AFR: Palmer rejects Queensland’s Galilee Basin offer Mark Ludlow Clive Palmer is not interested in the Newman government’s latest offer in the Galilee Basin. Photo: Glenn Hunt Mining magnate Clive Palmer and environmental groups have rejected the Queensland government to offer discounted royalties to mining companies to forge ahead with coal mines in the frontier Galilee Basin.The Galilee Basin development strategy, revealed by The Australian Financial Review on Thursday, will also fast-track planning approval, reserve land at Abbot Point coal terminal as part of a “first-mover incentive”. Queensland Premier Campbell Newman told the government’s major project conference he was committed to opening up the Galilee Basin to coal mining saying the forecast $28.4 billion in development would create 15,000 jobs during construction and over 13,000 operational jobs. “My government is unashamedly all about growing the business of Queensland and we will do all we can to facilitate the projects proposed for the Galilee Basin,” Mr Newman said. But Mr Palmer, whose $6.4 billion Waratah Coal project is one of a handful of proponents in the Galilee Basin, has rejected the Newman government’s plans as a “sign of desperation” to ensure Indian company GVK and Hancock Coal’s proposal got off the ground. Speculation has been growing the GVK/Hancock Coal project will not proceed because of growing debt and a sharp fall in the price of coal. “We don’t require a discount for our project,” Mr Palmer said in an interview. “I don’t think it will be enough to get GVK across the line. This strategy is just another way for Campbell Newman to say here’s a new subsidy, please invest in GVK even though they are the worst project and are in debt.” Mr Palmer has fought a long-running dispute with the Queensland government over a rail corridor to the Galilee Basin which is 500 kilometres from the coast which he says benefits GVK’s project. Mr Palmer said the common rail corridor chosen by the Newman government supports GVK’s proposal but was not suitable for other big projects as well as being under the one in a hundred flood level. Waratah Coal has received environmental approval but its infrastructure proposal, including rail corridor, was knocked back by the state government. Other aspects of the government’s Galilee Basin development strategy include helping reduce start-up costs and facilitating power and rail access to the site as well as reserving terminal two at Abbot Point coal terminal. “This is designed to encourage first movers - those proponents whom the government consider would play a vital role in opening up the basin for their own projects and opening up the basin for other miners as well,” Deputy Premier and Planning Minister Jeff Seeney said. “These incentives [ramped-up royalty period], along with the strategy’s streamlined solutions for planning, land acquisition, water, power and rail, will ensure projects have the best chance of going ahead in the Galilee Basin.” But Queensland Greens Senator Larissa Waters said the incentive scheme would only further threaten the Great Barrier Reef and line the pockets of billionaires. “At the end of the fossil fuel era, the Newman government is propping up coal at the expense of the Great Barrier Reef and the climate, to make mining magnates even richer,” Senator Waters said. “People like Clive Palmer don’t need any help making even more money, especially when their mega profits go to buying political power.” Comment was being sought from GVK and Adani.
Posted on: Sat, 09 Nov 2013 10:57:49 +0000
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