Australia’s Northern Territory (NT) Government has lifted a temporary ban on fracking following a final report by an independent committee headed by Justice Rachel Pepper.

Oil and gas companies will now be able to conduct fracking activities in around 51% of the territory. The remaining 49% has been prohibited as the government seeks to protect areas that are of environmental and cultural significance.

The NT Government will implement 135 recommendations made in the report to mitigate risks associated with fracking. This will be supervised by an independent officer.

The government has also listed certain measures to be incorporated in law, including the requirement that all environmental management plans for fracking must be assessed by the Environment Protection Authority (EPA) and signed off by the Minister for the Environment.

“Strict new laws and regulations will be put in place to ensure that when fracking takes place, we protect the environment.”

NT Chief Minister Michael Gunner said: “We have also accepted the enquiry’s advice about no-go zones and coupled with areas where there is no petroleum potential, 49% of the territory will be frack-free, including national parks, conservation areas, indigenous protected areas, towns, residential areas and strategic assets, as well as areas of high cultural, environmental or tourism value.

“In the remainder of the territory, strict new laws and regulations will be put in place to ensure that when fracking takes place, we protect the environment, the cultures and lifestyles that rely on it, and the many tourism, pastoral and agricultural jobs that depend on it.”

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Before being awarded an exploration licence, companies will need to implement codes of practice for well integrity and decommissioning, as well as the development of wastewater management frameworks. Applicants also need to obtain a water licence.

Before production is commenced, firms will need to develop monitoring strategies and hold negotiations with industry and pastoralists regarding land access requirements and compensation.

Gunner further added: “We understand that many Territorians are concerned about increased greenhouse gas emissions from fracking and as recommended by the inquiry, I have written to the Prime Minister and the Federal Leader of the Opposition seeking their agreement to partner with us in offsetting all additional emissions.”

An aggregate amount of A$5.33m ($4.14m) has been allocated over three years for the implementation of the recommendations.