News Wrap

IN THIS morning’s wrap: Wiggins Island rail project gets go-ahead; new federal government red tape “risks mega-projects”; and China, Japan driving green energy investments.
News Wrap News Wrap News Wrap News Wrap News Wrap

Wiggins Island, where Bandanna has recieved an allocation for coal exports.

Lou Caruana

Wiggins Island rail project gets go-ahead

Bandanna Energy said last night the Queensland Competition Authority had approved arrangements for the construction of the Wiggins Island rail project, The Australian reports.

"It represents another significant step in Bandanna Energy's path to exporting first coal through Wiggins Island coal export terminal in the second half of 2014," Bandanna managing director Michael Gray told the Australian Securities Exchange.

QR National's wholly owned subsidiary QR Network executed commercial agreements in September with a consortium of coal companies, including Bandanna Energy, to construct rail capacity for haulage to a new export terminal at Gladstone.

The other members of the consortium are Xstrata Coal, Aquila Resources, Caledon Resources, Northern Energy Corporation, Yancoal Australia, Wesfarmers Curragh and Cockatoo Coal.

Government red tape 'risks mega-projects'

Business and the Opposition have accused Julia Gillard of making policy on the run at the behest of union leaders after reports she was considering requiring a cabinet subcommittee to oversee new enterprise migration agreements to protect Australian jobs, The Australian reports.

The attacks came last night as unions rejected business warnings that more red tape would smother the new EMAs, specifically designed to meet labour shortages in the booming resources sector by allowing the engagement of foreign workers.

China, Japan driving green energy investments

Chinese and Japanese investors will be the force driving merger and acquisition activities in the renewable energy industry in coming years, according to accounting firm KPMG, The Sydney Morning Herald reports.

Asian investment in the renewable energy industry in 2011 increased by more than 50% from the year before. Asian companies made 29 acquisitions last year worth $US2.1 billion.

Survey respondents believe Chinese and Japanese buyers are likely to be the new major investors and acquirers in the renewable industry in the next 18 months. Mathew Herring, KPMG Australia's national leader of renewables, has urged the country to position itself to take advantage of the coming investment boom.