Apex Energy’s application to extend drilling approval for 16 coal seam gas exploration wells on water catchment land in the area has been rejected.
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The NSW Planning Assessment Commission (PAC) knocked back the contentious approval on Wednesday, citing a need for more conclusive findings on the impact of CSG activities on drinking water.
The commission found until the NSW Chief Scientist and Engineer’s review on the impacts, along with the state government’s resulting policy conclusions, were made, it would be inappropriate to approve the request.
Apex Energy was given the green light to drill boreholes around Darkes Forest and Maddens Plains in September 2009.
However, the consent carried a three-year time-limit.
Apex lodged a request with NSW Planning for a three-year extension of the expiry date in August last year.
The application triggered 237 public submissions, the majority of which objected to the proposal.
Many residents expressed concerns that gas mining in sensitive water catchment areas could affect the region’s drinking water.
NSW Planning recommended PAC approve the extension, despite the community objections.
But the commission opted to take a ‘‘cautious approach’’ in refusing Apex’s application, noting the need for the government to consider the current investigations of the chief scientist and engineer.
It also considered a letter from the Sydney Catchment Authority, indicating it was strongly against CSG activities in ‘‘special areas’’.
Seven of the proposed boreholes are within the Metropolitan and Woronora special areas, while a further site is on the boundary of the Woronora special area.
Another six of the 16 planned boreholes have been, or are set to be, declared prohibited, under new, more stringent state laws.