5 June 2017, Renew Economy, “Reputation” clause may scupper government loan deal for Adani. The federal government’s ability to hand Adani Energy a $1 billion loan to help finance the rail link for the Carmichael coal project in the Galilee basin has been dealt a decisive blow by the emergence of a “reputation” clause that must guide the board of Northern Australia Infrastructure Facility (NAIF). The Board of NAIF is expected to make a decision on whether to grant the funding in the next few days, but legal experts, financiers and environmental advocates argue that the existence of the reputation clause written in to the investment mandate by then resources minister Josh Frydenberg make it impossible for approval to be given. Leading environmentalists and climate change advocates such as Tim Flannery and John Hewson says the wording of the “reputation” clause should forbid the directors from supporting the loan, particularly in light of the international climate deal, the impacts on the Greater Barrier Reef, and on water quality. They say that Section 16 of the Investment Mandate of the NAIF, a $5 billion fund created by the Coalition government that is yet to make a single investment, is quite clear and specific: Read More here
Category Archives: Australian Response
29 May 2017, Independent, Great Barrier Reef can no longer be saved, Australian experts concede. The Great Barrier Reef – a canary in the coal mine for global warming – can no longer be saved in its present form partly because of the “extraordinary rapidity” of climate change, experts have conceded. Instead, action should be taken to maintain the World Heritage Site‘s ‘ecological function’ as its ecological health declines, they reportedly recommended. Like coral across the world, the reef has been severely damaged by the warming of the oceans with up to 95 per cent of areas surveyed in 2016 found to have been bleached. Bleaching is not always fatal but a study last year found the “largest die-off of corals ever recorded” with about 67 per cent of shallow water coral found dead in a survey of a 700km stretch. Now experts on a committee set up by the Australian government to improve the health of the reef have revealed that they believe the lesser target of maintaining its “ecological function” is more realistic. In a recent communique, the expert panel said they were “united in their concern about the seriousness of the impacts facing the Reef and concluded that coral bleaching since early 2016 has changed the Reef fundamentally”. “There is great concern about the future of the Reef, and the communities and businesses that depend on it, but hope still remains for maintaining ecological function over the coming decades,” it said. “Members agreed that, in our lifetime and on our watch, substantial areas of the Great Barrier Reef and the surrounding ecosystems are experiencing major long-term damage which may be irreversible unless action is taken now. Read More here
29 May 2017, Renew Economy, The myth that Adani coal is boom or bust for Queensland economy. There are a whole bunch of reasons why the Adani coal mine does not make sense: for the environment, the climate and on basic economics. The latest results from Adani Power, revealing over the weekend a $US954 million loss ($A1.3 billion) for the last financial year, its fifth loss in a row, and a growing preference for domestic over imported coal, not to mention the endless delays and requests for government support, underline the fact that the project makes no financial sense. And we know that on environmental and climate grounds, it makes no sense either. Rescuers minister Matt Canavan counts Adani’s benefits on the basis that the mine will last 60 years. That timeframe assumes that the world will not act on climate change. Another myth that refuses to go away, and seems to be prosecuted by everyone from the Coalition, to the state Labor government and to the local councils, is that the Queensland economy depends on Adani and its Carmichael mine for jobs and investment, and that the region’s economy would be devastated if the mine didn’t go ahead. It is simply not true. For a start, the inflated figures being pedalled by those state and federal politicians – the claim of 10,000 jobs – have been debunked by Adani itself, and its more modest investment plans now suggest maybe one-tenth of that, at best. And perhaps those politicians should have a look around and see what else is happening in the region. It is really quite stunning: some 4,200MW of large-scale wind and solar projects, all of them in central to northern Queensland, and billions of dollars worth of other projects in the pipeline, including biofuels and even a battery gigafactory in Townsville. Read More here
28 May 2017, The Guardian, Australia will still support Paris climate deal if Trump pulls out, Frydenberg says. The Turnbull government will support the Paris agreement on climate change regardless of whether or not the US president, Donald Trump, pulls out, the environment minister, Josh Frydenberg, has signalled. Trump upset world leaders on the weekend by refusing, at the conclusion of the G7 summit in Italy, to declare his support for the UN’s landmark treaty signed in Paris in 2015. Despite two days of urging from leaders from Europe, Canada and Japan to pledge his support for the agreement, Trump tweeted on Saturday: “I will make my final decision on the Paris accord next week!” His position left his counterparts frustrated, with some warning if the US pulled out of the Paris agreement other countries may want to reduce their commitments too. But when asked about Australia’s commitment in the wake of Trump’s tweet, Frydenberg told Guardian Australia the Turnbull government takes its emissions targets seriously “and we’re going on and trying to meet them”. “Issues about domestic climate change policy in the United States is a matter for the Trump administration,” Frydenberg said. He also pointed to a quote from Malcolm Turnbull from November last year, when Turnbull was asked if Australia would remain in the Paris agreement if then president-elect Trump followed through on his threat to cancel the emissions reductions commitments made by Barack Obama in December 2015. Turnbull had said: “When Australia makes a commitment to a global agreement, we follow through and that is exactly what we are doing.” Turnbull also described the Paris agreement as “a watershed and a turning point” that would deliver international action on climate change. “My government is committed to [the Paris agreement]. We have ratified it,” he had said. Read More here