A survey has named three Australian states as among the worst places in the world for oil and gas investment.
‘Global Petroleum Survey 2018’, from the Canada-based Fraser Institute, ranked Victoria, Tasmania and New South Wales within the 10 most unattractive jurisdictions for investment, alongside places like Iraq, Libya and Bolivia.
All three states have varying levels of restrictions on onshore gas exploration, with VIC placing a complete ban unconventional activity within its borders, which the report described as “a major deterrent to investment”.
Australian Petroleum Production and Exploration Chief Executive Dr Malcolm Roberts said the states garnering such a bad reputation would only hinder attempts to avoid gas shortages on the east coast.
“At a time when VIC and NSW increasingly rely on other states to meet their gas needs, their own climate for investment is going from bad to worse,” he said.
“Australia must continue to attract investment to develop our oil and gas resources and ensure reliable, affordable energy supplies, but it is alarming that the states that most need new supply are the most hostile to resource development.”
Dr Roberts said gas prices in these regions would continue to rise if private investment didn’t become a more enticing.
“That absurd situation means homes and businesses in NSW, VIC and TAS will continue to pay higher prices to transport gas from other states, threatening the viability of hundreds of businesses and thousands of jobs that rely on natural gas supply.”
With an overall ranking of 20, the survey positioned South Australia as the country’s top destination for oil and gas investment.
A full copy of the report can be found here.
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