Australia approves North West Shelf gas plant extension despite climate concerns
Australia’s North West Shelf LNG plant gets 40-year extension amid criticism from Pacific nations.
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| The logo of Australian energy company Woodside Energy Group Ltd, commonly known as Woodside, is seen on the company’s headquarters in Perth on November 26, 2024. Photo by Saeed Khan/AFP |
By Alana Salsabila and Clarisa Sendy
Australia has granted approval for a 40-year extension of the North West Shelf gas plant, drawing heavy criticism from Pacific island nations and environmental groups who argue that the project’s continued operation until 2070 is incompatible with global climate goals. The decision has reignited debate over Australia’s climate leadership and its ambitions to co-host the next United Nations climate summit alongside its Pacific neighbours.
A major fossil fuel project extended to 2070
The North West Shelf, operated by energy giant Woodside, is one of the world's most significant producers of liquified natural gas (LNG), exporting over 10 million tonnes annually. Located on Western Australia’s Burrup Peninsula, the vast industrial operation comprises offshore rigs and onshore processing facilities, contributing billions to Australia's export economy — but also making it one of the country’s top five greenhouse gas emitters.
Previously expected to wind down in five years, the project’s new operational lifespan now stretches to 2070. Federal Environment Minister Murray Watt approved the North West Shelf gas plant extension on Wednesday, asserting that “strict environmental conditions” will be enforced to curb emissions and protect the local environment, including cultural heritage sites.
“The approval is subject to stringent environmental regulations, and includes measures specifically designed to safeguard the ancient Aboriginal rock art and limit industrial pollution,” Watt said in a statement.
Fierce opposition from Pacific island nations
Despite the conditions, the decision has triggered sharp condemnation across the Pacific. Island states such as Tuvalu, Fiji, and the Marshall Islands — all highly vulnerable to rising sea levels and extreme weather — have long urged Australia to phase out fossil fuel projects.
“Pacific leaders have made it clear — there is no future for our nations if fossil fuel expansion continues,” said Maina Talia, Tuvalu’s Minister for Climate Change. “The North West Shelf gas plant extension locks in decades of emissions and directly undermines the spirit of the Pacific-Australia climate partnership.”
Talia argued that the move contradicts Australia’s promise to support its Pacific neighbours and meet international climate goals, calling the decision a betrayal of both moral obligations and strategic partnerships in the region.
Balancing energy policy and net-zero pledges
Australia maintains that the North West Shelf gas plant extension is necessary to ensure energy stability while the country transitions toward cleaner alternatives. Prime Minister Anthony Albanese defended the move, insisting that liquified natural gas serves as a critical “bridging fuel” in the nation’s shift to renewables.
“You can't have renewables unless you have firming capacity. It's as simple as that,” Albanese told reporters. “You don't change a transition through warm thoughts. You need practical solutions that keep the lights on and secure our economy.”
The government has reiterated its commitment to achieving net zero carbon emissions by 2050, claiming that the gas plant’s emissions will be offset by increased investment in solar, wind, and battery storage.
Still, critics argue that allowing such a long extension for one of the country’s biggest polluters seriously undermines Australia’s climate credibility — particularly as it bids to co-host COP31, the 2026 United Nations climate conference, alongside Pacific nations.
Cultural heritage and environmental risks
The North West Shelf project is located in a region rich in Indigenous heritage, with thousands of ancient rock engravings spread across the Burrup Peninsula — some dating back 40,000 years. Environmentalists and Aboriginal leaders have raised alarm over air pollution from the gas plant and its potential impact on the delicate rock art.
A long-running monitoring program is currently assessing whether industrial emissions are contributing to chemical degradation of the engravings. While the environment ministry claims that adequate protections are in place, Indigenous communities say they have been sidelined throughout the approval process.
“The toxins that spew out, we see this on a daily basis,” said Raelene Cooper, a Mardudhunera woman and Indigenous activist. “No one had a say when all this happened. Government never come to us. Woodside never come to us.”
Cooper and other Aboriginal leaders have called for a halt to the project, arguing that not enough has been done to consult with Traditional Owners or assess long-term cultural damage.
Climate contradictions and diplomatic fallout
The approval of the North West Shelf gas plant extension has placed Australia at a diplomatic crossroads. On one hand, the government seeks to strengthen ties with its Pacific neighbours and take a leading role in global climate action. On the other, it continues to approve major fossil fuel projects that directly contradict the science-based targets agreed upon in the Paris Agreement.
Green groups say the government is attempting to have it both ways — talking up climate ambition while expanding polluting industries.
“The North West Shelf LNG extension flies in the face of everything Australia says it wants to do on climate,” said Richie Merzian, director of climate and energy at The Australia Institute. “We can’t keep pretending that gas is clean. Extending this project until 2070 is a disaster for both the planet and our international standing.”
According to the Clean Energy Regulator, the project consistently ranks among the highest carbon emitters in the country. It releases millions of tonnes of greenhouse gases annually, including both carbon dioxide and methane — gases known to trap heat in the atmosphere and accelerate global warming.
Strategic and economic interests versus environmental responsibility
For Woodside and its investors, the extension represents a major win. The company argued that prolonging the life of the project would secure jobs, maintain energy exports, and ensure the viability of existing infrastructure.
“This is about delivering reliable energy to the world while supporting the Australian economy,” a spokesperson for Woodside said.
However, environmental analysts stress that continuing to approve long-term fossil fuel projects directly conflicts with the International Energy Agency’s roadmap to net zero, which states that no new oil and gas fields can be developed if the world is to limit warming to 1.5 degrees Celsius.
The Australian Conservation Foundation echoed those concerns, stating that the country must stop expanding fossil fuel production and instead accelerate its shift to renewables.
“Australia has abundant solar and wind resources. We should be leading the world in clean energy, not locking ourselves into more decades of climate pollution,” said ACF’s Gavan McFadzean.
Looking ahead to COP31
As Australia looks to bolster its credentials ahead of COP31, the North West Shelf gas plant extension will remain a litmus test of the government’s climate integrity. Pacific nations, which have already expressed disappointment with Australia’s domestic climate policies, may be further disillusioned by a move that appears to prioritize economic interests over existential concerns.
Whether Australia can maintain its diplomatic ambitions while continuing to approve controversial fossil fuel projects is a question that will define the Albanese government’s legacy in both domestic and global climate arenas.
In the words of Tuvalu’s Maina Talia: “Our survival is not negotiable. Australia must choose whether it stands with us, or against us.”
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