Woodside supports the implementation of a global emissions trading
scheme, whereby carbon permits must be obtained to cover the production
of greenhouse gas emissions.
If, in the absence of a global agreement, the Australian Government
establishes a domestic scheme, Woodside accepts that domestic production
of natural gas should be covered, along with all other sources of
energy.
Woodside does not support an Australian-only scheme applying to
natural gas exports, when competing sources of energy from other
countries will not carry this financial burden.
Australian natural gas exports compete directly with exports from
countries such as Indonesia, Malaysia, Oman, Qatar and Eastern Russia –
none of which have indicated a commitment to the introduction of a
carbon price in the near term.
Woodside is working with the Australian Government and other
interested parties to ensure the introduction of a domestic emissions
trading scheme does not have the effect of constraining growth in
Australian natural gas exports, resulting in a loss of investment and
jobs.
Wherever Australian natural gas exports are displaced by higher
emission fuels – such as domestic coal in China – global emissions will
rise.
The Australian natural gas industry has a positive role to play in
reducing global emissions and that the introduction of a carbon price
must be managed so as not to place additional costs on Australian
natural gas exports, until such time as our competitors face similar
costs.