A CURIOUS case has the coal-wary Southern Highlands community questioning who’s behind a bid to buy a raft of water licences around Berrima and Sutton Forest.
Landholders report that several Elders agents from outside the region have recently been calling around Nepean water district licence holders making offers for groundwater holdings. They believe Hume Coal, owned by Korean power and steel giant POSCO, is behind the bids. It needs licences to account for de-watering of aquifers that occurs during coal extraction.
Hume Coal, which plans to underground mine up to three million tonnes of coal in the area, would not confirm nor deny its involvement, and neither would Elders. But it’s the only candidate for Peter Martin, a landholder at Sutton Forest who has fought the project through the courts over access to his property and formed the Southern Highlands Coal Action Group.
“It’s very unusual for people to buy water licences in this area, and the obvious candidate is Hume Coal. Licences are very closely held in the Nepean district and the water is fully allocated to landholders,” Mr Martin said.
Further allocation is embargoed in the Nepean district, which falls within the Sydney water catchment.
It’s very unusual for people to buy water licences in this area, and the obvious candidate is Hume Coal
- Peter Martin
Multiple landholders report they were approached by water brokers, but did not want to identify themselves during ongoing land access disputes. They said various proponents were reported to have been behind the bids – including investors and agricultural developers.
The Nepean district covers 16.3 gigalitres of annual groundwater allocation. Mr Martin said his group had calculated Hume Coal holds licences for 1.2GL, based on the company’s property acquisitions. Hume Coal issued a limited response to questions about Nepean licences. A spokesman said the company “has acquired sufficient water licences to meet its needs”.
In a draft project report to the Commonwealth government, Hume said it would require up to 3GL during the run of the mine – potentially leaving a 1.8GL shortfall. The company reports it will lodge its major development document, the environmental impact statement, in time for public submission in early 2017.
Elders confirmed it trades for clients in the Nepean district, but said it “treats both seller and buyer information as confidential and therefore cannot comment on specific licenses or clients”.
Mr Martin’s group commissioned a groundwater study for the proposed mine, which found it would require between 5GL to 20GL. The University of NSW’s Water Lab assessed the study and found its figures were within a conservative range. Hume Coal has disputed the the study’s findings.
Clarification: Mr Martin was leader of the Southern Highlands Coal Action Group, which has now disbanded. He is currently president of the Coal Free Southern Highlands community group.
