Collie at crossroads: adapt or die

Written By Unknown on Minggu, 15 Juni 2014 | 22.17

Smog hangs over the coal mining town. Picture: Stewart Allen Source: News Corp Australia

END its dependency on coal or die.

That's the stark warning from business, civic and conservation chiefs who say Collie, the WA coal town 200km southeast of Perth with a population of about 7000 residents, is at a crossroads and faces "doom" if it doesn't adapt.

Three quarters of the Collie economy is tied to its two biggest industries: digging coal up in the town's coal mines and burning it in its power stations for much of WA's electricity.

But both are under threat from a storm cloud that threatens Collie's future, including:

MOUNTING pressure on the Barnett Government to shift from coal-fired power towards cleaner energy.

THE independent Australian Climate Commission warning 80 per cent of remaining fossil fuels must be kept in the ground to avoid the worst effects of climate change.

FEDERAL environment department pollution data showing lead, arsenic and fine particle emissions have never been worse in the town.

DOCTORS for the Environment spokesman George Crisp claiming residents are "almost certainly suffering ill health due to the coal industry".

A SERIES of job cuts by both the town's coal miners, Premier Coal and Griffin Coal.

THE Federal Government axing $450 million in funding for a carbon capture program that was pivotal to Collie coal's green credentials.

"Collie's in a holding pattern. Business is very slow and the real estate market has been diabolical," said resident Shane Golding, 57, who has two sons in the coal industry and was this week having a closing down sale at his video store of 12 years.

Businessman Peter Reuben, who owns Collie's two newsagencies, said Collie was "quiet – no doubt about it".

Bluewaters power station. Picture: Stewart Allen Source: News Corp Australia

The Collie basin holds an estimated 760 million tonnes of coal and the Department of Mines says it will last 100 years at current extraction rates.

Collie MP Mick Murray says the reserves are closer to 50 years' worth, while the Conservation Council WA says Collie has more like 20-25 years of coal – and the numbers will get even slimmer if Griffin Coal's Indian parent company Lanco-Infratech goes ahead with plans to boost coal exports to more than 15 million tonnes a year from Bunbury Port.

But everyone agrees changes are needed now to ­future-proof Collie.

"The resource won't last for ever, of course, but the town itself will survive," Mr Murray said, adding Collie would become more of a satellite city linked to the growth of Bunbury, 50km to the west.

Collie Chamber of Commerce chief executive Richard Jackson said the town was "not prepared, but preparing'' for life after coal, which would include more tourism and, perhaps paradoxically, more heavy industry.

"Tourism is growing and there is a growing demand for industrial land as Perth becomes urbanised," he said.

But Conservation Council WA director Piers Verstegen said there was a "massive ­vacuum " of economic strategies for life after coal. "They're polluting the town to the extent where health is being seriously affected to maintain jobs in an industry that's economically dying. Collie urgently needs a transition plan," he said.

WA Greens Senator Scott Ludlam said Collie could thrive by using its infrastructure and workforce to become a renewable energy generation hub.

Collie shire president Wayne Sanford agreed, saying: "Collie's real asset is not the coal in the ground, but the billions of dollars worth of power stations and transmission lines."

But Mr Sanford said there was "no need to panic" because, while coal stocks were finite, "it's not going to run out tomorrow. We're having discussions about what comes next".

And while renewable energy and gas is on the rise, Energy Minister Mike Nahan said coal still had a future because coal-fired energy remained the cheapest option for securing WA's power supply.

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