Uranium Mining

Uranium Mining

The Qld Government has announced it will recommence uranium mining in Qld, governed by world's best practice and strict environmental, safety and approval processes.

The Australian Conservation Foundation says it received a letter from Premier Campbell Newman just days prior to this announcement that stated the Qld Government had no plans to approve uranium mining.

On 30 October 2012 the Government established an independent Uranium Mining Implementation Committee (the UMIC) to examine and report on a best practice policy framework for a Queensland uranium mining and export industry.

Uranium Mining Implementation Committee its report including multiple recommendations on 18 March 2013 for consideration by Government.

The UMIC report makes practical recommendations about important issues including environmental management and protection, safety and health, economic and community development, the safe transportation of uranium and community engagement.

The Qld government is still considering the recommendations and developing its response.

Vegetation Clearing and Enviro Offsets

Vegetation Clearing Legislation

Twenty-seven academics from universities across Queensland with expertise in biodiversity conservation and sustainable development are urging Premier Campbell Newman to reconsider proposed changes to the Vegetation Management Act.

The scientists are expressing grave concerns about the future impacts of proposed changes to Queensland’s Vegetation Management Act and the Water Act. There are warnings of devastating habitat and species loss if changes to the state’s land clearing laws go ahead.

The concerned scientists believe amendments will include allowing a new category of broadscale native vegetation clearing and remove the protections which previously prevented clearing of mature regrowth of threatened plant communities and of vegetation along many watercourses.

However, Minister Cripps claims the package of reforms will maintain key environmental protections such as buffer zones along creeks and rivers in sensitive reef areas.

The concerns of the Scientists about the changes to Vegetation Management include:

·       Land clearing is the greatest current threat to Australia’s biodiversity,

·       Vegetation loss is a major contributor to greenhouse gas emissions,

·       degradation and reduced water quality in waterways and estuaries,

·       dryland salinity and

·       lost ecosystems.

The changes the Qld Government are proposing to make to vegetation management laws are intended to support growth in agricultural production, provide jobs and boost regional economies. However, restoration of lost ecosystems can cost more than $20,000 per hectare. Avoiding the loss of ecosystems in the first place is far more cost-effective.

Green groups are coming under fire from the Minister for Natural Resources and Mines for opposing these changes.

The World Wide Fund have produced a report that provides the first estimates of environmental values potentially placed at-risk of renewed clearing due to the proposed changes to land clearing legislation in Queensland

Successive Qld Governments in the 1990s to 2009 bought in laws which provided strong protection for bushland. Before the Vegetation Management Act came into effect Qld was experiencing some of the highest rates of clearing in the world – similar to Brazil’s clearing of the Amazon. Once the new laws started to take effect clearing rates declined from a massive 750,000ha a year before laws were introduced in 1999 to 77,590ha in 2009-10.

An amendment bill was introduced into parliament in March and referred to the parliamentary committee for State Development, Infrastructure and Industry, which is due to report back on this week.

Environmental Offset Policy Review

Environmental offsets were originally established to replace environmental values lost through development.  At the moment, the Qld Government has five Environmental Offset Policies:

·       Qld Government Environmental Offsets Policy (administered by Department of Environment and Heritage Protection –offsets@ehp.qld.gov.au)

·       Qld Biodiversity Offset Policy (administered by Department of Environment and Heritage Protection –offsets@ehp.qld.gov.au)

·       Offset for Net Gain of Koala Habitat in South East Qld Policy (administered by Department of Environment and Heritage Protection - seqkoala@ehp.qld.gov.au)

·       Policy for Vegetation Management Offsets (administered by Department of Natural Resources and Mines –vmenquireis@dnrm.qld.gov.au)

·       Marine Fish Habitat Offset Policy (administered by Department of Agriculture, Forestry and Fisheries)

General information about offsets and the policies can still be found on the EHP website, however there is currently a review of the department’s web material, which has resulted in some documents being unavailable at this time.

In relation to the future of Qld’s offset policies, the Qld Government committed, through the Six Month Action Plan July to December 2012, to review the overarching framework for the Biodiversity Offsets Policy. The review will create a single policy that incorporates requirements of all five existing Qld Government offset policies.

The Department of Environment and Heritage Protection is leading this review.

The single policy will address all Qld Government offset requirements and could be adopted as the foundation for local government offset policies if desired by councils.

The review seeks to reduce costs for government and industry; promote strategic biodiversity outcomes; and provide for shelf ready products that enable rapid approvals for projects.

This review is not linked to the review of assessment requirements or triggers under legislation. These are being undertaken separately to development of this policy.

However, where there is a State assessment requirement to avoid, mitigate and offset impacts – the single State Government Environmental Offset Policy will provide how this offset is to be achieved.

Until this review is completed, all current offset policies remain in effect.

Power Price Rises

It is interesting to see the kerfuffle over Electricity prices today.

One has to feel sorry for the elephant in the room.

Remember the Message from the Premier in March 2012 to direct Treasury to start the legislative changes—across the whole-of-government—required to implement the government's Lower Cost of Living for Families package....

Electricity tariffs and the cost of living. Know your rights.

The Queensland Government has made a commitment to keep the cost of living down for all Queenslanders. As part of delivering on this commitment, the Government has frozen the standard electricity tariff (Tariff 11) for 12 months, starting on 1 July 2012.

In 2012-13, the regulated rate of the standard residential tariff, Tariff 11, will remain the same as the 2011-12 rates, plus the cost of the Commonwealth Government's carbon tax. This is the only cost that will be added to the standard residential tariff and will be shown separately on all Queensland residential electricity bills.

Whilst it is the Government's intent that all residential customers benefit from the freeze to Tariff 11 in 2012-13, some retailers may be charging their market customers above the regulated rate.

Under new legislation, market customers have the right to cancel their contracts or change to a regulated rate if the market rate charged by their retailer is higher than the regulated rate.

Residential customers who are on a market contract also have the right to revert to regulated prices at the end of their contract without paying an early termination fee. It is recommended you contact your retailer to confirm the terms and conditions of your contract and the options available to you.

freezing the standard domestic electricity tariff from 1 July 2012

Contrast the Message from the Premier with the Press Release below.

JOINT STATEMENT

Treasurer and Minister for Trade
The Honourable Tim Nicholls

Minister for Energy and Water Supply
The Honourable Mark McArdle

Friday, February 22, 2013

Statement from Treasurer Tim Nicholls and Minister for Energy and Water Supply Mark McArdle regarding electricity prices

Mr Nicholls:

“This increase is simply unacceptable. The government is committed to finding ways to reduce it, and the reduce the impact on Queensland families.

“The responsibility for this shocking double-digit price rise lies squarely on Labor’s shoulders.

“The Australian Energy Regulator (AER) has been poorly managed by the Gillard Government.

“Network costs, which are controlled by the Gillard Labor Government, represent more than 50 per cent of today’s proposed price increase and, when combined with green schemes and the carbon tax, it’s above 70 per cent.

“Green targets and schemes, like Julia Gillard’s Carbon Tax and Anna Bligh’s excessive solar rebate, have also pushed up the price of electricity.

“Those who can’t afford to put solar panels on their roof are paying the price for Labor’s bungled green schemes.

“Today’s proposed price rise is just another example of how Queenslanders are continuing to pay for the previous State Labor Government’s mismanagement and wasteful spending.

“Under Labor, spending by the State’s electricity businesses was out of control.

“The Newman Government has taken action to reduce the operating and capital costs of Energex and Ergon by $2.1 billion over three years.

“We will continue to reduce costs where we can, but our hands are tied in relation to network costs.

“The Queensland Government does not regulate electricity network costs, the Gillard Labor Government does - today’s proposed increase is out of our control.”

Mr McArdle:

“The Government understands the cost of living pressures that Queensland households are under, and increases like this are just not acceptable.

“The Newman Government will ensure it is reduced to the lowest level possible.

“We will make a submission to the Queensland Competition Authority (QCA), outlining our response, before the final price determination is released on May 31.

“Electricity price rises in recent years have been unsustainable.

“Since being elected last year, the Newman Government has implemented several initiatives to reduce the cost of living for Queensland families.

“We will continue to address cost of living issues, at the same time as growing the four pillars of the economy and reducing debt. The decisions of the past year clearly illustrate that the Newman Government is capable of the task ahead.”

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

The former Queensland Treasurer - Andrew Fraser has been on twitter reminding the current Government of Section 90 of the Electricity Act.



90 Deciding prices for non-market customers
(1) The Minister must, for each tariff year, decide (a price
determination) the prices, or the methodology for fixing the
prices, that a retail entity may charge its non-market
customers for all or any of the following—
(a) customer retail services;
(b) charges or fees relating to customer retail services;
Examples—
• charges or fees for late or dishonoured payments
• credit card surcharges for payments for the services
(c) other goods and services prescribed under a regulation.
(2) The price determination must be in the form of a tariff
schedule.
(3) To remove any doubt, the following is declared for a price
determination—
(a) it may be made from time to time and not just once a
year;
(b) a tariff from the tariff schedule for the previous tariff
year may be added to, removed or changed;
(c) it may include network charges;
(d) it can not be made for distribution non-network charges.
(4) The prices, or prices fixed under the methodology, are, for a
retail entity, called the notified prices.
(5) In making a price determination, the pricing entity—
(a) must have regard to all of the following—

(i) the actual costs of making, producing or supplying

the goods or services;

(ii) the effect of the price determination on

competition in the Queensland retail electricity

market;

(iii) if QCA is the pricing entity—any matter the

pricing entity is required by delegation to consider;

and

(b) may have regard to any other matter the pricing entity

considers relevant.

(6) The pricing entity may decide that the notified prices exclude

one of the following—

(a) GST;

(b) the amount fixed by the pricing entity, or the amount

worked out in a way fixed by the pricing entity, as the

net effect on prices of GST and matters related to the

imposition of GST (the net GST effect).

(7) In this section—

distribution non-network charges means charges of a

distribution entity, approved by the jurisdictional regulator

under the National Electricity (Queensland) Law, that—

(a) are referable to a specific customer or retail entity

request; and

(b) do not include network charges.

Examples of distribution non-network charges—

• a de-energisation or disconnection fee

• a reconnection fee

• a meter test fee

network charges means charges of a distribution entity for—

(a) distribution use of system charges for the use of a shared

supply network of the distribution entity; and

(b) any transmission use of system charges payable by the
distribution entity for the use of a transmission grid to
which the supply network is connected.
Note—
For the Minister deciding prices for a particular tariff for the financial
year starting on 1 July 2012, see chapter 14, part 12.

Here we go again #ShaleOil

Media Statements

JOINT STATEMENT

Minister for Environment and Heritage Protection
The Honourable Andrew Powell

Minister for Natural Resources and Mines
The Honourable Andrew Cripps

Wednesday, February 13, 2013

Newman Government approves oil shale industry

The creation of new jobs and broad economic benefits are expected, following the Newman Government announcement that it will allow the development of a commercial oil shale industry in Queensland under strict environmental conditions.

Natural Resources and Mines Minister, Andrew Cripps, said the Government’s new oil shale policy sets rigorous environmental controls on the industry and will allow existing oil shale operator QER Limited to progress its trial plant at Gladstone to commercial stage.

“Queensland currently has around 90 per cent of Australia’s known oil shale resources, which are equivalent to approximately 22 billion barrels of oil,” Mr Cripps said.

“As the world supply of conventional crude oil diminishes, there are strong prospects for oil shale to become the next major source of liquid fuel supplies in Australia, and Queensland is well placed to lead that charge.

“The industry has the potential to create thousands of new jobs in the construction phase alone, and provide royalties and other economic benefits for our regional communities and the broader economy, which is great news for Queensland.”

Minister Cripps said the new oil shale policy would:

• recognise the strategic importance of oil shale to contribute to energy security, and encourage private sector investment in high quality oil shale extracting technologies
• ensure project proponents must first demonstrate their oil shale technology will meet high environmental standards and community expectations
• allow, in general, the consideration and development of other oil shale deposits in Queensland, pending thorough environmental assessment on a project by project basis
• continue the existing 20-year moratorium suspending development of the McFarlane oil shale deposit near Proserpine until 2028

Minister for Environment and Heritage Protection, Andrew Powell, emphasised that strict environmental controls would apply to any proposal to mine and process oil shale.

“To date, there has been extremely limited commercial application of oil shale in Australia and overseas,” Mr Powell said.

“That’s why any proposed oil shale development will be subject to detailed environmental assessments on a project-by-project basis. 

“We will consider these proposals on their merits and require a trial stage to determine the feasibility and environmental performance of any unproven technologies.

“The approval process for any oil shale development will demand that operators adopt best practice environmental management techniques and comprehensive monitoring of the process, its emissions, wastes and impact on the community and environmental settings.

“Under the new policy, existing operator Queensland Energy Resources Ltd (QER) will be able to proceed directly to commercial production, but new entrants to the industry will need to prove their oil shale extraction technologies through trials.

“Importantly, both existing and new operators in the oil shale industry will need to prepare full Environmental Impact Statements for their projects.”

Mr Powell said the QER pilot plant near Gladstone has successfully demonstrated the viability of its processing technology.

“The report into the QER plant demonstrated it operated well within the environmental performance requirements of its Environmental Authority issued by my department,” he said.

[ENDS] 13 February 2013

Media contacts:

Minister Cripps: Jane Paterson             0417 281 754      

Minister Powell: Ken Vernon             0431 027 017      

Further Information:

Oil shale is a fine grained sedimentary rock containing organic matter called kerogen. It is a completely different industry and extraction process to shale gas or shale oil.

Hydrocarbons are derived from oil shale that has been mined and then heated in a processing plant.  This process produces vapours which are condensed and converted into synthetic crude oil, and then refined to produce ultra-low sulphur transport fuels.