The Queensland’s conservative Liberal-National Party (LNP) state government has given the go ahead to a coal mine that will become the largest in Australia and one of the biggest in the world.
The LNP government signed off on the $16 billion coal development in the Galilee Basin in the state’s central region, a project that some economists have already warned could become a stranded asset because of a decline in global demand for coal.
The Carmichael Coal Mine north-west of Clermont will produce up to 60 million tonnes of coal each year and includes a 189-kilometre rail line.
The project, which is being run by Adani Mining, a wholly owned subsidiary of India’s Adani Group, now goes to the conservative Liberal-National federal government for final approval.
Queensland’s Deputy Premier Jeff Seeney told ABC News a processing plant, workers’ accommodation and an airport would also be built.
“The coordinator-general has approved the project subject to an extensive list of environmental and social conditions,” he said.
“If it proceeds, the Carmichael project would not only be the largest coal mine in Australia but one of the largest in the world.
“But it would also be a vital project in opening up the hugely significant Galilee Basin.”
He said the coordinator-general had “worked closely” with the federal Department of Environment in finalising the report.
The Australian Greens Party has rejected the state approval saying the mine should be refused by federal Environment Minister Greg Hunt for climate, environmental and economic reasons.
“Coal in the Galilee Basin must stay in the ground if we are to deliver a safe climate and a sustainable economy to our grandchildren, rather than just make (Queensland LNP Premier) Campbell Newman’s mining mates richer,” Australian Greens’ mining spokesperson, Senator Larissa Waters, said.
“The stringent and wide-ranging conditions set by the coordinator-general include protections for local flora, fauna, landholder interest, ground water resources, the quality of surface water leaving the project site, air quality and noise and dust levels,” Mr Seeney told ABC News.
“Projects that have languished for years in approvals are now being efficiently, yet rigorously assessed, signalling that Queensland is open for business.
“We know that boosting economic growth creates jobs for Queenslanders and that growth is critical to tackling the legacy of debt left to us by Labor.”
Mr Seeney says the project has the potential to create up to 2500 construction and 3900 operational jobs.
“The construction of the mine and rail components is expected to generate in excess of $500 million annually in direct and indirect benefits to Queensland’s economy,” he said.
He also said Adani would be required to reach agreements in relation to groundwater and water bores with all affected landholders, including the identification and provision of alternative water supplies.
Mr Seeney said the company would also be required to contribute water monitoring data and funding to a Galilee region water resource model.
Queensland Resources Council CEO Michael Roche said there were still many hurdles ahead for the development.
“We know it’s a project which is going to run into a lot of trouble with the activists,” he said.
“They’ll use every opportunity through the legal system to disrupt and delay this project just as they have with the Alpha project.”
Mr Roche said the project had been through extensive environmental assessments.
“The activists have had plenty of opportunity to have their say along the way but we expect they’ll come in at the last minute and use the court system wherever they can to disrupt and delay this core project,” he said.
