 LNG Unit joins DEEDI The liquefied natural gas (LNG) industry is a powerhouse for future economic development in Queensland, including Gladstone and the Surat and Bowen Basins. As part of the machinery of Government changes, the LNG Industry Unit has been transferred to the Department of Employment, Economic Development and Innovation (DEEDI). The Unit will continue to lead and facilitate overall policy development, industry assistance and management of commercial negotiations in relation to the LNG industry. The LNG Industry Unit has been set up as a one-stop shop for LNG industry proponents who wish to engage with government. The LNG Industry Unit also liaises with local authorities, peak industry bodies and project proponents to develop a whole-of-government policy response and to facilitate the LNG industry in Queensland. The unit's major roles include:
These aspects fit well with DEEDI's employment generation and industry development brief, while other aspects such as planning, land tenure, pipeline corridors, common user infrastructure and approval processes for specific projects will remain with the Department of Infrastructure and Planning. Liquefied natural gas In recent times, there has been significant interest in the development of a liquefied natural gas (LNG) industry in Queensland based on processing coal seam gas (CSG) from the Surat and Bowen basins. The proposals include piping CSG to Gladstone or Abbot Point, liquefaction of the CSG to produce LNG and export of LNG to international markets. Eight proponents have publicly announced proposals. Seven of these are seeking to export LNG from Gladstone and one is seeking to export from Abbot Point. The first export of LNG is expected to commence in 2012 with significant LNG exports scheduled from 2014 onwards. Potentially, the LNG industry could involve a private sector investment of more than $40 billion, the export of over 50 million tonnes of LNG per annum, which would provide significant economic benefit to Queensland including an increased Gross State Product of over $3 billion and the creation of over 18 000 jobs. Key issues With the emerging LNG industry, there are a range of economic, environmental and social impacts that need to be considered. The LNG Industry Unit in consultation with other government departments and proponents is currently reviewing these possible impacts. The government's preliminary review of these issues is set out in the Issues Paper (PDF - 75 KB) Blueprint for Queensland's LNG Industry The Queensland Government has released the Blueprint for Queensland's LNG Industry. The Blueprint outlines the Government's policy position and how the Queensland Government intends to work with the industry and local communities to ensure that any development of an LNG industry is progressed in a way that benefits all Queenslanders. This blueprint also outlines the Government's achievements so far and how it will manage the industry's development into the future. Download Blueprint for Queensland's LNG Industry. Domestic gas market security of supply Given the importance of natural gas to Queensland's ongoing energy security and the significance of the emerging liquefied natural gas (LNG) industry to the State's future economic development, the Queensland Government has released a consultation paper for public comment. The public comment period ended on 15 October 2009. Download the consultation paper. View the submissions. Port of Gladstone Western Basin Draft Master Plan In order to provide long-term coordination of the industrial development in Gladstone, the government is undertaking a significant initiative called the Port of Gladstone Western Basin Draft Master Plan. Management of coal seam gas water A key issue is the management of CSG water - a by-product of CSG production which typically contains high concentrations of salt and other contaminants that have the potential to cause environmental harm if released to land or waters through inappropriate management. The LNG Industry Unit is working with the Department of Infrastructure and Planning's Coal Infrastructure Taskforce to finalise a policy position on management of coal seam gas water. Studies In order to facilitate the LNG industry, the government has commissioned a number of studies:
Environmental impact studies Environmental assessments status:
In addition, the Gladstone Port Corporation (GPC) is conducting an environmental assessment regarding the Fisherman's Landing site (Fisherman's Landing Port Expansion, Port of Gladstone). Fact sheets Below are some fact sheets to help stakeholders to better understand the LNG and CSG industries:
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(c) The State of Queensland (Department of Employment, Economic Development and Innovation) 2009.