The Draft National Harmonised Regulatory Framework Coal Seam Gas

Introduction

Standing Council on Energy and Resources

Work programStakeholders• SCER Ministers• CSG Steering Group • Water Agencies• Stakeholder Reference Group

Consultants• Norton Rose • SKM

1. Well integrity and aquifer protection;

2. Water management and monitoring;

3. Hydraulic fracturing; and

4. Chemical use.

Eighteen leading practices and four overarching

1. Undertake comprehensive environmental impact assessments, including but not limited to, rigorous chemical, health and safety and water risk assessments

2. To develop and implement comprehensive environmental management plans which demonstrate that environmental impacts and risks will be as low as reasonably practicable

3. Apply a hierarchy of risk control measures to all aspects of the CSG project

4. Verification of key system elements, including well design, water management and hydraulic fracturing processes, by a suitably qualified and authorised person

Well integrity

5. Apply strong governance, robust safety practices and high design, construction, operation, maintenance and decommissioning standards for well development

6. Require independent supervision of well construction

7. Ensure the provision and installation of blowout preventers informed by a risk assessment

Source: NSW Government (2012).

Water Management and Monitoring 8. Use baseline and ongoing monitoring for all vulnerable

water resources

9. Manage cumulative impacts on water through regional-scale assessments

10.Ensure co-produced water volumes are accounted for and managed

11.Maximise the recycling of co-produced water for beneficial use, including managed aquifer recharge and virtual reinjection

Hydraulic Fracturing12.Require a geological assessment

as part of well development and hydraulic fracturing planning processes

13.Require process monitoring and quality control during hydraulic fracturing activity

JuneWarren-Nickles Energy Group

Chemical Use

14.Handle, manage, store and transport chemicals in accordance with Australian legislation, codes and standards

15.Minimise chemical use and use environmentally benign alternatives

16.Minimise the time between cessation of hydraulic fracturing and flow back, and maximise the rate of recovery of fracturing fluids

17.Increase transparency in chemical assessment processes and require full disclosure of chemicals used in CSG activities by the operator

18.Undertake assessments of the combined effects of chemical mixtures, in line with Australian legislation and internationally accepted testing methodologies

Timeline

SCER

Endorsement• 14 December

Consultation and

submission

• 14 December 2012 to Thursday 28 February 2013

SCER Agreement

• Mid 2013