AS sensational as it is, Canberra's decision to stop fighting the PEP-11 proponents in the Federal Court does not guarantee the project will actually go ahead.
We are a long way away from anything like that. Even if the title holders do proceed, it will be with a limited amount of exploratory drilling.
Further hurdles must be cleared before any consideration of production can take place.
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What's happened now is that the Labor government has agreed to ask the court to set aside a decision made during the previous administration, when former prime minister Scott Morrison used his powers as a secretly self-appointed resources minister to stop the project.
If the Federal Court accepts the "consent orders" proposed jointly by the Commonwealth and the companies involved, the Commonwealth/NSW National Offshore Petroleum Titles Administrator will be able to resume considering an application to extend the lapsed PEP-11 exploration licence.
As the photograph above - taken two years ago tomorrow - reminds us, Anthony Albanese made no bones as opposition leader about Labor's dislike of PEP-11, saying "a Labor government that I lead will stop this proposal dead in its tracks".
Hunter Labor MPs were similarly hostile.
While the pros and cons of gas as a fuel are much as they were back then - objectors cite greenhouse gas impacts, supporters argue gas is a transition fuel away from coal - the huge global spike in energy prices means the economics of PEP-11 now look more feasible. High coal and gas prices are ultimately the result of a shortage of supply.
At present, renewables cannot yet power the grid without fossil fuel support. Without new mines and gas wells, supply will remain tight and prices will stay high. Blaming Vladimir Putin won't change that.
The immediate response to yesterday's news was overwhelmingly negative.
Even if PEP-11 were to find commercial quantities of gas to supply - as promised - to the domestic rather than export market, Labor's earlier hardline criticisms mean it would take some very deft manoeuvring from the PM to change tack.
At its heart, the PEP-11 debate pits environmental principle on one side, against public outrage over high energy prices on the other. It's a brave government that ignores the hip pocket.
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