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A billionaire Indian businessman has reportedly met with Australia's prime Minister Malcolm Turnbull, seeking new laws that prohibit court actions against controversial environmental approvals for major projects.
Gautum Adani put the proposal before the Australian government during an hour-long meeting with Prime Minister Malcolm Turnbull in early November, Fairfax Media reported on Wednesday.
The move is in response to continued court action by environmental groups against the proposed 15 billion Australian dollar (10.84 billion U.S. dollar) Carmichael coal project in Queensland, which includes port and rail infrastructure.
"Now it is enough. They cannot continue to challenge the project. They cannot go for judicial review all the time. In OECD countries, you are not given approvals with closed eyes," Adani is quoted by Fairfax Media as saying.
Adani is aiming to ship 40 million tonnes of coal per year to power stations in India during the project's first phase, which he describes as an important project between Australia and India providing electricity to a minimum 100 million people over the next 100 years.
This is despite prices for thermal coal, used in power stations, are continuing its four year slump to reach new 10-year lows of 54 U.S. dollars per tonne last week down from almost 100 U.S. dollars per tonne in 2013 as market oversupply continues.
Adani's major Australian competitor, Swiss-based Glencore, is downsizing or shuttering operations in response, using in-pit inventories and current stockpiles for production, effectively closing Queensland's oldest coal mine.
The billionaire said despite the coal and commodities downturn, "we have to revive to the next cycle".
However, the project has been delayed by ongoing protests and court cases by green groups since work began five years ago, restricting the company's ability to raise funds to begin construction.
The Commonwealth Bank of Australia, Australia's largest bank, ceased their role as financial advisor to the project while several other banks have ruled out lending to the project.
The Queensland government has also called the project "un-bankable" despite their federal counterparts parade the project as critical to Australia's economy.
Australia's environment minister Greg Hunt reissued an environmental approval for the project in mid October after clearing concerns raised in an earlier legal challenge over two rare outback species. However, further "lawfare" cases have been lodged over the projected impact on the mine on the Great Barrier Reef.
"The challenge we are facing in Australia right now is on the one side the government is giving all approvals and on the other side, environment activists groups are seeking judicial review and that derails the whole project," Adani said in an interview in Thiruvananthapuram in early December.
"Ultimately, a decision lies with the politicians. They have to go Parliament for enacting a special law which says that once the government gives approval, no one can challenge it. That is what our request is to the Australian government. You come up with a special legislation which they have done in the past also."
Australia's government is currently seeking amendments to environmental legislation that would restrict the ability of green groups to conduct "lawfare" and object to major developments. Those laws are currently before the senate and won't be debated until parliament resumes next year.
"The government has sought to ensure that American style serial litigation is not adopted in Australia, and that once the stringent environmental requirements are met, projects should not be subject to continuing stalling litigation," a spokeswoman for Environment Minister Greg Hunt said. Enditem
