OK, so they went with the “let’s bring in China …

Comment on Tennant Creek gets the pipeline, not Alice Springs by Charlie W.

OK, so they went with the “let’s bring in China option” and chose not put Territory or Federal money into it.
Great statesmen-like vision for the future CLP! Clearly you believe in the future of this industry! Clearly you get the idea of national interest! Yay CLP! Master strategists!
So anyway let’s break this down. Is there an upside for Territorians?
1. The asset is owned by China.
2. The gas gets sold to the East coast (or at a later date China?) But to be even vaguely economical for the investor they need open up the Territory to the dodgy fracking industry that promises to divide communities and risk water supplies.
3. The royalty payback to the government equates to $150 to $200 royalty per Territorian per year, IF the best case scenario comes into play, i.e. according to the gas industry’s own best-case figures via their own “specially commissioned” report. In reality the average Territorian may never see anything like this.
4. So NET result: Bugger all money for the average resident, divided communities, a massive risk to our water supply and lots of fly in fly out cowboys.
Great.

Charlie W Also Commented

Tennant Creek gets the pipeline, not Alice Springs
Hi Harold. Yeah all good. I agree. But sometimes it is good just to make sure the 100,000 readers of the Alice Springs News are clearly advised / reminded when facts and figures are paid for by the gas industry lobby to possibly serve propaganda purposes.
Let’s all read this line again together shall we:
“Deloitte Access Economics Pty Ltd has not independently tested or verified any of the inputs and advice received from Gas Industry sources regarding the assumptions. Many of the stakeholders that participated in the process and reports used to inform the study were unable to validate all assumptions due to commercial sensitivities and because of information gaps stemming from the infancy of shale and tight gas development in the NT.”
6900 jobs! LoL. 7.2 billion dollars. LOL.
Don’t get me started on Dr Allan Hawke and the credibility of his five word report.
[ED – For our readership information please note the Google Analytics statistics we publish, updated about monthly.]


Tennant Creek gets the pipeline, not Alice Springs
@ Francis: The point of my commentary is that the gas pipeline will make SOMEONE a lot of cash (or provide a nice steady supply of gas for someone else’s nation building plans).
But comparatively, on average, Territorians will see bugger all benefit.
If what you say is true (i.e. that min $20m royalty p.a. is guaranteed) that’s still a pretty dismal amount of $90 to $110 per Territorian.
As to your other comments, firstly, I reckon your capacity to link these royalties to school expenditure smacks of desperation.
Further, your capacity to call people xenophobic simply because they question whether selling our public assets off to the Chinese is a smart move, all things considered, is just a cheap and easy way to try to shut down debate on a much bigger issue that should concern all Territorians (and Australia).
But I guess you’re one of those types that couldn’t give a stuff about human rights, the common wealth or the national interest (all that airy fairy stuff) … am I right, Francis?


Tennant Creek gets the pipeline, not Alice Springs
Francis. You may describe this as a political win for Giles. Ok sure. But I ask you: at whose expense? The average Territorian will see bugger all.
Anyone with half a clue knows that Giles sold out the Territory’s hand as quick as he could so he could trumpet “he is getting things done!”
Anyone with a bit of wisdom would have played the game much smarter and diversified strategies … rather than have so much focus on one lacklustre and divisive industry: fracking.
And let’s not forget that other decisions such as the Darwin port sell off (also to Chinese state-backed investors) are all part of the big picture politics going on here.
In effect Giles has failed the Territory.
He has gambled with the future of all Territorians and only time will tell how much we are going to lose … for so little gain.


Recent Comments by Charlie W

Schools, order, justice are the coalface, not resources
Oh Diddums Steve Brown! What’s wrong? You think you are the only one who can get behind their computer screen and type fast on Alice Springs News Online?
Well guess what: The truth is most of the sensible centre have been preserving their energy while we let you blow your hot air into the atmosphere.
However the problem with fracking is that it is a threat too great for the silent majority to stay quiet about!
And the thing is, when the truth and facts about the fracking industry is discussed it really becomes apparent that our Giles-led government is really letting us down!
The points I have made a really only the tip of the iceberg! No wonder you don’t want to continue the discussion or just roll-out your tired old argumentative tactics.
Let’s be clear. The CLP and their supporters will not get away with the underhanded tactics they are using to push this fracking future upon Territorians.
Try as you might to label this as a lefty agenda – the fact is that the loopy left, the nutjob right and the silent majority in between actually have established a lot of common ground on this issue.
To be honest Steve, I’m a little disappointed you haven’t come onboard for the love-in. We are a welcoming movement and accept all sorts. Farmers, Aboriginal TOs, Alan Jones, ex rugby players, musicians, celebrities, scientists, various church communities – to mention but a few.
The simple rule is that you respect others how you’d like be respected yourself – and extend that basic thinking to future generations and the earth itself.
It’s not as hard as you might think, but I appreciate for some that worldview can be challenging.
P.s.: Your statement that the government and NT taxpayers aren’t paying for this does show that you do seem to have a sense of humour. That is a great start … perhaps we can get you to come over to the goodies side yet?
Hey Steve, if talking about fracking is a little to uncomfortable, what do you think about the sell-off of the port?
Was it smart to just grab the cash while we can or should we have held out for a slightly more strategic option with various national interest considerations in the equation?


Schools, order, justice are the coalface, not resources
You know what? Sometimes a man must admit when he gets it wrong. And, Ralph, I admit that I was wrong in saying that Queensland gas producers are chasing higher overseas profits and thus pushing up overall gas prices.
But let us state the BIZARRE truth clearly so everyone understands what is really going on here.
Dear readers of the Alice Springs News Online, here is what I have learned:
The sad fact is that the gas industry is dominated by international players and they are simple out to get gas at cheap prices and ship it offshore. Probably because the government of the day is so eager to get some easy fast cash.
And it seems that barely a thought is given to the value of reserving some resources for local needs!
And now the Eastern states want Territorians to come to their rescue and give them access to gas at cheap prices because they made the wrong deals? Honestly you can hardly make this stuff up! But, yes, I admit it is true.
Ralph, as for your other statement about INPEX exporting everything and nothing being reserved for local industry and thus the need to support fracking – that is plainly wrong and misinformation.
The INPEX production decreases but mostly increases regularly by significant amounts e.g. 5% increases are common.
If there really was a pressing need for NT gas to “grow local industry”, any government worth its salt would be able to step in and convince INPEX to give a little back to domestic supply needs.
So anyway, what industries do you have in mind that would need more than a few percent of the INPEX annual production?
You are just using the “support local industry” argument as another false reason why we need fracking.
The simple truth is that we don’t need fracking – and the major beneficiaries won’t be your average Territorian.
Finally, regarding your statement “Deloitte says there is lots of demand at current prices!” Yes of course Ralph – umm that is because gas prices are at all time lows! People like cheap stuff!
It’s a good reason NOT to be pumping taxpayer monies into gas infrastructure that may not even turn out to be profitable!


Schools, order, justice are the coalface, not resources
@ Jacob: Glad my politics are showing! We need more people to stand up for the sensible centre! And fracking sure as hell ain’t that.
By the way your, economic ineptitude is showing – didn’t you realise that the entire viability of the CLP’s “great fracking future” depends on the market turning around – and that is by no means certain.
Investing in the market as it sits now (historic lows) is a massive risk and why should we waste our public-asset-sell-off-TIO-cash on such a risky and divisive investment?
Give me a publicly owned TIO any day! A nice little earner that supported and benefitted ALL TERRITORIANS.
Now they have sold it off and want to stick the cash into an industry that is going to divide Territorians for generations.
And just so you know, I typically don’t actually vote for one party over another but I surely will TALK UP LOUD when it’s bloody obvious that Territorians are getting played for complete and utter idiots.
You can go into bat for the CLP all you like, but I will continue to say ENOUGH IS ENOUGH and defend my right to do so.
MY VOTE WON’T BE BOUGHT BY CHEAP TACTICS AND CASH SPLASHES and I’ll continue to say that NO-ONE BLOODY VOTED FOR FRACKING!!
If fracking is such a great thing let’s see Giles and Co take it to the election and let the people decide!
Regarding your statement above about cheap gas – what tosh! Don’t you know this whole game is about getting gas to hungry NSW gas consumers cos Queensland is too busy chasing the higher world gas prices?
You think there is any NT industry that is going to benefit much in the long term that wouldn’t already be well served by the massive INPEX project!?
More rubbish and spin!
As for your comment about $5m to $10m going to Aboriginal people … we’ve seen the results of that type of approach for decades.
Jacob, please go home tonight and have a good hard look at yourself and the way you live your life.


Schools, order, justice are the coalface, not resources
@ Jacob. I never said that there isn’t money in gas IF you are the controller or the beneficiary of the industry.
Guess what? That counts me and most Territorians out! I and many other Territorians will never participate in such a divisive industry with so much at risk!
You say increase of 22 billion in GSP. What an obfuscation!
You might like to argue that it is “all about the flow on effects to the economy” – but I ask you – whose economy?
So I can’t really think what what the “Territory could do with that amount” because the fact is the profit component of that amount goes mostly straight to big business coffers – mostly from outside the Territory.
You can spin it anyway you want but the fact remains that when all is said and done each Territorian will see between $150 to $200 per person (at best) in payments going back into government coffers for the betterment of common services.
You talk about education – if you actually gave a damn about Territory education you would know we just blew the opportunity to gain billions of dollars in Federal Gonski funding because our Chief Minister decided to play politics with the NT funding agreement and didn’t want to support Labor.
He thought backing Tony “Wrecker” Abbott would pay better dividends. Look how that turned out! Now you have the nerve to tie education funding to fracking; as if people against fracking don’t support the education of our children!
What a low level CLP and fracking supporters are prepared to stoop to!
And so back to the real question. What is that $150 to $200 per person going to be spent on?
I guess if we are lucky we might see a new Sports Voucher or some other CLP vote buying excercise? What do you reckon Jacob?
Oh and Jacob – one more thing – you are still pushing the false and misleading rubbish that the “gas industry has been here for many years already”.
That is a different type of gas industry operation and similar arguments as a justification for fracking have been well dismantled in other threads on Alice Springs News Online.
Don’t get me started on the 6300 full time jobs. Even the industry doesn’t disagree that they’ll be mostly short-term and fly in and fly out.
As for the big number itself, there are many ways to create jobs by investing in a given industry. That number counts downstream jobs too – so investing in plenty of other industries would create similar job numbers and last for decades longer.
Do you care to count the numbers of other jobs that’ll be lost once the Territory commits to this type of limited-scope economic future?


Giles government buys advert dressed up as news
Hey readers, did you know that the Deloitte study on the fracking industry (i.e. IF the market actually become profitable again) estimates that the annual contribution it’ll make to the NT coffers is about $150 per Territorian?
That’s a dismal amount when you think about it!


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