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The Australian government has given the go-ahead for an Indian company to develop one of the largest-ever coal mines in the world in Queensland, angering environmentalists.
The £9.2 billion Carmichael Coal Mine and Rail project will cover an area of more than 200 square kilometres in the Galilee Basin that will contain six open cut mines and five multi-seam underground coal mines. It will also construct a 117 mile rail line to an expanded coal export terminal at the Port of Abbot Point.
Indian conglomerate Adani, which successfully secured the rights to the mine in 2010, expects to produce 60 million metric tons of coal a year from Carmichael that it intends to supply to India. The country is the world's third largest importer of coal and depends on imports to generate most of its electricity. The mine is expected to be operational by 2023 and have a lifetime of 60 years.
The project was approved by local government earlier this year and by the Federal Minister for the Environment, Greg Hunt, yesterday. He said: “The absolute strictest of conditions have been imposed to ensure the protection of the environment, with a specific focus on the protection of groundwater.
“At full export capacity the project is expected to contribute $2.97 billion to the Queensland economy each year for the next 60 years.”
The mine will employ 2475 workers during construction and 3920 jobs during operation.
However, the announcement has been slammed by environmentalists, with the expansion of the port causing particular anger. Around five million tonnes of sea bed has to dredged and deposited within the Great Barrier Reef Marin Park, a UNESCO World Heritage Area
Greenpeace Australia Pacific campaigner, Ben Pearson, said: “I assumed our Environment Minister would think twice about letting a company with a destructive record as long as the Ganges anywhere near our Reef.
“The political system has failed to protect the Great Barrier Reef, the global climate and our national interest. But don't assume this is the end of the story. The Carmichael mine cannot go ahead without the financial support of one of the big four Australian banks.”
The Indian Adani Group includes logistics, ports, energy and mining businesses. Chairman of Adani, Gautam Adani said: “Adani’s commitment to contribute towards providing energy security to India and other Asian countries goes hand-in-hand with its commitment to providing sustainable employment opportunities for local workers and suppliers, not just through our rail infrastructure, but also our longer-term investments in ports and mining."