HOGSBACK

Governments conspiring to shut down coal

GOVERNMENTS at all levels are colluding to wind down the Australian coal mining industry by diverting funding away from essential infrastructure that provides the backbone of supply chains.

Governments are pushing the need for diversifying into other industries such as renewable energy.

Governments are pushing the need for diversifying into other industries such as renewable energy.

Hogsback reckons these governments are cloaking this surreptitious sabotage of the coal industry in the language of care for the environment by pushing the need for diversifying into other industries such as renewable energy.  

One example of this activity at a local government level is the Hunter Joint Organisation, which describes itself as a "collaborative body that brings together the 10 councils in the region to provide a united and local voice for our communities".

"As the hub for local intergovernmental collaboration, our statutory mandate includes identifying key regional strategic priorities, advocating for these priorities, and building collaborations around these priorities with other levels of government, industry and community," it states

The Hunter JO is working with the NSW government, University of Newcastle and its member councils to develop an integrated suite of policies to "help the Upper Hunter's unique communities prosper over the long term".

Hunter JO states infrastructure connectivity and prioritisation is a priority focus area, underpinning many of its economic and social aspirations.

The Upper Hunter supplies approximately 60% of the state's power needs, mainly through coal.

However, the group's Upper Hunter Economic Diversification Action Plan articulates the region's priorities for delivering a sustainable and secure economic future - leveraging existing regional advantages and expanding into new growth areas of agribusiness, renewable energy and the export of expertise in mining, advanced manufacturing and professional services to global markets.

Turning to the NSW government, deputy premier John Barilaro, who is supposed to be the state's resources minister, has set up a panel to pick over the carcass of the Hunter Valley coal mining industry and redirect coal royalties to competing land uses in the region such as farming and horse studs.

Barilaro said he was bringing together Hunter community leaders to determine how best to maximise Royalties for Rejuvenation funding to ensure the government protects jobs in favoured industries.

It also "identifies the exciting opportunities that can be built off the back of the mining legacy for decades to come," according to Barilaro, who is also the leader of the NSW Nationals party.

"Coal mining has a strong future in NSW but we need to ensure stability in the long-term and that is why we established the Royalties for Rejuvenation Fund that will see a minimum of $25 million set aside each year to ensure we plan for opportunities down the line in mining towns," he said.

In Queensland, the state government is actively encouraging one of the state's major coal export facilities, Hay Point, to diversify out of coal and move to hydrogen export instead.

North Queensland Bulk Ports Corporation joined Dalrymple Bay Infrastructure, Brookfield, and international trading company Itochu Corporation to sign a memorandum of understanding for the hydrogen proposal.

The MoU will allow work to start on concepts to build a renewable hydrogen production, storage, and export facility within the Hay Point port precinct.

Queensland transport minister Mark Bailey said Queensland's publicly-owned ports needed to be ready to capitalise on the future demand for exported hydrogen from international trading partners, which he said would be the "next energy source".

Since 2012, the federal government owned Australian Renewable Energy Agency has provided $1.77 billion in funding to more than 600 renewable energy projects with a total project value of $7.75 billion. Last year, ARENA was renewed for a further decade with $1.62 billion in funding.

Hogsback reckons governments will eventually choke the local coal industry if they fail to ensure the essential coal supply chain infrastructure is not neglected and funding given to pet renewable projects. 

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