Out-Law News 1 min. read

Western Australia to draft carbon capture bill

The Western Australian (WA) state government will draft a bill for local carbon capture and storage (CCS).

According to a statement by WA government, the bill will provide WA's resources sector with “further investment and regulatory certainty as it transitions to a low-carbon future”.

Known as the Greenhouse Gas Storage and Transport Bill, the bill aims to provide opportunities to decarbonise WA's mining, liquified natural gas (LNG) and natural gas industries, through technologies such as mineral carbonation and carbon capture, utilisation and storage.

Hydrogen expert George Varma at Pinsent Masons said: “This is an important step for the development of the CCS market in Western Australia and will be critical to assist the oil and gas operators in the market to effectively implement CCS technology to decarbonise their operations.”

The government said it would consult with the resources sector and the public on any proposed legislative amendments before the bill is finalised.

“This consultation process will be extremely helpful to ensure that the legislative framework not only achieves the objective of decarbonising the industry but is also fit for purpose from a practical perspective and is legislation that assists the industry to implement CCS technologies,” Varma said.

The Australian Petroleum Production and Exploration Association (APPEA) supported the move and said it was a “positive development to reduce emissions and contribute to a cleaner energy future”.

In May 2021, the WA government set a target of 100 gigawatts (GW) of renewable energy from green hydrogen within ten years, with the number doubling to 200GW by 2040.

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