The Australian Petroleum Production and Exploration Association (Appea) has urged the Victorian government to lift its ban on onshore gas exploration and development.

Appea has told a parliamentary inquiry into onshore unconventional gas, being held in Melbourne, to support sensible policies based on the best possible scientific evidence and the needs of Victorian families and businesses.

Victoria is currently the only state in Australia to ban new investment in developing its onshore gas resources.

“Inquiry after inquiry has found that a properly regulated natural gas industry is safe and delivers real benefits to regional communities,” Appea COO Eastern Australia, Paul Fennelly said.

“Further inaction or a continuation of polices that undermine the development of onshore gas projects, will only impose costs on the community, in jobs, economic growth and higher energy prices.

“As an industry we must do more to let communities know how gas is safely produced, what technology is used and how investment benefits regional economies.”

Fennelley said there was value in the establishment of a gas fields commission – similar to the Queensland model – which assists in fostering dialogue and understanding between government, industry, regional communities and farmers.

“Exploration bans must also be lifted immediately so companies can at least determine what gas resources may be available for commercial development,” he said.

Appea has made a number of recommendations in its submissions to the Victorian Committee which includes the establishment of an independent gas fields commission and the immediate removal of all moratoriums on onshore gas exploration.

A moratorium has been in place in Victoria since August 2012, applying to all onshore gas activities including exploration, drilling and hydraulic fracturing.

The inquiry is expected to provide its final report by the beginning of December.