IS it possible the NSW Minerals Council is overstating the likely impact of last week’s Supreme Court decision to declare mining access agreements between BHP Billiton and two families on the Liverpool Plains invalid?
The fall-out predicted by council chief executive Dr Nikki Williams includes:
• Paralysing investment in NSW
• Jeopardising the NSW State Budget
• Jeopardising thousands of jobs.
The access agreements, upheld by the Mining Warden’s Court against strident opposition from landholders in 2009, were overturned because BHP Billiton had not negotiated them with all parties with a financial interest in the
properties.
The company had only dealt with the landholders themselves.
Dr Williams is now crying foul, saying that if it is necessary for miners to negotiate with all affected parties – including banks – to obtain access agreements then it just won’t be worthwhile to carry out exploration work.
That, given the value of the resources at stake and the profits the companies stand to make from a successful mining venture, seems a pretty big call at this stage.
We suspect that mining exploration in NSW will continue to occur into the indefinite future – come hell or high water.
That said, Dr Williams does have a point when she says last Friday’s decision will create fresh levels of bureaucracy, red tape and confusion – all things which are already far too common in this state.
It is interesting to note that at this stage the responsible minister, Ian MacDonald, has yet to issue a substantive statement on the Supreme Court
decision.
He has only been quoted as saying the government is “still considering the potential wide ranging and unintended impacts of the decision”.
If, as Dr Williams has claimed, the decision does have the potential to effect state government royalties income, we suggest that legislative amendments would not be too far off.