Report finds FLNG will cost thousands of Australian jobs

A report tabled in the WA parliament by the Economics and Industry Standing Committee found that allowing gas to be processed offshore would cost thousands of Australian jobs.

The report’s authors said that FLNG could have a potentially ‘devastating’ impact on the WA economy, costing it billions of dollars and tens of thousands of jobs.

The report was highly critical of former federal Resources Minister Gary Gray’s decision to allow the Browse Basin to be developed through FLNG rather than onshore processing.

“I cannot believe we have a situation where millions of tonnes of gas worth billions of dollars will be processed off the WA coast with almost no benefit to workers in this country,” said MUA State Secretary Chris Cain.

“It’s estimated that Minister Gray’s decision to allow Browse to be developed through FLNG has cost Australia around 32,000 jobs.”

Mr Cain said the Union fully supported committee member Fran Logan’s call for the WA Government to insist Mr Gray’s decision to allow offshore processing be referred to a federal inquiry.

He also supported the report’s recommendation that the WA Government seek legal advice about whether Mr Gray’s decision on Browse was lawful.

“The WA Government has a responsibility to ensure that the people of WA benefit from the development of our natural resources and Mr Barnett should be doing everything he can to stand up to Canberra on this issue.”

Mr Cain also backed committee member Peter Tinley’s position that WA needed to legislate to ensure that the state benefitted from resources being developed in its waters.