The WA government remains opposed to the establishment of a national offshore petroleum regulator, despite agreeing to support it.
The Senate yesterday passed a bill to set up a single regulator in Perth that would control the safety and environmental management of all offshore petroleum projects, which are presently overseen by both state/territory and federal legislation.
The bill is expected to pass the House of Representatives later this year.
A national regulator was recommended following an inquiry into the Montara oil spill off north-west WA in 2009, which was the worst oil spill in Australian history.
WA Minister for Mines and Petroleum Norman Moore said the state government had little choice in agreeing to support the national regulator.
“While the State Government has signed an MOU [Memorandum of Understanding], it was the better option of a poor deal,” he said.
WA is the only state to oppose the national regulator, arguing that the petroleum industry was so important to the WA economy it should maintain influence on regulation.
Mr Moore questioned the federal government’s ability to handle regulation of the complex industry.
“Western Australia is the nation’s largest jurisdiction for offshore petroleum activity with decades of profitable years ahead of it, so it is important that the state government continues to play a major role in the regulatory processes and that industry is not forced to deal with two different regulators which will create added complexity,” he said.
“The proposed national regulator is unlikely to provide any benefit to Australia, Western Australia or the offshore petroleum sector, even in the long term.
“It will not solve the complex cross-jurisdictional boundary issues or the complexity relating to environmental and native title issues and it will force the industry to deal with an extra layer of bureaucracy and creates added complexity for industry in an already complicated approvals system.
“The Commonwealth will now become the sole manager of petroleum activities in Commonwealth waters, and we have concerns that they do not have the expertise to do the job properly. For example, pink batts.”
Mr Moore said he was disappointed the federal government had progressed legislation for the national regulator before completing negotiations with the state government.
“However, an agreement in principle was reached with the federal government for state and Commonwealth petroleum regulators to be co-located,” he said.
“The co-location in Perth will help facilitate the transfer of responsibilities and ensure more efficient use of regulatory staff for approvals in State and Commonwealth waters in respect to joint management of offshore petroleum activity.”
By Courtney Trenwith (The Sydney Morning Herald)
[mappress] Source:The Sydney Morning Herald ,September 15, 2011; Image:Australian Maritime Safety Authority, August 25, 2009