THE state government has imposed new conditions on the proposed Shenhua coal mine, planned for the rich Liverpool plains farmland in the state's north-west, including controls to prevent the groundwater resource from being damaged, in a bid to counter concerns over the proposal.
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But environmental groups said the government has got the cart before the horse by allowing work to continue on the project before its new land-use policy has been finalised.
As much as $14 billion worth of coal projects are planned over the next decade, causing concern about their impact on farming land and the environment.
The government has approved the exploration licence for Shenhua's proposed Watermark mine and for BHP's nearby Caroona mine, the first approved by the state government since it launched an audit of exploration licences. Licences for a further 12 projects are pending.
The Watermark and Caroona projects have attracted attention for the risk they pose to some of the richest agricultural land in the state.
Shenhua paid the previous state government $300 million for its licence, while promising to pay a further $200 million once the licence is converted into a mining lease.
The Resources and Energy Minister, Chris Hartcher, ruled out similar payments being made in the future. ''When you pay $300 million, there is an implicit guarantee you'll get your lease,'' he said.
New conditions imposed on Shenhua ensure farmland bought for the project continues to be used for farming, 3D groundwater modelling of the project is subject to independent review by independent groundwater expert Dr Noel Merrick, and a minimum 150-metre barrier of natural material is maintained between the proposed mine and the Gunnedah/Namoi groundwater system in any mine plan submitted by the company.
At Caroona, BHP has been banned from longwall mining underneath the alluvial irrigation aquifers with no underground longwall or open cut mining permitted either on, or underneath, the flood plain.
These conditions ''will be maintained to ensure our valuable agricultural and water resources have much greater protection than was available under the former Labor government'', Mr Hartcher said. ''We hope that this will be seen as addressing the legitimate concern many people have had about the proposals.''
Head of the Nature Conservation Council, Pepe Clarke, said yesterday: ''It's inappropriate to grant or renew exploration licences while these regional land use plans are being developed.''
While Jeff Angel of the Total Environment Centre said: ''The government is seeking to put land use policy back at the centre of its thinking. But there must be 'no-go' areas, so that either the application for renewal is not approved, or some areas are excised from applications. This is central to restoring the balance. We're still working with the government about how to achieve this.''
Mr Hartcher said granting exploration licences will not pre-empt any decision on mining leases. ''Any application for a mining lease will have to be made under the new strategic land-use study, which has yet to be completed,'' the Minister said.
