Encouraging traditional owner participation in onshore unconventional projects

Abstract

Australia has significant unconventional energy resources that can be tapped to bolster energy security needs and increase contributions to the global energy supply mix—fuelling both domestic and international economic growth.

A key factor underpinning the success of developing onshore unconventional resources is the security of land and tenure access, which allows project proponents to sustainably engage in the exploration, appraisal and development of unconventional gas deposits spread across extensive geographical areas.

These activities occur in areas that are vested in traditional landowners and indigenous native title holders, and have the potential to significantly impact their cultural heritage and their quality and way of life.

It is, therefore, critical, on a number of levels, for project proponents to have the support of this key stakeholder group in ensuring the long-term viability of developing onshore gas resources.

Alignment between the project’s proponents and the diverse range of traditional/indigenous landowners who influence—and are influenced by—their operations, however, is not easy to achieve due to competing interests and motivations.

This extended abstract explores:

1. alternative participation models for traditional land owners in onshore unconventional gas projects, including production payment and equity-based ownership models;

2. examples of co-existence arrangements between project proponents and traditional owners;

3. the impact of fiscal policy on the economic viability of alternative traditional owner participation and co-existence models; and,

4. the role of state and federal governments in giving incentives to and fostering greater collaboration between project proponents and traditional owner groups.