Chinchilla - Boom to Bust

'Beneficial water' from CSG runs into Chinchilla's water supply

The Chinchilla gas boom only lasted about four years, during the construction phase, which is the greatest employer of people. Major infrastructure, such as pipelines, dams, reverse osmosis plants and water and gas separation facilities were built.

House rental prices soared. Prior to the boom rents were stable. A three bedroom house with two bathrooms rented for $250 a week but this went up to $650-$700 a week. The most expensive, a five bedroom, five bathroom purpose built house cost $1,500 a week.

 ‘I had pensioner friends who were renting and their rents went up so much they left town and now that the rents have gone back down they will never come back.’ said Chinchilla resident, Karen Auty

‘A single mother, with two small children, had to live at the show grounds in a tent people had given her. It was wet and minus five degrees. That shocked the town because that would never have happened before. People or church groups would have organised a house but there was nothing for her to live in. It was a shameful thing to see in a town like this. This town has always been a wealthy town. It’s never been a struggle town.’

Popup housing estates were built very quickly. The infrastructure, like storm water drainage, wasn’t put in. As Chinchilla is on flat land with two creeks close by, certain areas were known to flood. Now the water from the new estates has nowhere to go except down the roads and into areas that have never flooded before.

During a dry time early last year, Chinchilla’s water supply, stored in a weir on the Condamine River, went down to 23 percent capacity. Since August 2013 the water has been supplemented by what is referred to as ‘beneficial water’, which is toxic waste water from the CSG industry, treated in a reverse osmosis plant and piped 26 kilometres into the weir, the towns drinking water supply.

Karen advises people to never drink town water. ‘If you have young children or intend to have babies do not drink the town water. Bottle water sells like hot cakes in this town. It just runs off the shelf and it has done for some time.

A lot more water was used because town water was being trucked out to 10,000 people living in man camps outside the town. Initially we didn’t know the numbers as most of the camps are hidden away. Our town population is about 4000 - 5000 so we had three times as many people to cater for with the same water supply. That’s how the ‘beneficial water’ was sold to us.’

Karen complains that her rates have gone up around 110 percent over a couple of years. ‘My land valuation went from $58,000 in 2008 to $182,500. Now it has dropped to $124,000 but our rates haven’t gone down and my income hasn’t gone up by 100 percent. I’m now paying more rates than people in Brisbane. I have no curbing and channelling, no stormwater drainage and no public transport. Its all well and good if you are getting the services but I’m not. Tax payers and rate payers are subsidising the mining companies.’

The drug problem in the area has increased along with the crime rate. ‘Now I lock my car in my own driveway at the back of the house,’ said Karen. Since the bust this problem has become worse as many young people are unemployed.

Prostitutes have been working in Chinchilla for at least five years out of the pubs and hotels, some reportedly earning as much as $14,000 a week. When a recent development application for a brothel in the industrial zone was submitted to Council, petitions against it were on every shop counter. When asked to sign the petition Karen said, ‘This is the good thing about the gas. You hear about it all the time – jobs, jobs, jobs! So where’s the problem? Or is it OK to prostitute yourself to a gas company but not OK to be a hooker? I’ve asked myself, how does this affect the quality of my life and it doesn’t, because a legal brothel will be away from me and the schools. Anyway, the applicant is five years too late.’

‘Newcomers to the town like to make out that the gas is responsible for all these wonderful things like McDonalds and KFC, but they don’t improve the quality of my life or anyone else’s for that matter. And that’s the bottom line. Ask yourself, how does this improve the quality of my life.’

‘Everything I moved to Chinchilla for has virtually gone now,’ said Karen. Most of her belongings are packed in boxes, stacked up ready to go, but she can’t sell her house and has taken it off the market. Many houses are for sale in Chinchilla. Nothing sells except mortgagee sales at very low prices. With the proceeds from the sale of her house, Karen couldn’t afford to buy somewhere else.

Meanwhile, Karen supports others who suffer from problems caused by the mining industry. Some of these people have been living with CSG for a number of years and for others the companies are just starting to knock on their doors. Armed with a camera she attends rallies against CSG, wearing a fluoro vest with ‘Legal Observer’ embroidered on the back.