The 2021-22 Queensland Budget was tabled in State Parliament on Tuesday 15 June 2021, and has highlighted the importance of the oil and gas industry to the state’s economy.
Acting Australian Petroleum Production and Exploration Association (APPEA) Queensland Director, Matt Paull, said the industry is worth $11.1 billion to the Queensland economy each year and directly and indirectly employs more than 47,000 Queenslanders.
“The Budget papers showed petroleum royalties will be more than $2.7 billion over the forward estimates.”
“The sector has also invested more than $70 billion into Queensland’s economy due to the rapid development of the natural gas and LNG industries.”
“Unlocking new oil and gas resources and acreage for development will help to build wealth, economic resilience and whole-of-economy gains for Queensland and the national economy.”
“Responsible development of these resources will also provide lower emissions energy to the local economy and continue to form part of Queensland’s energy mix,” he said.
“As a major economic driver and job creator for the state, the oil and gas sector is committed to working with the government on the recovery process as well as on key reforms to help meet the many challenges ahead.”
The State Government has committed to establishing a new $2 billion Queensland Renewable Energy and Hydrogen Jobs Fund to expand on the previous $500 million Renewable Energy Fund.
The Fund will enable investments by Queensland’s government-owned energy businesses in commercial renewable energy and hydrogen projects, as well as supporting infrastructure, and assist Queensland to achieve the 50 per cent renewable energy target by 2030.
Mr Paull said the State Government’s commitment to hydrogen means a bright future for the gas industry in the state for decades to come.
“Natural gas plays a vital role in reducing Australia’s and Asia’s emissions. Australian liquefied natural gas is helping to reduce emissions in importing countries by about 170 million tonnes each year and the commitment to the development of hydrogen solutions will make a further substantial contribution,” he said.
“Natural gas is a pathway to a large-scale hydrogen industry.”
“Australia’s LNG export success means the Australian upstream oil and gas industry has the technology, expertise, commercial and trade relationships to make, in particular, hydrogen exports a reality.”
“Developing a local hydrogen industry could enable lower emissions both in Queensland and internationally, reduce energy costs, deliver energy security, together with new employment and manufacturing opportunities.”
Other Budget highlights for industry include:
- Kogan North Gas Fields development – $24.6 million in 2021-22 to develop and maintain new gas assets through a joint venture between Clean Co and Arrow Energy.
- The Bigger Big Rig and Tree Walk $2.8 million in 2021-22 out of a $4.1 million total spend for the installation of an observation tower, deck and Tree Walk (with audio-visual elements) from the Big Rig to the existing Oil Patch Museum. Delivered in partnership with the Maranoa Regional Council.
- $2 million has also been allocated as part of the overall contribution of $20 million for the completion of the Hydrogen Training Centre of Excellence at Queensland Apprenticeship Centre at Beenleigh.
- A $350 million Industry Partnership Program providing small and medium enterprises and research institutions in Queensland with tailored support that strengthens local supply chains to create and sustain jobs. The program will support maturing industries to adopt to new technologies, assist rapidly growing sectors and emerging industries.
