The Victorian government has rejected a proposal by AGL Energy to install an FSRU at Crib Point and the associated pipeline due to “environmental concerns.”
“It’s very clear to me that this project would cause unacceptable impacts on the Western Port environment and the Ramsar wetlands,” Victoria’s Planning Minister Richard Wynne said in a statement.
He added “it’s important” that these areas remain protected.
Furthermore, the government said it has based the decision on an environment effects statement produced by AGL and APA Group, around 6,000 public submissions, and a report into the findings of the statement by an independent committee.
“This has been an exhaustive, open and transparent process and this is the right outcome for the local community, the environment and Victoria as a whole,” Wynne said.
Australian utility AGL Energy planned to import LNG to fill an expected shortfall in gas supply from 2024.
Moreover, the project competed with at least five other developments aiming to import LNG into southeast Australia.
AGL said it would consider its position. The firm says it has already invested about A$130 million ($99 million) on the Crib Point development.
In addtion, the utility also previously selected Hoegh Esperanza FSRU for the project, subject to a final investment decision.