Scott Morrison used his extraordinary ministerial powers to overrule the resources minister, Keith Pitt, on the controversial Pep-11 gas project, without revealing he had appointed himself responsible for the portfolio.
As details emerge about the former prime minister’s takeover of at least three additional portfolios, government sources say Morrison took control of the resources portfolio to reject the offshore gas exploration permit in the lead-up to the election.
Liberal MPs in coastal seats had raised concerns directly with the prime minister’s office about the Pep-11 project’s unpopularity, and had expressed frustration that Pitt had not rejected the permit renewal after it expired in February 2021.
Soon after, according to a report in the Australian, Morrison was appointed by the governor general, David Hurley, to take control of the entire Department of Industry, Science, Energy and Resources in April 2021, giving him the authority to reject the project.
Four MPs – Lucy Wicks in Robertson, Jason Falinski in Mackellar, Trent Zimmerman in North Sydney and Dave Sharma in Wentworth – all joined Morrison in December 2021 to announce that the government would be opposing the project.
It is understood that Pitt, as the responsible minister, had been seeking a review from the regulator about the project’s renewal, and had expressed concern that the government did not have grounds to reject it.
He is understood to have had been supportive of the project’s renewal and had intended to allow the approval to go ahead despite the concerns of the local MPs. Privately he had told colleagues he was concerned the government could expose itself to legal action if a political decision was made that did not follow proper procedure.
The decision is now the subject of a judicial review in the federal court with the project proponent, Asset Energy, taking action against the prime minister “as the responsible Commonwealth minister of the Commonwealth-New South Wales offshore petroleum joint authority”.
Morrison is understood to have insisted on the need to oppose the permit renewal because of the electoral unpopularity of the project in seats that were being targeted by Labor and teal independents. All four seats were lost at the 21 May election.
When making the announcement to refuse the application, Morrison stressed his role as the decision maker, without revealing he also had control of the portfolio.
“I have taken that decision directly as prime minister, and I’ve done that because these decisions, I think, scan over many areas of … the government’s operations, and I have taken advice from a number of departments on this matter,” he said.
“The government and I, in particular, has given consideration, of course, to the high levels of community opposition to the application.
“As the prime minister, you have to get the process right and you have to consider all the other factors that are involved to make a proper decision.”
According to a statement from the Office of the Official Secretary to the Governor-General, Morrison was appointed to various portfolios “following normal process and acting on the advice of the government of the day.”
“It is not uncommon for ministers to be appointed to administer departments other than their portfolio responsibility. These appointments do not require a swearing-in ceremony – the Governor-General signs an administrative instrument on the advice of the Prime Minister,” the spokesperson said.
“Questions around appointments of this nature are a matter for the government of the day and the Department of the Prime Minister and Cabinet. Similarly, the decision whether to publicise appointments to administer additional portfolios is a matter for the government of the day.”
