Mining CEO slams Labor as 150 Acland coal workers laid off
One of Queensland’s top mining bosses has slammed Labor over the layoff of 150 workers.
One of Queensland’s top mining bosses has slammed the state Labor government over the layoff of 150 workers, warning that the stalled Acland coal pit expansion west of Brisbane sent a “concerning” signal to business and would further erode investment confidence.
New Hope group chief executive Shane Stephan voiced his frustration after the Palaszczcuk government failed to follow through on what he said were commitments to green-light the $900m Acland stage III project, even though the company had secured a judgment in September and follow-up orders from the Queensland Court of Appeal in its favour.
His broadside came as former ALP treasurer Keith De Lacy said relations between business and state Labor had plunged to a low, especially for firms trying to make new investments.
Mr Stephan said Queensland-grown New Hope had put $1.7bn into the Bengalla coal project in NSW’s Hunter Valley while waiting on mining and water permits for the Acland III open cut, a process that had dragged on for 12 years. “One would think that the government would stand behind its word and, given the findings and orders of the Court of Appeal, grant those approvals very quickly,” he said. “They certainly have had enough time to mull over the issues.
“And it sends a very bad sign, not just to my board, because I know that the Acland stage III decision is looked (at) by many other participants in our industry, and they are getting concerned with regard to the signals that it is sending them with regards to investment in the state.”
Mr Stephan’s criticism, rare from a CEO, reflects growing dismay in the business community with the government under Annastacia Palaszczuk, which marked on Monday the 30th anniversary of the election of the late Wayne Goss as premier in 1989. This laid the platform for the ALP to govern Queensland for all but five years of the past three decades.
Mr De Lacy, the Goss government’s most senior surviving member, told The Australian: “It’s very difficult to do business in Queensland at present, particularly new business.” He said record debt forecast to hit $82.9bn by 2022-23 left the state vulnerable to the “slings and arrows” of fortune.
“I lament always the lack of focus on debt, both in campaigns and in normal policy debate today,” Mr De Lacy said. “You will get another shock. Whether it be from God or the national economy, it’s inevitable and the only real defence is a strong balance sheet.”
Mr Stephan said New Hope could axe more jobs at the Acland site, near Oakey on the Darling Downs, because the existing ore body was depleted, reducing production.
Andy Scouller’s crew in the wash plant had been cut from 27 to 18 and the 44-year-old father of six said he was worried about his future if the new stage did not open up. “I can’t understand it,” he said. “They approve Adani, which is foreign-owned … and yet here we are, an Australian company that pays taxes in this country, employs local people, supports the local economy and they are not giving us a gig.”
Mr Stephan said the company had been assured the Court of Appeal proceedings were the last hurdle to the granting of mining and water licences, yet this had still not happened, forcing the 150 job cuts last month or about half the full-time workforce. Asked to characterise the government’s attitude to business, he said: “I think remote is the right term. It is really quite challenging at times to get engagement with key decision-makers in the state government.
Defending the government’s record, Mines Minister Anthony Lynham said it had supported $20bn in resource investment since taking office in 2015, creating 7000 mining and gas industry jobs.
“We are carefully considering the court’s final orders and what they mean for the remaining approvals for this project,” he said.
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