WA's oil and gas industry watches impact of High Court ruling closely

A recent High Court ruling in New South Wales has prompted concern among Western Australia's oil and gas industry regarding the potential impact on future investments in the resource-rich state. The ruling mandates planning authorities consider global climate change impacts when approving local fossil fuel projects, specifically noting that scope 3 emissions from coal exports must be factored in.

This decision came after three out of five judges ruled in favor of an environmental group challenging the expansion of MACH Energy's coal mine. Concerned that the ruling could stifle investment, industry bodies and consultants express worry that international investors may be deterred by the uncertainty surrounding approvals and the potential for approvals to be revoked.

The Chamber of Minerals and Energy WA's CEO underscores the significance of the decision, warning that halting the development of such projects could lead to their emergence in countries with looser environmental standards. Key stakeholders emphasize the importance of considering all environmental and climate impacts during the approval process to avoid contributing to climate damage.

Despite the ruling's interpretation of New South Wales laws, legal experts acknowledge its relevance to other Australian jurisdictions, including Western Australia. Industry leaders and government officials, including the Western Australian Premier, maintain that the state's Browse gas project, currently under evaluation, will not be adversely affected, as it must still adhere to stringent state and national regulations.