THE PRECAUTIONARY PRINCIPLE—NEW OPPORTUNITIES OR NEW CONSTRAINTS FOR THE OIL EXPLORATION INDUSTRY?

Abstract

'Corporations if they are to remain in business for the long term must operate within a context of community values'. Burnup (1993)

The precautionary principle has in recent years become embodied in Australian environmental policy and the present trend for its inclusion in legislation is likely to continue. Recent cases illustrate its application to the assessment of specific projects. Given these cases the precautionary principle needs to be placed on the oil E&P industry's environmental management agenda. The principle is not a simple rule of 'zero risk', but rather is a complex concept concerned with scientific uncertainty and information integrity and may require enhanced public participation for its application. More importantly application of the precautionary principle is a process in which industry has an important role to play. It is argued that participation in this process offers significant potential benefits for industry.