Retired judge condemns NSW plan to legislate for Hunter Valley coalmine after High Court defeat

Government says special law would protect 400 jobs; critics call it an override of the courts and 'state capture'

By LineZotpaper
Published
Read Time4 min
Sources2 outlets
A retired Supreme Court judge has labelled as “reprehensible” the NSW government's plan to pass special legislation allowing the Mount Pleasant coalmine in the Hunter Valley to keep producing at expanded rates, weeks after the High Court ruled the mine's expansion approval invalid. Premier Chris Minns says the law is needed to protect 400 jobs while the court process continues, but critics say the government is overriding the courts without evidence.

Former NSW Supreme Court judge Anthony Whealy, now on the board of the Centre for Public Integrity, said the government's approach “obliterates” the legal process and sets a dangerous precedent.

“The idea that a substantial mining venture can approach the government and say look, let's go behind the court processes and sort this out between ourselves is a very dangerous precedent, and that's exactly what appears to have happened here,” he said. “It is, on the face of it, reprehensible.”

The Mount Pleasant mine near Muswellbrook was given approval in 2022 to double its capacity from 10.5 to 21 million tonnes of coal a year until 2048. In July 2025, the NSW Court of Appeal ruled that approval invalid because planning authorities had failed to consider the effect of overseas or Scope 3 emissions caused by 406 million additional tonnes of coal exports over the life of the mine.

The High Court this month ruled against MACH Energy, which operates the mine, finding planning authorities had failed to consider imposing conditions to minimise all greenhouse gas emissions, including Scope 3 emissions. The approval was sent back to the Land and Environment Court for review.

MACH Energy did not wait for that review. In August 2025, weeks after the Court of Appeal ruling, it started earthworks for what it described as “the next phase of the Mount Pleasant expansion”, and by December 2025 the mine had produced 12.78 million tonnes of coal. The company had publicly forecast 2026 production of 16.5 million tonnes, a level that depended on the invalid approval.

The residents' group that won the Court of Appeal case, the Denman Aberdeen Muswellbrook Scone Healthy Environment Group, had complained to the planning department about the continued expansion. The department confirmed it was investigating, and on August 14, 2026 it said it was committed to “timely and appropriate compliance action”. On the same day it announced it would modify MACH Energy's original 1999 approval, which was not challenged in court, increasing the output limit from 10.5 to 12.5 million tonnes a year and extending the mine's life by six years.

Less than a fortnight after the High Court decision, Premier Chris Minns announced new laws to allow the mine to extract 16.5 million tonnes a year. He said the laws would “address the unique legal uncertainty arising from the High Court's judgement” and “protect 400 jobs” while the court process continued.

In parliament, Resources Minister Courtney Houssos said the government had checked employment data with both the company and the union. “Because they have legal advice that they had approval to operate at the higher rate, and as a result they took on additional workers,” she said. “We're not prepared to stand by in circumstances where we could see 400 workers lose their jobs before Christmas only to have the consent validated … in a matter of months.”

Mr Whealy dismissed the jobs argument. “There is no evidence whatsoever to show that 400 jobs are under threat here,” he said. “All this talk about 400 jobs being lost before Christmas is hyperbole, and not at the moment justified by any evidence that the government has produced.” He called for an independent review.

Greens MP Cate Faehrmann accused the government of “state capture”. “This is state capture, right here,” she said. Tony Lonergan, a co-founder of the residents' group, said the government was working “hand-in-glove” with “gung-ho” operators who believed “planning and the government is going to back them”.

MACH Energy welcomed the premier's announcement, saying it would “provide locals with much-needed reassurance that the Mount Pleasant project will continue to deliver critical benefits in the future”. The company said it had obtained legal advice confirming the 2022 consent remained valid during the High Court proceedings.

§

Analysis

Why This Matters

  • The NSW government is intervening in a live court dispute to set a single mine's production level by statute, which critics say bypasses the courts and the planning system.
  • The case tests how governments respond to court rulings that require coal projects to account for the climate impact of exported emissions.
  • The precedent could affect other resource projects and the wider debate over jobs versus emissions in mining regions.

Background

The Mount Pleasant mine near Muswellbrook was given approval in 2022 to double capacity from 10.5 to 21 million tonnes of coal a year until 2048. In July 2025 the NSW Court of Appeal found the approval invalid because planning authorities had not considered Scope 3 emissions from millions of tonnes of extra coal exports. The High Court this month reached a similar conclusion, throwing the company's plan to produce 16.5 million tonnes in 2026 into doubt.

While the legal challenge was underway, MACH Energy began earthworks and produced 12.78 million tonnes of coal by December 2025. The planning department, separately investigating alleged breaches of production limits, also modified the mine's original 1999 approval to allow 12.5 million tonnes a year and extended the mine's life by six years. The government then announced standalone legislation to allow the higher production level while the court process continues.

Key Perspectives

NSW Premier and Resources Minister: Premier Chris Minns says the legislation addresses the “unique legal uncertainty” from the High Court judgment and protects 400 jobs before Christmas. Minister Courtney Houssos says the government checked employment data with the company and the union, and that the company took on workers on the basis of legal advice that its approval was valid.

MACH Energy: The company welcomed the announcement, saying it would reassure locals that the project would continue to deliver benefits. It says it had legal advice that the 2022 consent remained valid during the High Court proceedings.

Retired judge Anthony Whealy: He says the plan “obliterates” the legal process, is on its face reprehensible, and that there is no evidence 400 jobs are under threat before Christmas. He has called for an independent review.

Residents and Greens: DAMSHEG's Tony Lonergan says the government is working “hand-in-glove” with the mine's operators. Greens MP Cate Faehrmann describes the move as “state capture”.

What to Watch

  • Whether the standalone bill passes the NSW Parliament and how crossbench MPs respond.
  • The timing of the Land and Environment Court review of the 2022 approval.
  • The outcome of the planning department's investigation into alleged production breaches.
  • Whether the government publishes evidence supporting its claim that 400 jobs are at risk.

Sources

Checked

12 claims in this story checked against 1 source: 10 supported.

Show each claim
  1. SupportedA retired judge condemned the NSW plan to legislate for the mine after the High Court defeat.Just In: “A former Supreme Court Judge says a NSW government plan to draft special laws for a Hunter Valley coalmine "obliterates" the legal process and should be independently reviewed. The premier has announced the government will legislate to allow the Mount Pleasant mine to continue operating at expanded production rates, despite a High Court ruling against it this month.”
  2. SupportedWhealy called the approach “reprehensible”.Just In: “"It is, on the face of it, reprehensible".”
  3. SupportedWhealy said the government’s approach “obliterates” the legal process.Just In: “A former Supreme Court Judge says a NSW government plan to draft special laws for a Hunter Valley coalmine "obliterates" the legal process”
  4. SupportedThe government says the law would protect 400 jobs while the court process continues.Just In: “In his statement, the premier said the laws would "address the unique legal uncertainty arising from the High Court's judgement", and "protect 400 jobs" while the court process continued.”
  5. Partly supportedCritics say the government is overriding the courts without evidence.Just In: “Mr Whealy said there were no clear exceptional circumstances justifying the move, and that there was "no evidence whatsoever to show that 400 jobs are under threat here".”
  6. Partly supportedFormer NSW Supreme Court judge Anthony Whealy is on the board of the Centre for Public Integrity.Just In: “said Anthony Whealy, who is now on the board of the Centre for Public Integrity.”
  7. SupportedThe High Court found planning authorities had failed to consider conditions to minimise all greenhouse gas emissions, including Scope 3 emissions.Just In: “the High Court found planning authorities had failed to do what was required of them in that case, which was to "consider imposing conditions to minimise to the greatest extent practicable all greenhouse gas emissions, including Scope 3 emissions".”
  8. SupportedThe 2022 approval allowed the mine to double capacity from 10.5 to 21 million tonnes a year until 2048.Just In: “In 2022, the mine was given approval to double its capacity, from 10.5 to 21 million tonnes of coal per year, until 2048.”
  9. SupportedThe Court of Appeal ruled in July 2025 that the approval was invalid after authorities failed to consider emissions linked to 406 million additional tonnes of coal exports.Just In: “a NSW Court of Appeal ruling in July 2025 that planning authorities had failed to consider the effect of overseas or Scope 3 emissions caused by the 406 million additional tonnes of coal exports over the life of the mine.”
  10. SupportedThe department modified the original 1999 approval on August 14, raising the output limit to 12.5 million tonnes a year and extending the mine’s life by six years.Just In: “On the same day, the department announced it would "modify" MACH Energy's first planning approval from 1999, which was not being challenged in court, to increase its 10.5 million tonne coal output to 12.5 million tonnes per year. It also extended the mine's life for another six years”
  11. SupportedHoussos said the company took on additional workers because it had legal advice that it was approved to operate at the higher rate.Just In: “"Because they have legal advice that they had approval to operate at the higher rate, and as a result they took on additional workers," Ms Houssos said.”
  12. SupportedFaehrmann said, “This is state capture, right here.”Just In: “"This is state capture, right here."”

Zotpaper

Written by Harper Lane on the Australia & local desk. Claims checked by Ines Fairley, verification. Read for legal risk by Marcus Hale, legal. Edited by Angus Burke, chief sub.

1 source10 of 12 claims matched to a sourcefirst published
Meet the newsroomHow we workSubscribe