NewsBite

Whitehaven Coal wins thermal coal mine expansion at NSW’s Narrabri

Whitehaven Coal has won the green light for a major expansion of its Narrabri coal mine in NSW, but critics have slammed the approval as reckless.

Whitehaven Coal has won an extension for its Narrabri mine in NSW until 2044.
Whitehaven Coal has won an extension for its Narrabri mine in NSW until 2044.

Whitehaven Coal has received approval to expand a major coal mine in NSW’s Narrabri after a review by the state’s Independent Planning Commission which has imposed 152 conditions on the project including new measures to cut greenhouse gas emissions.

The approval was immediately slammed by critics concerned the mine extension was at odds with urgent climate change goals, with the Australia Institute branding the decision “reckless and dangerous” given the nation’s need to cut pollution.

The Sydney-based coal miner has been operating Narrabi since 2012 where it employs 500 people and previously held a licence to produce 11m tonnes a year of coal until 2031.

The new expansion extends the life of the mine until 2044 and allows an extra 82m tonnes of thermal coal to be extracted after the IPC approved its plan.

“The Commission finds that, on balance, the application is not inconsistent with ecologically sustainable development principles, and that the project would achieve an appropriate balance between relevant environmental, economic and social considerations,” the IPC’s statement of reasons said.

The NSW Department of Planning, Industry and Environment had spent more than a year reviewing the project and gave the green light in January 2022 for the scheme which will extract coal to the south of the existing mine.

The IPC said it took into account the NSW government’s policies on mining and emissions reductions and objectors’ concerns on greenhouse gas emissions, including the increased methane that is predicted to be released beyond 2030.

“The Commission has set strict performance measures to curb the intensity of the mine’s Scope 1 and Scope 2 greenhouse gas emissions, which Whitehaven must comply with during the life of the mine,” the IPC said.

“Whitehaven will also be required by the Commission to complete an Emissions Minimisation Plan to investigate and implement innovative, economically-feasible ways to further reduce the mine’s Scope 1 emissions, including through deploying existing, emerging and future technologies.”

The Australia Institute slammed the IPC’s decision.

“The IPC claims that approving new coal production out to 2044 is ‘not inconsistent’ with net zero emissions goals or the Paris Agreement,” said Rod Campbell, research director with the Australia Institute.

“This will be a particularly dirty coal mine with massive direct methane emissions, so the NSW government cannot hide from the fact these emissions will be its responsibility.”

Activists Lock The Gate Alliance said it was “incensed” by the decision.

“We know that Whitehaven has no problem violating the conditions placed on its mining operations. The conditions imposed by Commissioners are cold comfort and hold no credibility,” Lock The Gate spokeswoman Georgina Woods said.

The IPC said Scope 3 emissions, pollution by Whitehaven’s coal customers, would add to climate change but said the pollution would be covered by international environmental pacts such as the 1.5 degree target outlined in the Paris climate accord.

“The Commission acknowledges that while the project’s Scope 3 emissions would contribute to anthropogenic climate change, they are more appropriately regulated and accounted for through broader national policies and international agreement such as the Paris Agreement,” the IPC said in its statement of reasons.

A number of submissions raised fears that the Narrabri extension would be inconsistent with the NSW government’s emissions reduction targets for 2030 – where it targets a 50 per cent but below 2005 levels – and a long-term net zero goal for 2050.

However, the IPC said the coal mine was consistent with broader goals and said Whitehaven was required to “continually investigate” technologies to cut fugitive methane emissions.

“The Commission is of the view that the project is not inconsistent with the NSW Climate Change Policy Framework, the Net Zero plan or Australia’s current obligations under the Paris agreement in respect of Australia’s current nationally determined contributions.”

Read related topics:Climate Change
Perry Williams
Perry WilliamsBusiness Editor

Perry Williams is The Australian’s Business Editor. He was previously a senior reporter covering energy and has also worked at Bloomberg and the Australian Financial Review as resources editor and deputy companies editor.

Original URL: https://www.theaustralian.com.au/business/mining-energy/whitehaven-coal-wins-dangerous-thermal-coal-mine-expansion-at-nsws-narrabri/news-story/183b4ad04a8635616b32cc4fe88e624d