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Selling Our Children’s Transitional Future

August 21, 2009 @ 21:11 By Gavin Webber 11 Comments

Am I the only person in Australia that thinks that the multi billion dollar deal to sell Liquified Natural Gas from the Gorgon Gas field to China, India and other is a bad thing?

With Peak Oil looming ever so near on the horizon, which the Chinese and Indians well know, it seems that all Australian energy companies want to do is make as much money as they can in the shortest time possible, without any thought of the future.  That is what I thought at first until I found that Chevron own 50% and ExxonMobil and Royal Dutch Shell own 25% each of the rest.  Not an Aussie company in sight and Australia just owns the royalties to the resource, which will be substantial.  This is why the Federal Government thinks they are laughing all the way to the bank. I bet they change their tune in about 10 years time when they realise what they have done! But, oh no, there will just be the normal political backstabbing and nothing will get done or be solved.  Here is the reason I think that this would be one of the most idiotic deals of the decade, if not the century.

Natural gas is probably the only fuel that we have in large enough quantities that could be used to subsitute petrol/LPG/gasoline, quickly and without much fuss whilst we look at ramping up an alternate technology for transport, for instance, renewable energy.  But apparently no-one who could make a difference gives a shit.  The receiving countries will be fine, receiving their potential 15 million tonnes per annum of LNG in massive tankers (pictured above), while we rely on the declining reserves in the Moomba/Inaminka and Bass Straight fields for our natural gas.

After doing a bit of research the only politician who said anything negative about the deal was Australian Greens Senator, Christine Milne, who echoed the very same reason for my concerns.  “These deals have been shown time and time again to have been done in a way that is very, very cheap, and in the long-term not in the best interests of the country,” she said.

“We need to have enough gas in the future as a transition fuel in an age of peak oil.”

At least someone is thinking of our future, but unfortunately the deal is done.  Profit before people, isn’t it always the way?  Even the CSIRO are concerned about our natural gas reserves.  They state on their website;

“Australia has largely been self-sufficient in oil but local production is expected to go into decline in the near future as existing reserves are depleted faster than new ones are discovered.

At present, over 80 per cent of Australia’s oil is produced locally and a one per cent loss in self-sufficiency is expected to cost around A$100 million in imports.

Fortunately, Australia has abundant reserves of natural gas and coal which can be transformed into liquid fuels.  The conversion of coal to liquid fuel produces significant amounts of greenhouse gases which must be sequestered but natural gas is a clean fuel which is readily transformed to diesel and gasoline.

However, most of the natural gas is stranded offshore and cannot be recovered economically at present without the inclusion of an offshore gas to liquids process.”

Without this transition fuel, I believe that as the old saying goes, “We will be up shit creek without a paddle in a barbed wire canoe!”

Food for thought, but not a hell of a lot of thinking going on at the top!

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Filed Under: Government, natural gas, Peak Everything, Peak Oil

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About Gavin Webber

Gavin Webber's daily goal is to live a more sustainable lifestyle, in an effort to reduce his family's environmental footprint so we can all make a difference for our children & future generations to come.

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Comments

  1. Gill - That British Woman says

    August 21, 2009 at 21:28

    “Pleased” to see that the Australian government has as much common sense as the Canadian one with thinking of the future.

    What is it with these elected officials, as soon as they are elected, every ounce of common sense just flies out of the window.

    Great post.

    Gill in Canada

    Reply
  2. belinda says

    August 21, 2009 at 21:51

    Thankyou,
    I have real difficulty believing the people making decisions don’t understand the ramifications of what they are doing.

    It makes me so angry to think that either they are not getting appropriate advice on these issues (something I find highly doubtful) or they are choosing to ransom future generations security despite advise.

    Kind Regards
    Belinda

    Reply
  3. Margo says

    August 21, 2009 at 21:52

    I think “buggered” is the only appropriate term to use here.

    Sigh.

    Reply
  4. Anonymous says

    August 21, 2009 at 23:51

    No, you’re not the only one to think this is a pathetic decision, Gavin. I first heard the news while driving and I think my kids were a little surprised by my sudden change in demeanor.

    Cath

    Reply
  5. Jamie @ Woodside Gardens says

    August 22, 2009 at 03:23

    It sounds so similar to the situation we have here in Alaska. Trying to ship it away for profit and leaving the citizens out in the cold… literally!

    Reply
  6. Margaret's Ramblings says

    August 22, 2009 at 05:19

    We have the same problem over this side of the world Gavin. A large percentage of our natural gas is controlled by Russia, all our nuclear power plants are owned by the French and the majority of the shares in power companies are owned by overseas interests. All is well at the moment as long as there is no conflict in the world. But I am not that optimistic and it frightens me that the UK has no control of their energy.

    Margaret

    Reply
  7. nevyn says

    August 22, 2009 at 11:14

    Profits before people. That should be the politicians motto.

    Not the brightest decision they’ve ever made.

    I used to think we lived in one of the most sustainable and self sufficient countries in the world. That we could always manage on our own if neccessary. Thanks to this and previous Governments I don’t think that anymore.

    Reply
  8. john (dad) says

    August 22, 2009 at 16:15

    i agree gav .we are giving away our recources for our future generations of kids for bloody nothing. it makes me sick to see it happening.

    Reply
  9. JulieG says

    August 24, 2009 at 13:00

    Short-term thinking must be one of humanity’s greatest faults. Why worry about the future if you can have a bit of cash today?

    Reply
  10. greenerme says

    August 24, 2009 at 17:28

    Thanks Gav – food for thought. I’ll be chatting with family and friends on this subject and see what everyone else is thinking. Thanks for brining it to everyone’s attention.

    Reply
  11. Gavin says

    August 28, 2009 at 14:37

    I hope we put a clause in the contract that if Australia’s energy security is threatened, we can terminate the contract and start using it ourselves.

    We would be pretty fucking stupid if we didn’t, but as we live in the Age of Stupid, I doubt the clause would have been included!

    Mind you that would probably just start another resource war anyway, and I mean a real one. No other country can now match China’s non-nuclear military might, and they might just want to take the gas/oil/coal without wanting to pay. It has been done in the past. Look at WWII. Both Japan and Germany secured energy reserves first, before expanding their campaigns!

    Just more food for thought, and a valium pill and some pain killers talking as well!

    Gav

    Reply

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