representatives vote 2020-02-11#7
Edited by
mackay staff
on
2020-02-21 13:30:04
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Title
Bills — Offshore Petroleum and Greenhouse Gas Storage Amendment (Cross-Boundary Greenhouse Gas Titles and Other Measures) Bill 2019, Offshore Petroleum and Greenhouse Gas Storage (Regulatory Levies) Amendment (Miscellaneous Measures) Bill 2019; Second Reading
- Offshore Petroleum and Greenhouse Gas Storage Amendment (Cross-Boundary Greenhouse Gas Titles and Other Measures) Bill 2019 and another - Second Reading
Description
<p class="speaker">Joel Fitzgibbon</p>
<p>This is a highly technical bill but an important bill. The opposition will be supporting it, but I move:</p>
<p class="italic">That all words after "That" be omitted with a view to substituting the following words:</p>
- The majority voted against an [amendment](https://www.openaustralia.org.au/debates/?id=2020-02-11.102.1) to the usual [second reading motion](https://www.peo.gov.au/understand-our-parliament/how-parliament-works/bills-and-laws/making-a-law-in-the-australian-parliament/), which is "*that the bill be read a second time*" (parliamentary jargon for agreeing with the main idea of the bill).
- ### Amendment text
- > *That all words after "That" be omitted with a view to substituting the following words:*
- >
- > *"whilst not declining to give the bill a second reading, the House notes the Government's failure to adequately promote the development and commercialisation of carbon reducing technologies".*
<p class="italic">"whilst not declining to give the bill a second reading, the House notes the Government's failure to adequately promote the development and commercialisation of carbon reducing technologies".</p>
<p>We know, if we're being honest, that often second reading amendments are designed to launch an attack on the government or highlight a failing. That's not my intention on this occasion. My intention is really to lament that more is not being done on the technology side of the equation to deal with the very serious challenges we have in climate change and the challenge of reducing our greenhouse gas emissions.</p>
<p>I don't propose to repeat the details of this bill. The minister in his second reading speech has laid out the intentions, objectives and details of the bill. Suffice it to say that this bill removes impediments to and facilitates the storage of greenhouse gas emissions offshore, largely by dealing with a number of state-Commonwealth jurisdictional issues and other legislative impediments. On that basis we support the bill, and I acknowledge the work being done by the Commonwealth and Victorian governments to further the important cause of offshore storage of greenhouse gas emissions. It is very, very important. Alone, of course, it is very small. I lament the fact that we're not doing more as a country in the area of technology in our efforts to reduce greenhouse gas emissions.</p>
<p>It is interesting that, given that we spend so much time in this place, both here and in the Senate, in our various media interviews et cetera talking about the challenge of the changing climate and the need to act meaningfully in making our contribution to global efforts, we spend very little time talking about it in this chamber. That is somewhat strange. It should change. If we're going to identify it as such a significant challenge, and it is, and as such an important challenge, and it is, and a challenge so in need of a response, then we should be talking about it more in this place. We should be talking more on an economy-wide basis. We should be talking more about mitigation on an economy-wide basis.</p>
<p>At the moment, we don't really have a carbon constraint. We have a safeguards mechanism, which is very soft and very ineffective. Since the government gave up on any form of a NEG, then that's it in this country. On electric cars, we're way behind the rest of the world. Carbon capture and storage has had its funding cut by this government and is behind the eight ball. In forestry we could be doing more on abatement, if the government would only change the water rule and allow investment to flow further into plantations. There is so much more, such as in hydrogen. I know we've had the Finkel report, and I know the government is doing some things to further progress the opportunities the hydrogen sector presents to us, but, still, we are moving at a snail's pace.</p>
<p>I thought that, if there were an issue that called upon bipartisanship, it would be this one. We've been in climate wars for almost all of the time I've been here, and that's a long, long time—for at least two decades. The community is crying out for us to do something collectively, and I think it's pastime we put those wars behind us and found some bipartisanship, a political sentiment, on this issue and acted meaningfully. I think that we would be well rewarded in all sorts of ways by the Australian community, including in the area of our own credibility in our community.</p>
<p>We need economy-wide action. We need at least as much focus on technology as we have on mitigation. We need more focus on abatement. We need to be spending as much time on abatement as we spend on mitigation. There are opportunities here. We extend together a hand of bipartisanship here. Let's not be so reliant on the mitigation side, as important as that is. Let's continue to work on the adaptation side. Let us get focused on the wonderful opportunities we have in the technological area. Sadly, in the past we've seen this government attempt to abolish the Clean Energy Finance Corporation and abolish ARENA. I've said they've cut the funding to the carbon capture and storage program. I think it's time for the government to rethink its approach and get some money flowing into these programs—the sort of money we need to make them successful and to allow us to strut the stage as a small country, sure, but as a country that's leading the world on climate change action.</p>
<p class="speaker">Ross Vasta</p>
<p>The original question was that this bill be now read a second time. To this the honourable member for Hunter has moved as an amendment that all words after 'that' be omitted, with a view to substituting other words. The immediate question is that the amendment be agreed to. Is the amendment seconded?</p>
<p class="speaker">Matt Keogh</p>
<p>I second the amendment just moved by the member for Hunter, and I reserve my right to speak.</p>
<p class="speaker">Katie Allen</p>
<p>I rise to speak on the Offshore Petroleum and Greenhouse Gas Storage Amendment (Cross-Boundary Greenhouse Gas Titles and Other Measures) Bill 2019 and the Offshore Petroleum and Greenhouse Gas Storage (Regulatory Levies) Amendment (Miscellaneous Measures) Bill 2019, with mind to the fact that the world is moving towards a carbon-neutral future and we, in Australia, need to be on the front foot to lead the way in new technology to get there quicker.</p>
<p>There are two parts to these bills. The first is that the Offshore Petroleum and Greenhouse Gas Storage Amendment (Cross-Boundary Greenhouse Gas Titles and Other Measures) Bill 2019 amends the Offshore Petroleum and Greenhouse Gas Storage Act 2006, OPGGS Act to enable title administration and regulation of a greenhouse gas storage formation that straddles the boundary between state and Northern Territory coastal waters and Commonwealth waters. It is bills like this that will help Australia lower emissions and facilitate carbon capture and storage that will benefit the environment and create jobs. This is economically sound climate action.</p>
<p>The world economy is transitioning to a carbon-neutral future in a bid to protect future generations from the effects of climate change. Most countries with the strongest ambitions for a carbon-neutral future rely on more renewables and other technologies, such as hydrogen and other technologies, to get there. As a smart country with willing citizenry, we are poised to identify new economic opportunities for Australia, particularly for technologies providing storage and backup to the electricity, industry and transport sectors. Last year the Morrison government led the National Hydrogen Strategy and increased our commitment to $500 million to support the development of this new industry, to ensure a sustainable, competitive and commercial hydrogen industry that will benefit all Australians and will be a major global player by 2030. The Chief Scientist, Alan Finkel, calls it 'shipping sunshine in a bottle'. The second half of this legislation ensures greater powers for the National Offshore Petroleum Safety Environmental Management Authority to respond fully during any oil spill emergency. Australia's natural resources mean it could become one of the first countries to create a hydrogen export market. This means jobs, especially in my home state of Victoria in the Latrobe Valley, which desperately is in need of more good, well-paying jobs.</p>
<p>To lead the way in hydrogen and carbon capture and storage we need to facilitate new technology projects being investigated and the feasibility being understood. These bills seek to allow for cross-boundary single gas titles, particularly from state and territory coastal waters to Commonwealth waters. This will unify two greenhouse gas titles where a titleholder has reasonable grounds to suspect that there is a geological formation that sits on either side of two title areas. The bills seek to simplify and enable cross-boundary titles and allow the Commonwealth to facilitate this. I thank the member for Hunter for his comments endorsing this. Upon passage of these bills, the title area will become Commonwealth waters for the purpose of the Offshore Petroleum and Greenhouse Gas Storage Act. This will put the responsibility of any greenhouse gas titles in the hands of the Commonwealth, meaning a simpler process when seeking to begin a project, such as CarbonNet or another resource project.</p>
<p>Greenhouse gas storage, also known as carbon capture and storage, is the process of capturing carbon dioxide from industrial processes and then transporting and injecting that CO2 into a secure geological formation for long-term underground storage. This is about carbon abatement. This prevents large amounts of CO2 from being released into the atmosphere. This aids in reducing greenhouse gas emissions, which contribute to climate change. Currently there are four active greenhouse gas assessment permits in Commonwealth offshore waters. All four permits are located in Victorian offshore waters.</p>
<p>The CarbonNet project is related to another project—the Hydrogen Energy Supply Chain project. This project in the Latrobe Valley in Victoria is described as a world-first trial to demonstrate hydrogen production from brown coal and the safe and efficient transport of liquefied hydrogen to Japan. Hydrogen has many potential uses, including heating buildings and powering vehicles. Many countries, including Australia, are investing in and supporting hydrogen due to its potential for decarbonising our energy systems. Hydrogen can be produced in a number of ways. Clean or green hydrogen is produced using renewable energy or by using carbon capture and storage.</p>
<p>The Morrison government has released the National Hydrogen Strategy. This will help to unleash the opportunities of clean hydrogen exports. Investment in hydrogen will be even more cost-effective if, as expected, gas infrastructure can be modified for hydrogen usage in the future. In fact, town gas is the old form of hydrogen and gas together and it used the same infrastructure. Grasping early potential trade opportunities with both hands, Australia has already signed the Joint Statement on Cooperation on Hydrogen and Fuel Cells during the recent Australia-Japan Ministerial Economic Dialogue in Melbourne in January this year.</p>
<p>The National Offshore Petroleum Safety Environmental Management Authority advises that there have been two greenhouse gas acreage release rounds by the Australian government for offshore greenhouse gas storage exploration—one in 2009 and the other in 2014. Currently there are four active greenhouse gas assessment permits in Commonwealth offshore waters. The four Victorian permits are related to the CarbonNet project. The network would involve multiple carbon capture storage projects transporting CO2 via a shared pipeline and injecting it underground. The amendments relating to the creation and administration of cross-boundary greenhouse gas titles will enable projects like the CarbonNet project to proceed with its proposed site in the Gippsland Basin, in offshore Victoria. The project could also facilitate a future commercial-scale hydrogen energy supply chain project, which will produce hydrogen from brown coal resources. This is investment in new technology to help us to get to a carbon-neutral future.</p>
<p>The second half of this bill will also strengthen and clarify the monitoring, inspection and enforcement powers of the National Offshore Petroleum Safety and Environmental Management Authority so that, during any oil pollution emergency that originates in Commonwealth waters, things can happen quickly. It's so incredibly important to make sure that the authority can enter or inspect the site of any pollution emergency without a warrant. This will seek to mitigate time wasted obtaining a warrant in the event of an oil spill emergency and allow clean-up to begin very quickly. During an offshore incident, inspectors need access to real-time information, including monitoring of enforcing compliance across premises, and the ability to take enforcement action in the event of noncompliance.</p>
<p>In conclusion, this bill supports the Morrison government's ongoing commitment to the maintenance and continuous improvement of a strong and effective regulatory framework for offshore petroleum and greenhouse gas storage but also the government's continued commitment to exploring and enabling ways to lower emissions. It is worth keeping an open mind when it comes to developing opportunities for future energy generation and storage. After all, this space is moving rapidly, and we wouldn't want to miss any opportunity to lead the energy technology revolution in the world's bid for a carbon-neutral future.</p>
<p class='motion-notice motion-notice-truncated'>Long debate text truncated.</p>
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