Labor could scare away international investors if it stops Adani project

LABOR’S Adani stance could spook international investors considering major projects in Australia if it wins the election, says Resources Minister Matt Canavan.

ANY bid from a Labor Government to overturn Adani’s environmental approvals will spook international investors and leave them thinking twice about any major projects in Australia, says Resources Minister Matt Canavan.

There are fears in the industry Labor would seek to overturn the approvals after Opposition leader Bill Shorten said he had “increasing concerns” about the mega mine and was rethinking the party’s position on the project.

Mr Shorten made the comments while launching the party’s candidate in the Victorian seat of Batman, which is under threat from the Greens.

Labor’s environment spokesman Tony Burke yesterday said he could not say what Labor would do if they won government, saying it could be used against them in the court.

“So what I can tell you right now is the more I have looked at this the more sceptical I have become about the approvals that have been given,” he told ABC radio.

Resources Minister Matt Canavan said any talk of revoking the approvals was highly irresponsible and would make it hard to attract investment.

He accused Labor of being “lily-livered” and selling out central Queensland for green votes in the Batman by-election.

“To be talking about unwinding a properly made approval at 10 minutes to midnight is highly irresponsible, not just to this project but because of its ramifications on other investments that people want to make in this country,” he said.

Queensland Resources Council boss Ian Macfarlane said reversing the position on Adani would create sovereign risk, but they were viewing the Opposition leader’s comments in the context of the by-election.

“Any time a federal leader makes a comment on retrospectivity it has a negative impact,” he said.

Mr Shorten’s comments followed a media report that Adani had altered a lab report regarding a coal-water spill near Abbot Point, which is strongly denied by the company.

Labor cannot withdraw the federal environmental approvals for Adani’s Carmichael mine without substantial new evidence or changing the law.