It marks the greatest giveaway of Australian resources ever and will undermine the nation's energy security, while driving up energy prices.
Environment Minister Murray Watt has not provided details of the conditions on Woodside to protect the ancient, priceless Murujuga rock art or how much Woodside succeeded in watering down those conditions during 12 weeks of secret negotiations. However, it is clear that acid gas emissions from the project will continue corroding Murujuga until 2070.
Massive emissions
The approval will add around 90 million tonnes of emissions to the atmosphere annually, equivalent to building 12 new coal power stations.
Undermine energy security
The extension allows Woodside to export enough gas to supply Western Australia for around 90 years, despite WA facing looming gas shortages and price increases. Analysis here.
Increase energy bills
North West Shelf has already tripled WA's wholesale gas and electricity prices since it began exporting the state's onshore domestic gas reserves in 2020, exposing WA to global prices. This will get worse due to the project's vast unfilled demand for gas to export. Analysis here.
The greatest ever giveaway of Australian resources
The Australia Institute estimates the value of royalty-free gas exported via the North West Shelf over the extension period as up to $215 billion, equivalent to around four years of Australia's total defence budget. Analysis here.
"Today's final approval of Woodside's massive North West Shelf gas export terminal will mean emissions equivalent to 12 new coal power stations, making a mockery of the Prime Minister's promise to act urgently on climate change. It is a betrayal of Australians who voted for action on climate change, and of our Pacific neighbours," said Mark Ogge, Principal Advisor at The Australia Institute.
"The approval is also an economic disaster for Western Australia and Australia as a whole.
"It's unbelievable that as WA faces looming gas shortages in the next few years, the WA and federal governments have decided to let a handful of global oil and gas giants export enough gas to supply WA for around 90 years.
"To add insult to injury, the Australian government is giving away, royalty-free, around $215 billion worth of gas to Woodside and its partners. This is the greatest giveaway of Australian resources ever.
"The value of the gas being given away could have paid Australia's entire defence budget for four years.
"The North West Shelf project is running out of offshore gas and sucking up WA's domestic gas reserves, undermining WA's energy security and driving up gas and electricity prices.
"The foolish decision by the WA government to allow the export of WA's onshore domestic gas reserves via North West Shelf has already tripled wholesale gas and electricity prices in WA, undermining the state's manufacturing industry in particular. This decision will lock in that stupidity for another 45 years."
