It is the first ever White Paper for developing the north, and, somewhat optimistically the paper’s authors suggested that it should be the last.

“The White Paper is ambitious and will require good governance if it is to be successfully implemented,” the document noted.

“Twenty years from now we don’t want the regret of missed chances,” apparently forgetting there could be seven changes of federal government in that window alone.

Commitments

The federal government has made substantial policy and fiscal commitments, hoping that by 2035 there will be simpler land arrangements to support investment and infrastructure, developed water resources for agriculture, transforming the north of Western Australia, the Northern Territory and Queensland into a business, trade and investment gateway, and a place people want to live and work.

The government wants to develop the north into an “economic powerhouse", utilising all of its natural resources.

Northern Australia already accounts for a significant share of Australia’s exports.

In 2012-13, the value of international exports by sea via northern ports reached $121 billion, or 55% of the Australian total. Of these exports, 84% by value were coal, petroleum, gas and crude materials including iron ore.

Long-term prospects for the northern economy remain strong, the paper found, with projections suggesting that by 2040 northern jurisdictions will account for nearly 42% of the Australian economy, up from 35% in 2011.

Energy

In terms of energy, the White Paper recognises the onshore and offshore areas across northern Australia are largely underexplored, with good potential for further oil and gas discoveries, many of which may be unlocked with technological advances, such as floating LNG or horizontal drilling and fraccing.

The proposed Northeast Gas Interconnector Pipeline being advocated by the Northern Territory government to connect with Australia’s eastern natural gas market will be an opportunity to test the gas market’s appetite to grow the industry.

Such a link had the potential to contribute to a more efficient gas market through infrastructure

that linked markets, built resilience and enabled new gas resources to be developed, the White Paper said.

It noted that while Australia’s eastern natural gas market had undergone substantial development over the past 20 years, transitioning from an isolated and self-sufficient market to one linked to high value international gas markets, there was a lot of work needed in the unconnected northern and western gas markets.

The White Paper did not examine a possible Trans-Australia pipeline.

Renewables

The White Paper also noted that under the federal government’s Renewable Energy Target scheme more than 23% of Australia’s electricity was expected to come from renewable sources by 2020.

In the Kimberley region, the Western Australian government has approved plans for the “state’s first tidal energy power station”. The facility will be able to generate up to 40 megawatts of electricity — enough to power 10,000-15,000 homes.

In Mackay, the Queensland University of Technology’s Renewable Biocommodities Pilot Plant is converting cellulosic biomass from sugar cane into renewable transport fuels.

In the Northern Territory, more than $55 million is being invested across 30 remote communities through the Solar Energy Transformation Program.

The paper also noted that northern Australia accountedfor more than 70% of Australia's known resources of iron ore, lead, zinc and silver and in excess of 60% of Australia's economically demonstrated black coal reserves.

Funding

The Abbott Government earmarked a $5 billion infrastructure facility in the May budget, and in the White Paper suggests a $600 million roads package to improve key routes, many of which would aid oil and gas exploration, a $200 million Water Infrastructure Development fund and a $75 million Cooperative Research Centre that would focus on developing northern Australia.

A Northern Investment Forum to be held in Darwin in late 2015, simpler land arrangements designed to boost investment and make it simpler for native title bodies to negotiate with businesses, boosting links to the Indo-Pacific region, and improved governance arrangements were also foreshadowed.

The White Paper said northern jurisdictions had been asked to regulate business less and facilitate more, including undertaking their own work to complement the federal government’s northern Australia themed regulation repeal day – a so called “red tape bonfire” – in March 2016.

“This White Paper is not a giveaway,” the White Paper said.

“Each dollar spent requires effort from someone living or working in the north — more infrastructure is linked to improved assessments and the prospect of user charging; better employment opportunities and more foreign workers where business needs them; and funding for dams only happens if secure water rights are assured for farmers and investors.”

The White Paper said the 20-year timeframe included within the paper would provide certainty for investors, something that was vital to develop the north.

However, it specifically ruled out a Special Economic Zone where special taxation and/or regulatory arrangements would apply such as duty concessions for manufactured exports, of the type agitated for by Hancock iron ore scion Gina Rinehart.