“Why are we doing this?” Another offshore gas approval adding pressure on West Vic cray industry

As seismic blasting plans loom off the coast between Port Campbell and Peterborough, western Victorian fishers are questioning why governments are approving new offshore gas projects at all.

What’s going on: The Victorian and federal governments last week approved a production licence for gas company Amplitude Energy to develop the Annie gas field, a 55-metre deep offshore project in the Otway Basin.

• The project is expected to supply gas to the east coast market from 2028 using existing infrastructure linked to the Casino-Henry-Netherby gas field and the Athena gas plant at Port Campbell.

Immediate impact: Apollo Bay Fishermen’s Co-Op deputy chair Markus Nolle spent more than a decade cray fishing before retiring in 2016 - he also had a stint as a director on the Seafood Industry Victoria board and president of the Victorian Rock Lobster Association.

He said the immediate concern is not the drilling itself - it is the seismic blasting used to search for gas reserves before extraction begins.

What’s seismic blasting? Seismic surveying involves firing intense sound signals into the ocean using air guns to map underground geology and identify oil and gas deposits.

On top of seismic blasting, Nolle said many fishers also worried about the longer-term effects of fossil fuel extraction on ocean ecosystems.

• “It’s not just the obvious impacts either, carbon dioxide is absorbed [in the water] which causes ocean acidification, and suddenly there’s a crisis with crustaceans,” Nolle said.

• Ocean acidification happens when carbon dioxide is absorbed by seawater, triggering chemical reactions that make the ocean more acidic.

• “We don’t know where that tipping point sits, but at some point it’s going to tip and have an impact on [crayfish] stocks.”

Tougher conditions: Nolle said mounting pressures on the fishing industry were already being felt on the water.

• “The cost of going to sea is now almost prohibitive, because of the cost of diesel, some fishermen question whether they even keep going,” he said.

• “For us it’s never-ending, you’ve got never-ending pressure with seismic … you get fatigued by it.”

The background: The approval comes months after the federal government opened five new offshore Otway Basin areas for future gas exploration consultation.

• Victorian Energy and Resources Minister Lily D’Ambrosio said in a statement the approval “unlocks more affordable, locally produced gas for Victorians helping to secure supply for the industries that still rely on gas”.

Timing, timing: Federal ministers announced details of a new east coast gas reservation policy on the same day as the Annie approval. 

• Under the policy, gas exporters will be required to reserve 20 percent of exports for domestic users from July 2027 in a bid to lower prices and reduce exposure to volatile international markets.

Where does it go? Institute for Energy Economics and Financial Analysis lead gas analyst Josh Runciman previously told the West Vic Brolga Australia already produced significantly more gas than it consumed, with about 80 percent exported overseas.

Consultation period: Amplitude Energy is currently preparing its environmental plan, with community drop in sessions scheduled across Portland, Warrnambool and Peterborough between late May and early June.

• Nolle said local groups would continue to build awareness about the impacts of offshore gas exploration during the consultation period, but “it’s very hard when the regulatory environment is stacked against you”.

• “It’s not designed to really interrogate the concerns that are raised, and the process is almost predetermined to deliver the [gas company’s] outcome,” he said.

• “What level of risk is acceptable is really left up to the oil and gas companies themselves, it’s like the fox left in charge of the henhouse.”