The Australian Competition and Consumer Commission has made a draft decision to authorise arrangements to re allocate specified amounts of coal port terminal capacity from Barney Point Coal Terminal at the Port of Gladstone in Central Queensland to either the RG Tanna Coal Terminal or a new terminal to be constructed at the Port.
In recent years, coal dust and noise pollution passing from Barney Point to Gladstone's residential areas has raised concerns in the Gladstone community. In 2007, Gladstone Ports Corporation Limited publicly undertook to cease export of coal from Barney Point and reduce the quantity of coal dust from the Port likely to affect residents of Gladstone.
The applicants reached an agreement with the Queensland State Government whereby a consortium of coal producers intend to construct a new coal export terminal at the Port.
The new terminal, Wiggins Island, would be operated by GPC and would export coal including that formerly exported from Barney Point while producing fewer coal dust emissions per million tonnes of coal processed at the terminal each year. Wiggins Island would also be located further away and predominantly down wind such that coal dust would be less likely to affect the city of Gladstone.
"The ACCC considers the proposed arrangements are likely to provide environmental benefits and may also avoid delays in infrastructure investment, new coal export capacity and job growth in Central Queensland," ACCC chairman Graeme Samuel said today.
"The ACCC notes that the arrangements apply to a relatively small quantity of tonnage capacity and Wiggins Island is expected to have much greater capacity than Barney Point currently has. The transfer of coal operations between Barney Point and Wiggins Island will not disrupt coal exports from the Port because Barney Point will not be closed until Wiggins Island is operational."
The ACCC now invites comments on the draft determination. The ACCC's draft determination and information about making a submission will be available from the ACCC website, www.accc.gov.au/AuthorisationsRegister and by following the links to this matter. Parties wishing to make submissions should do so by 8 April 2010.
Authorisation provides immunity from court action for conduct that might otherwise raise concerns under the competition provisions of the Trade Practices Act 1974. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment. The ACCC conducts a comprehensive public consultation process and issues a draft determination before making a decision to grant or deny authorisation.