champion, Sep. 2, 2020, accessed Aug. 10, 2021.
- ↑ Nick Toscano and Mike Foley, Surging gas prices raise alarm, threaten PM’s gas-fired recovery hopes, The Sydney Morning Herald, Jul. 9, 2021, accessed. Aug. 10, 2021.
- ↑ 16.0 16.1 Amarsys. "Santos acquires Hunter Gas Pipeline Pty Ltd to get Narrabri gas to domestic market as soon as possible". www.energy-pedia.com. Retrieved 2023-07-31.
- ↑ "Queensland-Hunter Gas Pipeline ATS | NSW Climate and Energy Action". NSW Climate and Energy Action. Retrieved 2023-08-01.
- ↑ 18.0 18.1 18.2 "Matt Kean betrays NSW landowners with Hunter Gas Pipeline | Greens NSW". The Greens NSW. Retrieved 2023-07-31.
- ↑ santosh@madeagency.com. "Hunter Gas Pipeline: Important Update | Morgan English Lawyers". morganenglishlawyers.com.au. Retrieved 2023-08-01.
- ↑ 20.0 20.1 20.2 20.3 "Concerned Residents Against the Queensland Hunter Gas Pipeline Submission to the Narrabri Gas Project IPC August 2020 hearings" (PDF). August 2020. Retrieved July 31, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ Billy Jupp, Farmers claim Hunter-Queensland Gas Pipeline Project meeting raises more questions than answers, Hunter Valley News, Jun. 30, 2020, accessed Aug. 10, 2021.
- ↑ 22.0 22.1 Lapham, Jake (15 December 2021). "Queensland-Hunter Gas Pipeline proponent to investigate hydrogen upgrade". ABC News. Retrieved July 29, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ "Santos buys gas pipeline to 'inject new supply into NSW'". Australian Financial Review. 2022-08-11. Retrieved 2023-08-01.
- ↑ Burt, Michael (January 24, 2023). "Hunter Gas Pipeline heats up". The Farmer. Retrieved July 31, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ 25.0 25.1 Curran, Tim (February 13, 2023). "The real price of gas: massive Santos pipeline would destroy rare native grasslands". The Conversation. Retrieved July 31, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ Sydney Knitting Nannas & Friends (April 6, 2023). "Why is the Hunter Gas Pipeline a bad idea?". Sydney Knitting Nannas & Friends. Retrieved July 31, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ 27.0 27.1 "Australia 2021 National Gas Infrastructure Plan". Australia Department of Industry, Science, Energy and Resources. Retrieved 2021-01-03.
{{cite web}}: CS1 maint: url-status (link) - ↑ 28.0 28.1 28.2 "Australia 2021 National Gas Infrastructure Plan". Australia Department of Industry, Science, Energy and Resources. Retrieved 2021-01-03.
{{cite web}}: CS1 maint: url-status (link) - ↑ 29.00 29.01 29.02 29.03 29.04 29.05 29.06 29.07 29.08 29.09 29.10 "Narrabri Lateral Pipeline Scoping Report" (PDF). Hunter Gas Pipeline. 23 December 2022. Retrieved September 5, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ North West Protection Advocacy (January 27, 2023). "Santos ignores cumulative impact of new Pilliga gas pipeline". Green Left. Retrieved September 5, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ 31.0 31.1 Northwest Protection Advocacy (January 17, 2023). "Santos ignores cumulative impact of Pilliga gas pipeline". Northwest Protection Advocacy. Retrieved September 5, 2023.
{{cite web}}: CS1 maint: url-status (link) - ↑ 32.0 32.1 32.2 "NSW accused of making a 'mockery' of its own climate stance as gas pipeline declared 'critical'". Retrieved 2023-09-05.
