The Victorian Government is giving Latrobe Valley communities greater confidence in mine safety and rehabilitation by announcing new security bonds for the three local mine operators.
The new bonds address recommendations from the reopened 2015/16 Hazelwood Mine Fire Inquiry.
The Board of Inquiry found that current rehabilitation bonds for each coal mine were insufficient to cover the costs of rehabilitation.
The Victorian Government has set new bonds to shield taxpayers from the cost burden of rehabilitation and give local communities certainty about the future of these mines.
The Latrobe Valley’s three mine operators have been advised of the following bonds:
- ENGIE Hazelwood – $289 million
- AGL Loy Yang – $154 million
- EnergyAustralia Yallourn – $148 million
The bonds allow the Government to draw on the money should any of the mine operators not fulfil their rehabilitation obligations.
This follows extensive consultation with the three operators and the Latrobe City Council.
The bonds have been calculated in line with a new coal mine rehabilitation bond policy, which includes an independent assessment of rehabilitation liabilities. The policy also encourages mine operators to improve rehabilitation planning.
The Victorian Government has recently appointed a new Latrobe Valley Mine Rehabilitation Commissioner and established the Latrobe Valley Mine Rehabilitation Advisory Committee.
The Latrobe Valley Regional Rehabilitation Strategy is also in development.
Source: Vic Government