major energy projects create enduring benefits

The greenlighting of the Chevron-operated Gorgon and Wheatstone natural gas projects in the Pilbara more than a decade ago was the subject of such celebration, praised as a boon for the West Australian economy and for spearheading Australia’s ascendancy as a global liquefied natural gas (LNG) powerhouse.

Gorgon and Wheatstone have since become world-class energy assets, combined supplying 6.5 percent of the world’s LNG and almost half of WA’s domestic gas.

We are proud of the role the developments play – and will continue to play – in providing reliable energy for West Australian homes and industry as well as our international customers across the Asia-Pacific.

But for many of us who have the privilege of working in the energy sector, we believe the value of these projects should also be measured by their enduring economic and social benefits.

While these longer-term benefits are rarely met with the same fanfare that new project announcements receive, they are certainly worthy of recognition. From any standpoint, the enduring benefits of major energy projects are their true legacy, shaping communities and advancing economies long after the sugar hit of construction fades.

Since the final investment decisions were made for Gorgon and Wheatstone, Chevron and our joint venture partners have spent more than $86 billion with Australian businesses, and we have continued to spend locally at an average of $1.8 billion each year to operate and maintain the facilities.

This expenditure has enabled the birth of new companies and industries, and the expansion of others, creating thousands of employment opportunities and embedding local businesses into global supply chains.

In addition to these direct economic benefits, our projects are indirectly helping support everyday services for Australians across the country through substantial tax payments.
Chevron is now the fourth largest company income tax payer in the country, paying more than $20 billion in corporate taxes since 2009, including $5.1 billion last year alone.

Our tax payments help governments fund services that Australians rely on, enable investment in key infrastructure, and serve as a tangible example of how developing Australia’s gas resources benefits communities nationwide.

The enduring benefits of major energy projects can be seen in the Pilbara town of Onslow, a small coastal community, 1,300 kilometres north of Perth, which is home to our Wheatstone facility.

Working in partnership with the local community, the WA Government and the Shire of Ashburton, the Wheatstone joint venture has funded more than $355 million in social and critical infrastructure projects.

The investments range from building Onslow Airport, major roads and an aquatic and recreation centre to supporting electricity network upgrades and improvements to the local school. In addition, we constructed the Port of Ashburton and handed it over to the WA Government's Pilbara Ports Authority.

Having these facilities and services in place has attracted new projects and industries to Onslow, from tourism to iron ore, supporting the economic diversification of the region.
But our local commitments go beyond infrastructure. We have long-term partnerships with grassroots organisations that address the town’s immediate needs and enable the lasting prosperity of the region.

We partner with One Tree Community Services, which operates the Onslow childcare centre, to provide subsidised housing, a living allowance, and a retention bonus to help attract and retain childcare workers.

Our 14-year partnership with Teach, Speak, Hear has provided ear health screenings for more than 15,000 children with the goal of preventing middle ear disease and improving child health and learning outcomes.

There is also the support we provide the CSIRO to deliver the Living STEM program which is aimed at encouraging teachers in the Pilbara to connect indigenous knowledge to the classroom.

These initiatives are powerful examples of the enduring benefits major energy projects bring. And we are not done yet.

With decades of further investment to come through the ongoing operation of our natural gas facilities and development of backfill gas fields, our contribution to the economy and the communities in which we operate is set to grow.

By continuing to invest in natural gas, we enable progress and possibility – making a meaningful difference for all Australians and ensuring the legacy of major energy projects endures for generations to come.