Thursday 14 May 2026

The South Australia Government will introduce legislation to remove the current moratorium on hydraulic fracture stimulation in the South East, ensuring potential future gas resources are not unnecessarily ruled out at a time when South Australia and the broader east coast face increasing pressure on domestic gas supply.

The Energy Resources (Regulated Activities) Amendment Bill will be introduced into State Parliament next week.

Hydraulic fracture stimulation is currently permitted everywhere in South Australia, except for the South East, which is subject to a legislated moratorium put in place in 2018.

The Australian Energy Market Operator has forecast increasing risks to gas supply in southern Australia from 2029, with additional supply required in many scenarios from 2030.

By acting now, the Government will allow any future proposals in the South East to begin the planning, technical studies and baseline environmental work needed to support regulatory assessment.

No hydraulic fracture stimulation activity is being approved as part of this decision.

Any future proposal would still need to undergo detailed environmental assessment, mandatory public consultation and formal regulatory approval under South Australia’s strict environmental and regulatory framework.

South Australia has a long and successful history of safely regulating hydraulic fracture stimulation. More than 1,300 wells have been fracture stimulated since 1969 in the Cooper Basin without impact on aquifers.

Independent scientific research has also strengthened the evidence base. Through the South Australian Government’s partnership with CSIRO’s Gas Industry Social and Environmental Research Alliance (GISERA), extensive research has been undertaken in the Limestone Coast region examining groundwater systems, environmental impacts, and social and economic considerations.

This work, together with findings from parliamentary inquiries in South Australia and the Northern Territory, supports the conclusion that hydraulic fracture stimulation in deep geological formations, when properly managed and regulated, is unlikely to pose significant risks to groundwater.

Removing the moratorium now will allow potential sources of domestic gas in the South-East to be explored and, if proven, developed to provide gas for a range of uses in South Australia, such as manufacturing or gas-powered generation.

The Government recognises that community views on this issue are diverse and that many people have strong concerns, particularly about groundwater and the protection of existing industries such as agriculture and viticulture.

To support informed discussion, the South Australian Government will undertake a community engagement program across the South East.

Find out more: Hydraulic fracture stimulation in the Limestone Coast region