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The New South Wales government has stunned the coal seam gas industry by announcing new restrictions on gas wells near residential areas.

The state government today announced significant new restrictions that will ban new gas wells within two kilometres of residential zones. Also, the Environmental Protection Authority will now oversee the environmental credentials of new projects, and the state’s chief scientist will conduct a study into the potential impacts of the industry.The peak body for the industry says that the new restrictions are arbitrary and ignore science.Farmers, on the other hand, have welcomed the new restrictions, although they’re a little worried that the changes are designed to please urban residents rather than protect prime agricultural land.

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