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Reckless move paves way for China Shenhua's land grab for coal mining

Tuesday 21 July 2009

Responding to today's decision of the Federal Treasurer Wayne Swan to allow China Shenhua to purchase rural properties in northwest NSW, Greens MP and mining spokesperson Lee Rhiannon said the sell-off would damage Australia's food security and our climate change obligations.

"The federal government has effectively given the go-ahead to coal mining on the Liverpool Plains as China Shenhua's interest in these properties is to speed up its mining approval", Ms Rhiannon said.

"Coal mining should not be allowed on any prime agricultural land. The area where China Shenhua wants to mine is a rich food bowl that delivers 40 per cent more crop per hectare than the national average.

"The high level of productivity in this area is due to combination of rich fertile soil and a regular supply of ground water from a complex aquifer system. All this will be threatened if mining is given the thumbs-up in this area.

"China Shenhua's mining plans for this area are not compatible with farming or reining in runaway climate change.

"Treasurer Swan was not obliged to accept the recommendation from the Foreign Investment Review Board. This is where the federal government should have broken with the coal industry and taken a stand in the interest of all Australians.

"Last week I toured in north-west NSW and did a series of meetings with local farmers.

"Many raised with me their concerns about China Shenhua's push to buy up local properties. The Treasurers decision is a setback but I am confident that support for the work of the Caroona Coal Action Group will continue to grow.

"In this era of climate change and increasing periods of drought the government should be working on a transition program away from the coal industry to renewable energy sources", Ms Rhiannon said.

For information: Lee Rhiannon 9230 3551, 0427 861 568

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