The annual update assessed how well the CSG industry is managing the effects on groundwater resources from developments in the Surat Basin.
Water is a primary by-product from CSG projects, although it is often rich in constituents that make it unsuitable for a number of uses.
Minister for natural resources and mines Andrew Cripps said the government has committed to rigorously monitor the CSG industry and how it impacts the wider environment, including managing groundwater production.
Surveying operating conditions and ensuring they stay within stringent guidelines is also important, he added.
According to the report, CSG development has been a little slower than first anticipated, which means it is too early to detect any clear water pressure impacts. There is also likely to be less of an impact by 2015.
The independent Office of Groundwater Impact Assessment prepared the report, and Mr Cripps said the organisation is progressing with a range of research projects in the Surat Basin.
“The report will ensure the industry is proactive in not only preventing water supply from becoming impaired, but also putting make-good measures in place if water supply does become impaired, as required by the Water Act 2000.”
It is hoped these will help optimise CSG models to minimise the future effect of oil and gas initiatives, ensuring they are approached in the most sustainable way.
“This annual report checks on the progress of how recommendations from the report, approved in December 2012, are being managed, as well as the research activities,” Mr Cripps added.