" Hillbilly " Wealth.

Many people laughed along with an American sitcom called the "Beverly Hillbillies ".  Jeb Clampett got suddenly rich when he discovered oil on his property.   But of course that couldn't happen here in Australia because we do not own the minerals that may exist under our homes.  That is officially the property of the Commonwealth of Australia.

We do have a problem with the huge trove of natural gas beneath this continent.  It was a very expensive operation to find and tap into the supply and create the gas hub to store it and liquefy it for transport to overseas markets in specially designed ships. International consortiums put up the money and got the required licenses, and now we are short of the stuff to generate electricity and provide energy for cities and towns. Too much is being exported overseas, creating a local shortage and it seems we need to pay the world price for what we use here.

The Geology people tell us we have heaps of gas - right under our feet.  It's called "Coal seam gas " and it is embedded in sandstone rock and it requires water under pressure to be pumped down to crack the rock and release the gas.   A lot of people are concerned about the safety of this method and there is a fear it could damage the water table and plug aquifers.  There is strong resistance to gas extraction, particularly in the farming community.

This concern has resulted in embargo's and there is a vast resistance movement ready to fight any extension of the few gas wells already in place.  Extraction is really an impost on farmers. It is an intrusion on their property with the movement of heavy machinery and they are only compensated a few dollars for the inconvenience.

Deputy Prime Minister Barnaby Joyce has revealed a new plan that may change thinking on Coal seam gas extraction.    He is simply proposing offering the landholder a share of the reward for the gas extracted and the figure of ten percent is being suggested.

It is proposed that gas extraction be fully banned on prime agricultural land because of the unknown risk to the water table, but offering an incentive opens up a whole new ball game on huge areas of marginal grazing land that could deliver a new gas supply to power electricity generation, industry and the cooking and heating gas we use in or suburban homes.

Many farmers would think very differently if gas wells on their property were delivering regular cheques that ran into thousands of dollars and it is probable that we would see the creation of "gas millionaires ".  It will be interesting to see how this suggestion fares in the political climate and if a pragmatic view can be established to get the necessary legislation through parliament.

The initial plan to access CSG seemed designed to antagonise farmers.   It permitted gas survey teams to enter their property without permission and they would be paid a pittance for the actual land on which a well was situated.   Continued intrusions would disturb stock and there would be the movement of heavy machinery.  There was also the danger of gas leaks fuelling bushfires and the entire concept delivered no gain to the landholder.

No doubt this suggestion will be bitterly opposed across the social spectrum and those with damage to the ecology in mind will continue to resist.  At least it will introduce a practical element and that was what was missing with the "gun at head " approach of the initial plan !