The economic impacts of gas development in the Northern Territory

by Mark Ogge

Gas development has few economic benefits beyond those that flow to the gas industry itself. The industry is a small employer, systematic non-payer of tax and crowds out other industries.

The Northern Territory is facing a wave of gas mega-projects.

While the Northern Territory Government and gas companies talk up the potential economic benefits of gas development for the region, little mention is made of the negative impacts.

Large gas projects have a short, intensive construction period that disrupts existing industries, driving up costs and crowding out jobs in existing businesses.

Beyond the construction phase, gas projects provide a relatively small number of ongoing jobs, and the benefits of these projects flow largely to the owners of the gas companies rather than the wider economy and community.

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