The future of the oil and gas industry has been thrown into disarray after a string of submissions were passed without dissent at an NT Labor Conference attended by federal and Territory government ministers.
Labor party delegates from across the Northern Territory convened at the weekend for the first time since 2019 for the 2022 Territory Labor conference, held at Charles Darwin University.
The passing of the motions, which called for an end to hydraulic fracturing in the NT, greater ambition on climate change and emissions reduction, and a commitment to implement the suite of recommendations from the Pepper Inquiry, has set in place a schism between the grassroots labor party and the territory and federal politicians.
NT Labor Environment Action Network executive Rowan Hayward said the motions were passed unanimously.
The gas-rich Beetaloo Basin — now home to a number of exploration permits — is a critical part of the federal government's post-COVID "gas-led recovery".
Millions of dollars of subsidies have been poured into the industry in a bid to accelerate gas production.
"There is a real disconnect between the rank and file of the Labor Party and Labor politicians," Mr Hayward said.
"It's very significant that this is the third conference in a row that the [delegates] have been trying to stop fracking in the NT, and the government hasn't really listened.
He said conferences served as a decision-making body of NT Labor.
"If the politicians are not taking notice of their own party, they are shooting themselves in the feet," he said.
"We're worried that in the future, that Labor is going to be guilty of greenwashing."
Anti-fracking motions passed
Of the 23 motions relating to fracking and the environment, of which all were passed, one from the east Arnhem electorate of Mulka — calling on the NT government to "immediately ban fracking" — highlighted there was strong opposition from Aboriginal Traditional Owners.
"There is a strong sense of distrust regarding fracking and concerns remain that fracking will impact aquifers, water catchments, song lines and sacred sites, causing irreparable harm to country and culture," it states.
The motion also called for a ban on the grounds that the "widespread opposition" would impact negatively on the Labor vote in many divisions in the 2024 NT election.
Another motion, moved by Young Labor, called on the government to acknowledge the Beetaloo project was "an indictment of the Territory Labor Party's morals and is a direct result of capitalistic greed".
A motion moved by the Community and Public Sector Union said the "Parliamentary wing of Labor has continued to ignore the democratically declared wishes of the party" and called on the government to "fully and properly" implement the remaining recommendations of the Pepper Inquiry.
"In particular, with urgency, Recommendation 9.8 'that the NT and Australian governments seek to ensure that there is no net increase in the life cycle GHG emissions emitted in Australia from any onshore shale gas produced in the NT'," it said.
A motion moved by Territory Labor Women said searching for gas was a "poor economic investment for government, and not an appropriate industry for public subsidy" and questioned the "large amounts of public money" already pledged by both NT and Federal governments.
Gas companies, including Origin Energy and Santos, have been ramping up exploration in the region after the Territory Labor government lifted its moratorium on fracking in 2018.
Stretching across an area more than twice the size of Tasmania, the basin contains enough shale gas to power Australia for an estimated 200 years.
Chief Minister Natasha Fyles said subsidies had always been ruled out by the NT government, but she understood the importance of creating jobs for Territorians.
She said the government was committed to implementing all 135 recommendations of the Pepper Inquiry, but did not respond to questions around the groundswell of support to put an end to fracking from within the party.
"We also know that protection of our natural environment is paramount," she said.
"Fulfilment of each of the Scientific Inquiry's recommendations will ensure that the onshore gas industry will operate under a best practice regulatory regime where Territorians can be confident the environment is protected."
Australian Petroleum Production & Exploration Association director Cassandra Schmidt said the Beetaloo Basin was recognised at a state and federal political level to be a "huge economic and energy security opportunity for the Northern Territory and Australia".
She said it could provide up to 6,000 new jobs and billions of dollars of revenue to governments within the next two decades.
"We must follow the facts and science to get the best outcome for Territorians and more than a dozen inquiries, reviews and studies – including the 15-month NT Pepper Inquiry – have found hydraulic fracturing can be done safely with any potential risks managed," she said.
A spokesman from Origin Energy – a company with major stakes in the Beetaloo – said it would continue to work with the NT government towards "achieving successful outcomes and maximising opportunities from our Beetaloo Exploration Project".
