Fracking and slacking
The Australia Institute
released 11 May 2020
The NT Government provides a range of subsidies and assistance measures to onshore oil and gas. While the Fracking Inquiry highlighted non-recovery of some administration costs, analysis of budget papers shows
$94 million of assistance measures over the last decade. Subsidies of $10m per year look set to continue. Fracking Inquiry forecasts suggest royalties
will never cover these costs without more infrastructure that will also require subsidy. The NT Government has subsidised such infrastructure in the past, with $4.4 billion in purchase commitments assisting the Blacktip
project and Northern Gas Pipeline. These projects impose significant costs on NT taxpayers.