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Australian High Court Invalidates Coal Mine Expansion Over Emissions

Australia's High Court has ruled that the approval for MACH Energy's Mount Pleasant coal mine expansion in New South Wales was invalid, citing a failure to consider conditions for minimising greenhouse gas emissions.

  • The High Court ruled 3-2 that the Independent Planning Commission of NSW failed to consider imposing conditions to minimise 'scope 3' emissions.
  • The case was an appeal by MACH Energy, marking the first time Australia’s highest court considered climate change.
  • The proposed expansion would have doubled the mine's coal output to 21 million tonnes annually, with 98% of projected emissions being 'scope 3' emissions.

Australia's High Court has invalidated the approval for MACH Energy's Mount Pleasant coal mine expansion in Muswellbrook, New South Wales. In a 3-2 ruling on Wednesday, the court found that the Independent Planning Commission of NSW did not adequately consider imposing conditions to minimise 'scope 3' greenhouse gas emissions, which are generated when coal is burned after being sold and exported overseas.

The decision concludes a four-year legal challenge by retired schoolteachers Wendy Wales and Tony Lonergan, alongside the Denman Aberdeen Muswellbrook Scone Healthy Environment Group (Dams Heg). The couple, who live on a farm adjacent to the mine, had questioned whether the state government was responsible for emissions from exported coal.

This case, an appeal by MACH Energy against an earlier NSW court of appeal decision, was the first time Australia's highest court had been asked to consider climate change. The High Court's judgment confirmed the approval was invalid, though on a different basis than the court of appeal, ruling that the planning commission did not consider whether scope 3 emissions could be mitigated.

The proposed project would have doubled the mine's coal output to 21 million tonnes a year until 2048, with 98% of the projected emissions classified as scope 3 emissions. Elaine Johnson, director of Johnson Legal, which represented Dams Heg, stated that the decision confirms Australian governments need to take responsibility for emissions from coal exports.

Why this matters: This landmark decision is significant for Australian environmental law, confirming that planning authorities must consider how to limit emissions from exported coal when approving coal mine expansions. Given Australia's position as the world's second-largest coal exporter, this judgment could influence courts and communities globally regarding responsibilities to reduce emissions from exports.

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