Local coal seam gas (CSG) opponents were celebrating a victory on Monday after AGL surrendered an exploration permit that included parts of the Blue Mountains.
AGL gave up three of its exploration permits following a NSW government announcement last week that it was extending its scheme to purchase and extinguish CSG permits for another three months.
The decision includes AGL’s Petroleum Exploration Licence 2, which covered much of the Sydney region, including Blaxland to the west.
“This is great news not only for Blue Mountains residents but everyone who drinks water in the region,” said anti-CSG campaigner Jan O’Leary.
“Incredibly PEL 2 was granted over so many drinking water catchments supplying Sydney as well as the Lower Mountains. I think those who have campaigned long and hard to have PEL 2 removed can take heart at this victory. Public pressure is making it too difficult for CSG companies to continue their operations.”
The latest three PELs to be given back covered more than 1.5 million hectares, according to Anthony Roberts, Minister for Industry, Resources and Energy. All up 15 permits have been surrendered.
“We have now reduced the footprint of CSG from around 60 per cent of NSW to nine per cent,” Mr Roberts said in a statement. “The buyback of PEL 2 [covering 668,102 hectares] now means there is no CSG title covering the Special Areas of the Sydney Water Catchment.”
It is understood the government’s buyback plan for CSG exploration licences has cost about $200,000 each.
Daisy Barham, campaigns director for the Nature Conservation Council, said the Sydney permit exit was “a victory for commonsense”.
“It vindicates those communities that have been concerned about CSG in our drinking water catchment for many years and who have campaigned vigorously for the government to make these areas no-go zones,” Ms Barham said, adding the cancellation would “set a benchmark for protecting water catchments and communities across NSW from risky CSG developments”.
Labor’s energy and resources spokesman Adam Searle, a former Blue Mountains mayor, said “the news that AGL will not proceed with a number of projects is a step in the right direction to protecting our land and water from risks posed by coal seam gas”.
“Labor will continue to press for a statewide moratorium on CSG, and for all of the Chief Scientist’s recommendations to be implemented.”
— with Sydney Morning Heral