This blog post is based on a thread I posted on Bluesky in late May, which I have amended slightly to improve its readability and to take account of some additional information. The thread was an attempt to state and explain my views about the proposed extension to 2070 of Woodside’s North West Shelf Gas (NWSG) project.
Firstly, I must say that I am not in any way qualified or informed enough to comment on the very significant rock art matter.
Secondly, Minister Watt’s preliminary approval of the project was subject to what he described as “strict conditions”. But the precise conditions will not be revealed until the post-approval statutory 10-day time frame for Woodside to make comment on the conditions has run its course.
So, until we find out what the final “strict conditions” are, we can’t judge if they are worth the paper they’re written on. This is very important in relation to protection of the rock art and management of CO2 and CH4 emissions that are released during the LNG production process.
Then, this passage from an article in The Guardian: “An environmental law expert … said about 90 per cent of emissions emanating from the project would be sent offshore. Australia could not absolve itself of responsibility for these emissions.” To most critics, this is the project extension’s key flaw.
For me, the future sale of Australian gas to international customers is not an unqualified, cut-and-dried, bad thing. What if every customer is from a nation that is committed to rapidly reducing the use of fossil fuels – just as Australia is (give or take) – but still needs some gas for a while yet?
Australia itself will continue to need some gas for several years. That’s an agreed fact. What isn’t agreed is the extent to which we will be able to do without gas beyond the mid-2030s, beginning with gas to supply power stations to provide ‘firming’ capacity to supplement electricity produced by renewables.
Some renewables advocates say we could completely remove gas from the electricity market by then. The federal government doesn’t believe that will be possible. I’m no expert but it does seem to me that the renewables sector and its technologies are moving along an exponential growth path with ever-shrinking timeframes.
[Meanwhile, it is extremely disappointing to hear our Prime Minister parroting the Coalition’s line about “when the sun’s not shining and the wind’s not blowing” to help justify the NWSG project extension. Well, I would have thought that was the main purpose of the rapidly growing number of battery projects – ranging from very big to community scale to small household batteries – across Australia.]
Reductions in household gas usage for heating and cooking might happen more slowly, due to the personal outlays involved. However, it WILL happen as appliances age and are replaced by more efficient electric alternatives. That will reduce our total gas demand by more than the volume currently used by industry.
Gas used as either an input or to produce heat for various industrial processes might be a tougher nut to crack. It’s very lumpy and, in some cases, also difficult to find an alternative in the near-to-medium-term. However, there is work underway at a national level to prepare plans to help key industry sectors make meaningful reductions in the size of their carbon footprints. (I haven’t read these yet, so I don’t know to what extent gas is targeted. See this: https://www.climatechangeauthority.gov.au/sector-pathways-review )
So, subject to the important caveats mentioned earlier, I am not opposed in principle to the extension of the NWSG project. It might be wishful thinking but I would feel more sanguine if, given that Australia is fully committed to the Paris accord, our government would ban exports of gas to countries which are what we might call, carbon laggards or carbon-criminals.
By choice and by genetic inheritance, I am an optimist. In that spirit, I feel confident that the NWSG project will cease to be profitable well before 2070, because of market-driven and government-assisted changes to energy consumption and production across the world. I hope Woodside CEO Meg O’Neill lives to see it; I might not.
Rick Grounds
4 June 2025

















