New South Wales Premier Chris Minns has announced special legislation to allow Indonesian-owned MACH Energy to maintain current production levels at its Mount Pleasant coal mine near Muswellbrook, after the High Court ruled the mine's expansion approval invalid on climate change grounds. The government says the move protects 400 jobs while the company resubmits its application, but critics argue it undermines the state's climate targets.
The Minns Labor government this week unveiled legislation that will allow MACH Energy to continue operating at existing levels, in exchange for guaranteeing jobs until 2032 and adding conditions on coal purchasers. The move follows a High Court decision earlier this month that upheld a NSW Court of Appeal ruling from July 2025, finding the 2022 approval by the NSW Independent Planning Commission invalid because it failed to properly consider climate change.
Premier Chris Minns said the government must balance economic and environmental concerns. "There are some people who say that the only thing to worry about is industry and jobs in all and every circumstance, and there are others who say you should only be worrying about the environment in any and all circumstances," Minns said. "The truth in our economy and our community is that we have to do both." He warned that if the transition cost was too high, "you'll see either One Nation elected or One Nation-style policies enacted."
The government points to its record on renewable energy, which now supplies more than one-third of NSW's electricity, and legislated emissions reduction targets of 50 percent by 2030 and 70 percent by 2035. However, the state's Net Zero Commission and the Environment Protection Authority have both said coal mining is a major reason NSW is likely to miss those targets by a wide margin.
According to Lock the Gate, an activist group opposed to fossil fuels, the Minns government has approved 14 coal mine expansions or extensions since taking office in March 2023, with 17 more applications pending. In March, the government released the NSW Coal Industry 2026-50 strategy, which rules out new greenfield coal mines, though no such proposals have been made in years due to structural decline in the industry.
This is the second intervention for the Mount Pleasant mine in two months. In August, the NSW Department of Planning approved extending the mine's life to 2032 after its operating consent expired. Minns said he agonised over the decision, but said the government had to act to prevent immediate job losses while the planning process runs its course.
Analysis
Why This Matters
- The legislation sets a precedent for government intervention to override court rulings on environmental grounds, potentially affecting other coal mine approvals in NSW.
- The decision directly impacts 400 workers and their families just weeks before Christmas, but also signals the state's commitment to coal despite legislated climate targets.
- With the next state election due in March 2027, the government's handling of coal and climate policy will be a key battleground.
Background
The Mount Pleasant mine, owned by Indonesian energy company MACH Energy, sought an expansion and extension to 2048. The NSW Independent Planning Commission approved it in 2022, but the NSW Court of Appeal overturned that decision in July 2025 on climate grounds, a ruling the High Court upheld this month. Without valid approval, the mine's operating consent expired, putting 400 jobs at risk. NSW's coal industry has been in structural decline for years, with no new greenfield mines proposed, but existing mines continue to seek extensions.
Key Perspectives
NSW Government: Premier Minns argues the state can pursue both economic stability and climate action, pointing to renewable energy growth and emissions targets. The government says the legislation is a temporary measure to avoid job losses while the company re-applies through proper planning channels.
Environmental Groups: Lock the Gate and other activists say the government has approved every coal expansion that has come before it, contradicting its climate goals. The Net Zero Commission and EPA have warned that coal mining emissions are the main reason NSW will likely miss its 2030 and 2035 targets.
Critics and Skeptics: Some observers question why the government did not act during the 15 months between the Court of Appeal ruling and the High Court decision, and whether special legislation for one company undermines the integrity of the planning system.
What to Watch
- The passage of the Future Jobs and Investment Bill 2025, which would require coal miners to create workforce transition plans as mines close.
- The outcome of MACH Energy's resubmitted application to NSW planning authorities.
- Whether other coal mine operators seek similar legislative interventions if their approvals face legal challenges.