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The Guardian - AU
The Guardian - AU
National
Royce Kurmelovs

‘More money than ever’: gas companies made almost $1m in donations to Labor and Liberals

A flare burns off excess gas from a gas well
A flare burns off excess gas from a gas well. The federal Liberal party received more than $500,000 in donations from oil and gas companies in the 2020-21 financial year. Photograph: Angus Mordant/Reuters

Fossil fuel companies backing large gas projects across Australia gave nearly $1m in political donations to the three major parties last financial year.

The analysis comes from campaign group 350.org which examined donations records from the Australian Electoral Commission to identify how much oil and gas companies were giving to Labor, the Liberals and the Nationals.

Australia has more than 100 fossil fuel developments in the pipeline that could result in nearly 1.7bn tonnes of greenhouse gases a year – equivalent to about 5% of global industrial emissions – if all were to go ahead.

Combined the total amount donated by eight oil and gas companies or their lobby groups amounted to $959,115.

Broken down between the parties, the lion’s share of this money went to the Liberal party, which received $506,810. Next was Labor, which received $392,354, and last was the Nationals, which received $59,991.

The Greens were not included as the party has a policy of refusing donations from fossil fuel companies and received none.

By far the biggest donor was Woodside Energy, which announced last year it was pushing ahead with its $16bn project to open up the Scarborough gas field, and gave $124,000 to the Coalition and $108,350 to Labor, making for a total of $232,250.

The next biggest donors were the Minerals Council of Australia, which gave $193,943 ($101,192 to the Liberals, $28,091 to the Nationals and $64,660 to Labor), and the trust for “coal baron” Trevor St Baker, which donated $165,202. Of this, $112,758 went to the Liberal party and $52,444 to Labor.

In many cases, the amounts donated skewed towards the Liberal party with groups like the Australian Petroleum Production and Exploration Association (Appea) giving the Liberal party $72,610 compared to $31,650 for Labor.

Other companies with controversial gas developments were also spending big.

Santos, which is pursuing the $3.6bn Narrabri gas project, donated $44,000 to the Labor party but nothing to the Liberals. Meanwhile, Empire Energy Group, a gas company with strong links to the Coalition that is working to frack the Beetaloo Basin, gave $40,000 to the Liberal party and $25,000 to Labor.

Shani Tager, the senior campaign manager at 350, said it was clear fossil fuel companies attempting to develop projects facing significant community opposition were attempting to buy political support.

“It’s companies that have high-profile projects that have a really strong pushback against them that are making these donations to shore up political support,” Tager said.

With “more money than ever” being donated by fossil fuel companies, Tager said political donations from the oil and gas sector should be banned over the risk it may influence policymaking in a way that stops action on climate change.

“The Morrison government has been really, vocally supportive of the gas industry and in addition to being supportive, they have really put their money where their mouth is, they give money to these groups,” Taber said.

“This money is buying what these companies want, and that is more subsidies and special conditions for their projects going ahead.”

The federal minister for emissions reduction, Angus Taylor, and the Labor shadow ministers, Ed Husic and Chris Bowen, were contacted for comment.

Last year the International Energy Agency said limiting global heating to 1.5C, a goal set out in the Paris agreement, meant exploration and exploitation of new fossil fuel basins had to stop in 2021.

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