A public policy think tank has slammed the proposed expansion of a New South Wales coal mine, saying the cost of emissions to the climate would exceed any economic benefit.
A public policy think tank has slammed the proposed expansion of a New South Wales coal mine, saying the cost of emissions to the climate would exceed any economic benefit.
Key points:
- Applications have been made to the NSW Planning Department to expand two existing coal mines
- A public policy think tank says the mines do not stack up economically
- Dozens of submissions opposing the plans have been lodged
ASX-listed Yancoal wants to extract an additional 40 million tonnes of coal through four new open cut pits at the Moolarben Coal Complex near Mudgee, in the state's central west.
The company's Environmental Impact Statement reveals the project would mine up to 9 million tonnes of coal a year, with an average of 4 million tonnes extracted until its slated closure in 2038.
Seventy-six submissions have been made to the state planning department about the proposal.
Of those, just two, of one sentence each, support it.
Unequal cost
Among the overwhelming number of objectors is the Australia Institute, which focused on the economic impact of the project.
Research director Rod Campbell said he found the direct cost of the Moolarben Open Cut Extension Project to the climate measured by the economic damage that would result from its carbon dioxide emissions — would be $156 million, "greater than estimated royalty value [of] $152 million".
Mr Campbell believed the public was being "misled" by Yancoal.
His submission to the department said the company's estimate that the expansion would see it pay $82 million company tax, including $26 million into NSW coffers, was "almost certainly an overestimate".