Senate debates

Thursday, 12 September 2019

11:58 am

Photo of Dean SmithDean Smith (WA, Liberal Party) | | Hansard source

I, and also on behalf of Senators O'Sullivan and Sterle, move:

That the Senate—

(a) recognises that Western Australia's North West Shelf celebrated 30 years of liquefied natural gas (LNG) exports in August this year;

(b) notes the following milestones for the LNG sector:

(i) that Japan was Western Australia's first LNG customer back in 1989, and continues to be Australia's largest LNG customer,

(ii) in 2006, Western Australia became the first jurisdiction in the world to export LNG to China,

(iii) in 2018, Western Australia's LNG sales by volume increased 34% to 44.7 million tonnes from Gorgon, Wheatstone, Northwest shelf and Pluto, and

(iv) in 2019, Australia's total LNG production capacity will reach 88 mtpa, making it the largest LNG producer in the world; and

(c) recognises the important contribution the LNG sector makes to the Western Australian economy, accounting for 17% of total resources and energy exports in 2018, and estimated to be worth $27 billion to the economy.

11:57 am

Photo of Larissa WatersLarissa Waters (Queensland, Australian Greens) | | Hansard source

I seek leave to move an amendment to this motion.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Leave is not granted.

Photo of Larissa WatersLarissa Waters (Queensland, Australian Greens) | | Hansard source

I seek leave to make a one-minute statement.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Leave is granted for one minute.

Photo of Larissa WatersLarissa Waters (Queensland, Australian Greens) | | Hansard source

This motion reads like it's written by the LNG industry. Australia becoming the largest LNG producer in the world is nothing to be proud of in an age of a climate emergency. The Western Australian LNG sector emits approximately 32 million tonnes of greenhouse gases annually, which is one-third of WA's total emissions. Chevron and Woodside are Nos 6 and 10 of Australia's top 10 biggest emitters and yet they paid no tax in Australia in 2018 and they continue to pay no royalties. Collectively—and there's no coincidence here, I'm sure—Chevron and Woodside have donated nearly $2.7 million to the coalition and Labor since 2011. Ironically, a recent RepuTex report found that developing a carbon offset market for LNG emissions in Western Australia has the potential to provide large economic opportunities and job creation across the state, particularly in regional communities. Where's the motion for that one?

11:59 am

Photo of Dean SmithDean Smith (WA, Liberal Party) | | Hansard source

I seek leave to make a short statement.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Leave is granted for one minute.

Photo of Dean SmithDean Smith (WA, Liberal Party) | | Hansard source

Just by way of explanation: while it is unusual to deny leave, it is important to put on the record the fact that the amendment to this particular motion was circulated very, very late—perhaps immediately prior to the beginning of this part of the business of the Senate. In addition to that, it is important that senators be given an opportunity to canvass the views of other senators before making significant amendments to a motion.

12:00 pm

Photo of Rex PatrickRex Patrick (SA, Centre Alliance) | | Hansard source

I seek leave to make a short statement.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Leave is granted for one minute.

Photo of Rex PatrickRex Patrick (SA, Centre Alliance) | | Hansard source

Whilst I understand that LNG is a transitional energy source away from higher-emitting carbons, and that in that respect it is good, I will point out that Western Australia doesn't benefit as it should and the nation doesn't benefit as it should. I note that of a number of LNG companies working in Western Australia—ExxonMobil, for one—earned $33 billion over the last four years of tax transparency data, paying no tax. We've had Shell earning $52 billion and paying only $1 billion in tax, and Origin Energy in Western Australia earning $51 billion with only $180 million of tax. So, whilst in some sense I support the sentiment of this motion, we have to work with the reality that there are companies working without social licence in Western Australia that could be contributing more.

12:01 pm

Photo of Jonathon DuniamJonathon Duniam (Tasmania, Liberal Party, Assistant Minister for Forestry and Fisheries) | | Hansard source

I seek leave to make a short statement.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Leave is granted for one minute.

Photo of Jonathon DuniamJonathon Duniam (Tasmania, Liberal Party, Assistant Minister for Forestry and Fisheries) | | Hansard source

By way of trying to assist the chamber, we seek leave to postpone this motion until the next day of sitting so that we can allow an amendment to be dealt with as it ordinarily would be—with enough notice, and to be able to talk with other senators.

Leave granted.