The comprehensive review recognises a wide range of technologies and approaches are necessary to reduce emissions and galvanise efforts to remove barriers to investment.

It confirms that the transition requires ‘significant effort’ across all sectors and will involve trade-offs to ensure “the burdens and benefits are fairly shared between governments, sectors, businesses, regions and communities”.  

Chamber of Minerals and Energy of WA (CME) Chief Executive Officer Rebecca Tomkinson said improving availability of low emission electricity was a vital first step and key enabler for decarbonisation of the WA resources sector.

“Whether grid-connected or remote, decarbonisation of resources operations from mine sites to downstream processing facilities depend on access to electricity that is low emission, reliable and affordable,” Ms Tomkinson said.

“It was pleasing to note that the Review identifies the significant role the Federal Government has in coordinating delivery of Australia’s net zero ambitions with state and territory governments.

“Given the pace and scale of the task, our sector has been consistently calling for stronger coordination within and across governments to maximise efficient delivery of projects essential to the global transition”

The CME acknowledges the recent work of the WA Government to speed up environmental approvals. However, our members continue to advise that extended assessment timeframes at both state and federal levels are delaying decarbonisation and renewable energy projects and proving a barrier to securing international investment.

“We urge the state and federal governments to continue reforming the planning and approvals processes, to speed up the deployment of renewable generation and ensure a clear plan for building out transmission.

“Put simply, industry cannot implement new processes or equipment that use electricity instead of fossil fuels without confidence the electricity will be available, reliable and cost competitive.”

Ms Tomkinson welcomed the review’s support for carbon capture, usage and storage (CCUS), a key technology to address hard to abate emissions.

“While renewable energy has a major role to play, some industrial emissions cannot be abated by electrification,” Ms Tomkinson said.

“In those cases, CCUS may be needed to remove emissions until alternative low emission fuel sources or direct abatement technology becomes commercially available.”

CME notes the review recommends expanding the scope of the Safeguard Mechanism.

“Any changes must include robust consultation with industry to ensure Australia remains a competitive investment destination.

“The Climate Change Authority has provided a wide-ranging blueprint for Australia’s energy transition, and I look forward to engaging with government throughout the development of the net zero plan” Ms Tomkinson said.

“That includes speeding up planning and approvals to attract investment, standing up strategic industrial areas, drastically accelerating the rollout of renewable energy generation and improving the consistency of carbon pricing.”

<ENDS>

Media contact: Josh Zimmerman j.zimmerman@cmewa.com

0404 947 719

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The report contains 77 findings and 30 recommendations to the State Government, including that the WA Domestic Gas Policy as a whole is reviewed and updated, and that a new domestic gas security policy objective is developed.

CME Chief Executive Officer, Rebecca Tomkinson, said the report’s recommendations needed careful consideration by the State Government to ensure WA had the right balance of policy and regulatory settings to support decarbonisation efforts locally and globally.

“It’s clear from the report that WA faces a major challenge: increasing demand for gas but declining supply over the next decade,” Ms Tomkinson said.

“Based on current LNG producer commitments and delivery timeframes, the risk of domestic gas under-supply will be more of an energy security and availability issue than a compliance one.

“The challenge for the WA resources sector is in supporting the decarbonisation of our domestic energy-intensive industries, while also providing secure and affordable sources of energy to our trading partners.

Ms Tomkinson added that, throughout the Inquiry, CME had advocated for investment certainty on the 15 per cent reservation policy, as well as greater clarity and transparency around the application of the policy’s requirements on projects, including associated compliance measures.

“With gas demand expected to grow in the WA domestic market over the next decade it’s good to see the report advocate for maintaining the existing 15 per cent reservation amount for existing agreements for offshore projects,” she said.

“But the recommendation to set an ‘as necessary’ reservation amount for new projects is as concerning as it is ambiguous, and likely to introduce investment uncertainty.

“Any changes to policy settings must balance the needs of both gas consumers and producers for investment certainty and market efficiency.”

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Media contact: Natasha Mutch n.mutch@cmewa.com

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“Our legislation has to be forward-looking and not lag behind other jurisdictions – or worse, drag us backwards.”

The Chamber of Minerals and Energy of WA (CME) said the introduction of legislation that allowed multiple government departments to process project permit applications at the same time was common sense.

CME Chief Executive Officer, Rebecca Tomkinson, said delays caused by complicated assessment processes involving multiple government departments posed a significant deterrent to investment in projects in WA.

“Our sector relies on regulatory frameworks that maintain our strong environmental protections, but obviously these must be delivered in a timely and efficient manner,” Ms Tomkinson said.

“Any perceptions of inefficiency, delay or WA being hard to do business with automatically impacts our reputation with investors and our trading partners. Our legislation has to be forward-looking and not lag behind other jurisdictions – or worse, drag us backwards.

“Our commodities are superior quality but Australia is a relatively high-cost jurisdiction so we have to be easy to do business with, and we have to maintain our ESG standards. Those two factors set us apart from other countries vying for the same market share.

“CME contributed to the consultation on the government’s ‘parallel processing’ solution and its inclusion in the reforms is a good outcome, with the changes focused on delivering much-needed processing efficiencies. 

“These legislative changes are good but one part of the larger puzzle. Now we need government to focus on the other recommendations from the Vogel McFerran review, like ensuring that internal departmental processes are focused on lifting productivity.”

Ms Tomkinson said the introduction of clear, time-based metrics and transparent reporting were critical at all stages of the assessment process for all departments involved in project permit approvals. 

She said to capitalise on the efficiency improvement opportunity, granular understanding of the end-to-end assessment process was required and encouraged the government to invest in completing the puzzle.

“We look forward to reviewing the amendments in the coming days,” she said.

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Media contact: Natasha Mutch n.mutch@cmewa.com

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“Any amendments to the 46-year-old legislation that can simplify and clarify the requirements of the tenement application process is positive for all stakeholders”

The Chamber of Minerals and Energy of WA (CME) said today’s State Government commitment to commence drafting procedural amendments to the Mining Act 1978 would help alleviate uncertainty over mining tenure and associated issues.

CME Chief Executive, Rebecca Tomkinson, said the updates proposed by Mines and Petroleum Minister, Hon. David Michael, were a welcome acknowledgement of changes that needed to be made in light of the 2017 High Court decision on the Forrest and Forrest v Wilson case.

“Any amendments to the 46-year-old legislation that can simplify and clarify the requirements of the tenement application process is positive for all stakeholders,” Ms Tomkinson said.

“It also makes sense to review supporting guidelines to ensure they take into account contemporary technologies and the expectations of community, business and industry.

“CME has talked a lot about the importance of industry to be agile so it can respond to competitive global opportunities so procedural amendments such as this – that can speed up the legislative process and remove the opportunity for court challenges on administrative grounds – are good news for the resources sector.”

Ms Tomkison added that legal validation of mining tenure created certainty that resonated throughout the sector, from investment through to production and eventually manufacture.

“Understanding that clarity leads to certainty which leads to security, we look forward to providing our members’ input through the consultation phase.”

<ENDS> Media contact: Natasha Mutch n.mutch@cmewa.com

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“We understand that striking the right balance isn’t easy. That’s why we’ve been strongly advocating for transparent consultation processes, including the opportunity for experts within our member organisations to test key reform elements.”

The Chamber of Minerals and Energy of WA (CME) acknowledges the announcement by Federal Environment Minister, Tanya Plibersek, advising that the Federal Government will take a staged approach to the implementation of Nature Positive reforms.

CME Chief Executive Officer, Rebecca Tomkinson, said the organisation had consistently advocated for the government to approach the reform with a long-term view for a fit-for-purpose design that incorporated direct industry engagement and expertise.

“Minister Plibersek’s decision shows an understanding that these once-in-a-generation reforms must be enduring and deliver the ‘better for the environment and better for business’ objectives,” said Ms Tomkinson.

“We understand that striking the right balance isn’t easy. That’s why we’ve been strongly advocating for transparent consultation processes, including the opportunity for experts within our member organisations to test key reform elements.

“As I’ve said before, if the Federal Government gets it wrong, better environmental outcomes are at risk, and the ongoing economic contribution of the sector’s existing operations and $93 billion in future WA investment projects and associated jobs are threatened.”

Ms Tomkinson added that while the Minister’s announcement provided additional time to work through the detail of the complex reform, the timing for the establishment of the independent federal Environmental Protection Authority was still tight. 

“We continue to hold reservations about the proposed decision-making model and will continue to advocate for a model that balances ecologically sustainable development considerations and includes the Minister as the decision maker,” Ms Tomkinson said.

She said the WA Government had been actively working with its federal counterparts to ensure that the reform design aligns with WA’s environmental management processes and implementation framework. 

“Maintaining strong ESG regulatory frameworks is important and a focus of industry. Our ESG approach must be coupled with efficient administration and regulation,” she said. 

“We encourage the WA Government to maintain its advocacy for WA and to prioritise this work. We will continue to highlight opportunities for the reform design to dovetail with our state environmental assessment framework.

“CME looks forward to participating fully in this process.”

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Media contact: Natasha Mutch

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CME Chief Executive, Rebecca Tomkinson, said Professor Tonts’ tenure at the EPA had overseen a substantial reform agenda that aimed to merge high standards of regulatory governance with the agility to meet internationally competitive timeframes. 

“Professor Tonts has been instrumental in supporting the review of the EPA and working with CME to ensure the required efficiencies will continue to support WA’s responsible and sustainable development,” Ms Tomkinson said. 

“He has been a collaborative and enthusiastic professional to deal with and on behalf of the CME and its members, I congratulate Professor Tonts on his next appointment and wish him every success.” 

Ms Tomkinson said CME looked forward to working with the EPA Board under the incoming chair. 

<ENDS> 

Media contact: Natasha Mutch

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CME Chief Executive Officer, Rebecca Tomkinson, said the addition of nickel, bauxite-alumina, zinc, copper and molybdenum were key recommendations in CME’s submission to last year’s review of the Critical Minerals List.

“Adding nickel to the Critical Minerals List is something that CME has long advocated for and it’s encouraging to see a level of agility by the Australian Government in responding to current challenging market conditions,” Ms Tomkinson said.

“Access for nickel projects to bid for financial support under the Critical Minerals Facility is welcome news.

“However, we also need action from state and federal governments to deliver the settings required for a resilient and competitive critical minerals industry. 

“These are measure we have long been calling for such as turnkey industrial land, investment in productive infrastructure and competitive fiscal settings.”

Ms Tomkinson said the Australian Government now needed the follow-up action of progressing other key recommendations from CME and industry to remove a lack of efficiency, timeliness and certainty in regulatory approvals.

She added that moves that relieved pressure on capital or operating costs (such as capital grants or production tax credits) were much needed next steps to support an industry that provides high quality, ESG-compliant resources the world needs for the energy transition.

“We also need the Australian Government to work with our trading partners on the development of price and ESG transparency in critical and battery minerals markets.”

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CME Chief Executive Officer Rebecca Tomkinson said the WA Government’s $3.7 billion forecasted operating surplus was largely driven by royalties from the resources sector – underpinned by the strong performance of iron ore bringing in an additional $3.2 billion in royalties than budgeted – but warned the good times wouldn’t last if industry continued to be mired in regulatory inefficiency.

“WA’s economy is the healthiest of any state and territory in Australia and the resources sector is the blood in the veins that keeps the State Budget in such a robust condition,” Ms Tomkinson said.

“These latest figures soar above the May Budget projections, which is a great Christmas gift for the people of Western Australia. But let’s be clear: if the Government binds Santa and the elves in bureaucratic tape, the wrapping and bow will come off those financial statements very quickly.

“There are currently $12.6 billion worth of projects in progress in WA, and another $118.4 billion in early stage development looking to advance over the next couple of years. If projects in the pipeline stall for entirely preventable reasons such as regulatory inefficiency, then naturally there’s a knock-on impact.

“Ongoing investment in our police, health system, housing, transport and renewables is at risk unless the government works fast to put its initiatives into action. An effective regulatory approvals system and policy framework should be at the top of the WA Government’s to do list.

“As the Treasurer said, an outstanding budget like this one means the government can invest in what matters to Western Australians. With cost-of-living pressures and economic uncertainty weighing heavily, now is the time to maintain job security and the state’s economic strength.

“The energy transition is going to require more mining activity to deliver the critical minerals and technology required to achieve the world’s decarbonisation ambitions. This is a generational pivot point in how we approach our energy future.”

Ms Tomkinson said CME had previously welcomed the Government’s announcement of overhauls to environmental approvals, and funding announcements including $708 million for transmission upgrades in the South West Interconnected System and $160 million in lease incentives to attract proponents to strategic industrial areas. She said CME would continue to advocate to Government for the recommendations in its WA Pre-Budget Submission to be considered and implemented.

“The resources sector is a part of WA’s DNA and has long been part of our community as a significant contributor to our local economy and jobs,” she said.

“Chances are you or your neighbour, family member, friend or person standing behind you in the grocery line are directly or indirectly employed by the resources industry – and we all benefit from the broader economic contribution of the sector.”

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CME understands the WA Government will approve the company’s updated five-year Mining and Management Program under its State Agreement, subject to a range of control measures being deployed.

CME said the assurances provided by Alcoa – such as moving operations further away from drinking water sources, limiting vegetation clearing and doubling its environmental rehabilitation program – demonstrated its continued commitment to maintaining public confidence. 

Alcoa and its local workforce number in the thousands and have been a vital part of WA’s south-west region for 60 years, providing jobs and supporting the state economy and numerous local small businesses during that time.

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CME Chief Executive, Rebecca Tomkinson, said the Chamber had repeatedly called for more efficient regulatory measures and urgent action to remove the red tape that had been stifling the progress of resources approvals, production and new project investment.

“CME has been a vocal contributor to the WA Government’s Streamline WA initiative, the Vogel Review into the approvals system, and the red tape reduction review,” Ms Tomkinson said. 

“We also recently hosted an industry-led roundtable to advance the reform agenda with key decision makers, so today’s announcement is a welcome response to our advocacy efforts.

“The Environment Minister’s expanded directions mean the EPA’s backlog for projects of state significance can be triaged and urgent projects can be prioritised which, along with a more efficient approvals process overall, is a positive step.

“The creation of the Coordinator General position with a direct reporting line to Cabinet answers CME’s calls for a greater level of transparency and accountability.  

“We look forward to seeing how this role can ensure progress is made towards materially reducing approvals timeframes, including through the identification and removal of bottlenecks across agencies in the end-to-end approvals process.  

“We expect this role, alongside the additional $18 million investment to streamline approvals, will go a long way to improving the effectiveness of the Streamline WA initiative.” 

Ms Tomkinson said CME looked forward to working with the additional expertise on the EPA board and seeing the Vogel-McFerran review’s recommendations and improvements in action as soon as practicable.

“The energy transition is being driven by precisely the sorts of critical minerals that WA is able to extract, process and supply to the world, but the window of opportunity will not stay open indefinitely and regulatory processes needed to align with energy transition urgency,” she said.

“We have only six years left to 2030. The world won’t wait for us to complete our approvals processes as it races towards a lower carbon economy.

“In terms of supply chain security, production value and ESG reliability, there is no net zero without Western Australia, so it makes sense for governments to clear the path of red tape and let industry get on with providing the materials needed for the global energy transition.”

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