New South Wales Deputy Premier John Barilaro said royalty revenue and regional jobs may be threatened after the state's Independent Planning Commission vetoed Korea Electric Power Corp.'s Bylong coal project, The Australian reported Sept. 29.
The project was rejected on concerns about long-lasting environmental, agricultural and heritage impacts. The rejection may risk the loss of 1,100 jobs and A$1 billion in investment into the state, Barilaro said in his calls for an overhaul of the commission.
The decision may also weigh on growth in the coal export trade with South Korea, now worth about A$150 million per year for the state's coffers.
Barilaro added that uncertainty around the commission's decision-making process is "creating a sovereign risk for mining investment" in the state, according to the report.
"There is a lack of consistency, a lack of certainty and the length of time taken to reach some of these decisions is unacceptable," Barilaro said, adding that there will be a concern that potential mining investment in the state is uncertain unless changes are made to the committee.
State Minerals Council CEO Stephen Galilee said it was not hard to see why some "would question the stability of NSW for trade and major investment" given the current planning system.
"The proponents spent five years patiently and diligently negotiating the NSW planning system, only to be refused approval by a part-time planning panel at the last hurdle, and despite the recommendation of the Department of Planning," Galilee said.
