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Related

The Auditor-General responded on 10 September 2021 to correspondence from Mr Adam Bandt MP dated 25 August 2021, requesting that the Auditor-General conduct an investigation into the management of the Beetaloo Cooperative Drilling Program. 

Auditor-General's response

10 September 2021

Mr Adam Bandt MP
Leader of the Australian Greens
Federal Member for Melbourne

By email: Adam.Bandt.MP@aph.gov.au

Dear Mr Bandt

Management of the Beetaloo Cooperative Drilling Program

I am writing in response to your letter of 25 August 2021 requesting that I undertake an investigation into the management of the Beetaloo Cooperative Drilling (BCD) Program, administered by the Department of Industry, Science, Energy and Resources.

I have considered your request in the context of other priorities for audit coverage across the public sector. I have decided that the matter you referred should not replace other areas of audit focus recently identified in the Australian National Audit Office’s Annual Audit Work Program (AAWP) 2021–22.

As you referred in your letter, the Senate Standing Committee on Environment and Communications is currently conducting an inquiry into oil and gas exploration and production in the Beetaloo Basin and has only recently issued an interim report. This report includes several recommendations to Government in relation to the management of the BCD Program and I note that the final report for the Committee’s on- going inquiry is due in March 2022.

While I have decided not to commence an audit at this time, I will however consider the matters you raised in the development of audit topics for inclusion in the 2022–23 AAWP.

Yours sincerely

Grant Hehir

Correspondence from Mr Adam Bandt MP

A page of text from Mr Adam Bandt MP. You can find a transcript of the text on this page.

Transcript of letter from Mr Adam Bandt MP

Mr Grant Hehir
Auditor-General
Australian National Audit Office
GPO Box 707
Canberra ACT 2601

25 August 2021

Dear Mr Hehir,

I write in relation to media reports today that Members of Parliament from the Australian Labor Party have written to your office to undertake an investigation into the management of the Beetaloo Co-operative Drilling (BCD) Program undertaken by the Department of Industry, Science, Energy and Resources.

An interim report by the Senate Standing Committee on Environment and Communications has found a series of administrative discrepancies, undisclosed conflicts of interest, unexplained ignoring of Departmental advice and extensive personal relationships between the company and Government Ministers. A link to the report is provided below.

https://parlinfo.aph.gov.au/parlInfo/download/committees/reportsen/024744/toc_pdf/OilandgasexplorationandproductionintheBeetalooBasin.pdf;fileType=application%2Fpdf

On behalf of the Australian Greens, I also fully encourage you to investigate this grant program as a matter of urgency and priority, because on this occasion, the Parliament has oversight on whether or not the grant scheme - as currently designed and implemented - should proceed.

The BCD program was initiated by regulation under section 33 of the Industry and Research Development Act 1986 and is therefore disallowable by the Senate. The dates in which this vote of the Senate could occur are between 19 October and 29 November 2021.

I understand this is a very tight timeframe, however the importance of an expedited ANAO inquiry cannot be understated. Your work would provide invaluable support to inform the decision-making of the Parliament, which your office is responsible to.

Usually the work of the Australian National Audit Office relates to programs that have come and gone, but on this particular program the ANAO is in a unique position to provide information to the Parliament so that Senators can be fully informed in casting their votes as to whether the program should proceed or not.

Thank you for considering this request to expedite the inquiry.

Adam Bandt MP

Leader of the Australian Greens
Federal Member for Melbourne

Related documents
Correspondence from Mr Adam Bandt MP (PDF)