Impacts of unconventional gas development on rural community decline

AbstractThis paper looks at the impact of a new extractive industry, namely unconventional natural gas, on rural decline. Rural decline is defined as comprising loss of rural youth, reduced human capital and increasing rural poverty. Since the start of the current century, the unconventional natural gas industry has been expanding around the world, often in close proximity to pre-existing agricultural communities. The social impacts of this new industry represent a growing area of interest in rural studies. We contribute to this new research area through a case study of coal seam gas (CSG) development in Queensland, Australia, comparing regions where gas development occurred between 2001 and 2011 against a control group of similar regions without gas development. The study eliminated the influence of non-resident workforces by analysing census data based on place of usual residence as well as place of enumeration. A key finding of the study is that regions with CSG development have experienced a growing youth share of the population and, of particular note, a growing female youth share of the population. CSG regions had a higher proportion of youth with university degrees and advanced technical training compared to other rural regions. Poverty reduction was also observed in some specific CSG regions. The extensive spatial footprint of unconventional gas and increased female rural youth populations indicate a diversion from traditional boomtown social impacts observed in previous energy booms. Taken together, the results show signs of mitigating and reversing rural community decline