Coal mining extensions and expansions will continue, the New South Wales premier says, despite a government-appointed agency finding further approvals would be inconsistent with emissions targets.
The Net Zero Commission was set up in 2023 to advise the state government on progress towards its legislated goals, including a 50 per cent reduction by 2030 and net-zero emissions by 2050.
In a report released on Friday, the agency found extensions or expansions to coal mining in the state were neither consistent with those targets nor the Paris Agreement to limit global warming.
The Net Zero Commission report found expansions to coal mining were inconsistent with NSW’s emissions goals. (ABC News: Michael Barnett)
But Premier Chris Minns on Saturday said it would be “irresponsible” to stop project approvals with immediate effect.
“We’re not going to make that ruling, and I’m not going to make that promise,” he said.
“I’ve said from the very beginning … mining, particularly in the Hunter [region], is still important for the New South Wales economy, it’s our single biggest export.
Chris MInns says it would be “irresponsible” to stop coal mining project approvals in NSW. (ABC News)
“Yes, our trading partners are getting out of it. Yes the people that buy that coal will buy less of it in the years ahead.
“At the same time as we are running a million miles an hour to bring on renewable energy in New South Wales, we are trying to manage this transition in the economy as best as we can, and that’s just not consistent with shutting it down overnight.”
Industry critical of report
The NSW Minerals Council, which represents the state’s coal mining industry, said the commission’s report was a “flawed and superficial analysis” that risked thousands of mining jobs.
NSW has 37 operating coal mines, according to the Net Zero Commission report, with 17 expansion or extension projects in the planning pipeline, which the agency warned would significantly increase emissions if approved.
The commission found the existing process for determining the approval of mine extensions failed to robustly address emissions implications.
BHP’s Mt Arthur site is one of 37 operating coal mines in NSW. (ABC Upper Hunter: Jake Lapham)
It recommended consent authorities be required to consider the impact of indirect emissions, called “scope 3” emissions, which are beyond the company’s control.
The report found the vast majority of emissions associated with NSW coal mines were generated overseas as 87 per cent of the state’s coal was exported.
NSW Minerals Council CEO Stephen Galilee said the state’s coal mining industry had cut emissions faster than any other sector.
Stephen Galilee says coal mining contributes about 12 per cent of the state’s total emissions. (Supplied)
“Coal mining contributes around 12 per cent of the state’s total emissions,” Mr Galilee said in a statement.
“That means around 88 per cent of New South Wales emissions are generated by sectors other than coal mining.
“If the Net Zero Commission was truly ‘independent’ it would focus on emissions across the wider economy.”
‘Very serious moment’
Nic Clyde from activist group Lock the Gate said the report was believed to be the first instance of a government agency in Australia calling for an end to the expansion of coal mining.
“It’s a very serious moment. It’s a real rock in the pond for climate politics in NSW,” Mr Clyde said.
“It really does require an urgent response from the government.”