New gas agreement to streamline negotiations with farmers

A historic land access agreement developed to streamline negotiations between oil and gas companies and farmers was signed off last week.

The agreement, endorsed by the Australian Petroleum Production and Exploration Association (APPEA), WA Farmers Federation, the Pastoralists and Graziers Association of WA and Vegetables WA, follows two years of negotiations between the industry groups.

“With increased exploration activity for onshore oil and gas in Western Australia the land access agreement will assist negotiations between petroleum companies and farmers,” Department of Mines and Petroleum executive director petroleum Jeff Haworth said.

“The agreement will outline the rights and responsibilities of property owners and petroleum companies during negotiations over land access, and will include information on compensation, mediation and land rehabilitation following exploration activities.”

The model agreement will be accompanied by a ‘Farmers Guide to Land Access’, which provides easy-to-read information on how rural land owners can negotiate fair and equitable agreements for exploration on private land.”

Mr Haworth said the agreement is complemented by new regulations for the petroleum and geothermal industries that came into effect from July 1, giving Western Australia the most stringent environmental conditions in the country for the emerging shale and tight gas industry.

Before drilling programs are approved DMP assesses applications to ensure they comply with state legislation relating to protecting public health, the environment and water resources.

Future projects will be assessed by DMP on a site-by-site, project-by-project basis with safety and environment auditors conducting inspections to check compliance with safety and environmental standards.

As part of the approvals process, companies are legally required to formulate an environment plan that assesses the potential impacts on groundwater, as well as flora and fauna.

All companies are required to submit a list of all chemicals to be used in hydraulic fracturing activity, which are published on the DMP website.