Saturday, 27 April 2013

An exchange of values

Upon request this is a reproduction of an exchange via letters to the editor that occurred in the Queensland Country Life. The exchange was about what influence the coal seam gas industry was having on rural property values. About what value sellers of land saw in including CSG infrastructure when advertising property and what value buyers of rural property placed on this land against any property without CSG activity.
The exchange also turned out to be a challenge to place value on factual representation of the situation and to take action to the value of treating landowners with respect.







The origins for this exchange was a radio interview that I heard on ABC's rural radio, The Country hour on the 12th March where Rick Wilkinson the CEO of the industry association, Australian Petroleum Producers and Explorers Association. (APPEA) made some statements that I knew not to be correct and this first letter published on the 21st March was the result.


To listen to what Mr Wilkinson said and what I took exception to go to this page on ABC Rural Radio, CSG industry claims mining is helping property values ; scroll down the page and look for the last audio file, 'The peak body for the coal seam gas industry says property values have not dropped in QLD.'








There was no surprise when there was a return to serve in the letters to the editor on the 4th April by Mr Wilkinson. If you read Mr Wilkinson's letter carefully you will see he negates his own argument especially in his use of the quote from the Valuer-General. He also refers to evidence on the Gasfield Commission web site to support his argument; this can be found on this page titled, Property ads start to list gas among property features.






In the rush to score a point it turned out to be no more than a high slow ball in which I could put away in a letter on the 11th April. Others too believed Mr Wilkinson's statements to be inaccurate and on 25th March in an interview on ABC Rural radio Country hour program, Market yet to make up its mind about CSG, rural property valuer. John Compton made it very clear that there was no evidence that CSG was contributing to any increase in rural property values.

"The coal seam gas industry's effect on land values has not been reflected in the market, according to a Queensland rural property valuer.
John Compton says the market has not had time to digest the CSG industry's impact because industry is still developing.
"At this time, whilst there is little disclosure of CSG development and impact on rural properties, there's no evidence that the rural property investor market is prepared to pay any premium for gas income," he said.
"Up until this point in time, disclosure of CSG development on rural properties, let alone income available, has not been widely advertised. Certainly it hasn't been a feature of rural property advertising.""


2 comments:

  1. Great work, Dale!

    Sincere commendations for pursuing this issue on behalf of landowners affected by CSG development and exposing the inconsistencies and deception of those such as Rick Wilkinson with a vested interest in promoting CSG.

    Good to have these facts recorded on Evacuation Grounds. I must say your dedication is exemplary. Not to mention your strength of character in coping with adversities and posting this account while coping with an excruciating knee injury.

    ReplyDelete
  2. As for CSG having a positive affect on property values it looks like little has changed in the 10 months since the first letter above according to an article at ABC Rural today, Property market undecided on the value of coal sea gas wells on farms

    "Queensland rural property valuer John Compton says the market has not had time to digest the CSG industry's impact because the industry is still developing.

    "At this time, whilst there is little disclosure of CSG development and impact on rural properties, there's no evidence that the rural property investor market is prepared to pay any premium for gas income," he said."

    ReplyDelete

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