Australian court dismisses case against Adani's Carmichael coal mine project, terms it legal

SYDNEY, Australia - The Federal Court of Australia has dismissed environmental concerns surrounding Adani Enterprises' $16-billion Carmichael coal mine project and termed it legal.

"Consistent with earlier decisions of Queensland's Land Court and the Federal Court affirming the company's approvals, the Federal Court has determined that due process has been followed," Adani said in a statement.

On August 19, the Federal Court had also rejected another petition challenging the coal mine's legality due to environmental issues.

The Carmichael coal project was started in 2010 with plans to develop a coal mine and a rail link with Abbot Point port. The venture soon ran into opposition from environmentalists, including from activist group Australian Conservation Foundation (ACF).

The Foundation had challenged the lawfulness of former environment minister Greg Hunt's decision to issue an environmental approval for the project. ACF's had argued that Hunt failed to consider whether the impact of burning coal and pollution would be inconsistent with international obligations to protect the Great Barrier Reef.

"Our question was whether Australia's federal environmental laws protected our Great Barrier Reef from its most serious threat - climate change. We asked the court to scrutinise if the Environment Minister was required to consider the climate change impacts from the burning of coal from the Carmichael mine, and disappointingly the Federal Court answered no. The Court accepted that the Minister concluded that the combustion emissions from the proposed mine would have no relevant impact on the Great Barrier Reef," EDO Qld, a law firm representing Australian Conservation Foundation, said in a statement.

"While the outcome is disappointing, it is crucial that Australians have the opportunity to question, in an independent court of law, the lawfulness of government decisions surrounding a mine project whose damaging impacts will affect us all," it added.

An Adani spokesperson said the company welcomed the decision of the Federal Court, which again "reinforces the stringency of the strict, science and evidence-based federal environmental approval process" governing the planned mine at Carmichael.

"Adani stands ready to deliver on its long-term future with Queensland, pending the resolution of a small number of outstanding legal challenges. As the company has previously indicated, if those issues are finalised, construction can commence in 2017," the spokesperson said.

Queensland Resources Council Chief Executive Michael Roche said the decision was inevitable, and another step closer to getting the Carmichael coal mine out of courts.

"[The ACF argument] was equivalent to saying that Saudi Arabia needs to take responsibility for the emissions from Australian motorists using their oil. It was always a nonsense case," Roche said.