Challenges for
Rehabilitation
Introduction
It was under State ownership that generation of electricity from brown coal mining commenced more than 100 years ago. Whilst each of the current power stations has reached, or is nearing, the end of its economic life, approximately 2% of the known brown coal resource and 20% of the economic resource, of the Latrobe Valley, have been utilised to date. Brown coal mining is not ceasing due to unavailability of brown coal, but due to climate change concerns enforced by Government policy. This implies a moral obligation, on behalf of State and Federal Governments, to assist in offsetting the impacts of State sponsored industry closure.
With closure of the remaining brown coal generators and mines over the next decade the Latrobe Valley faces some difficult times.
No mine is completely isolated from the other mines. They are connected by all wanting the same limited water supply and surface and sub-surface interconnections making their rehabilitation and subsequent repurposing big inter-connected matters (problems and opportunities). Making this more difficult is that it has never been done before on this scale, in these circumstances and involving so many parties with potentially conflicting interests. However, the following lists some specific concerns that GLP hold.
Processes: Cumulative Impacts
The State of Victoria has determined that the tasks required of Mine Land Owners to satisfy rehabilitation liabilities are to leave the site “safe, stable and sustainable”. As Hazelwood is the first of the Power Stations to close it is required to undertake an Environmental Effects Statement (EES) to argue the case for their plans to achieve “safe, stable and sustainable” An EES is about what the mine land owner (in this case) plans to do after considering all alternatives, without the assessment of cumulative impacts from others’ activities. It is unreasonable to expect one mine land owner to assess the cumulative impacts from the activities of all mine land owners and others. GLP believes that examples of matters that require cumulative impact assessment include:
• Surface and sub-surface water availability – all are competing for a limited resource.
• Social impact – the cumulative impact of all power stations and mines closing.
• Economic impact – the cumulative impact of all power stations and mines closing.
Whilst none of the individual mine land owners are responsible for the assessment of these cumulative impacts, it is GLP’s view that the likely cumulative impacts should be understood before any decision is made on approvals for any one mine land owner.
Processes: Relationship between Rehabilitation and Repurposing
The three mines in the Latrobe Valley are the only Declared Mines in the State of Victoria under the Mineral Resources (Sustainable Development) Act 1990 (Vic). The rules under which they operate and are subject to for rehabilitation require that none of the land area, within the Mining Licence Area, can be utilised for any other purpose until relinquishment occurs. Relinquishment occurs after rehabilitation has been completed, a maintenance period served and a long-term maintenance bond is posted.
Scale
The area, depth and volume of each mine is unprecedented in Victoria. Due to this scale, costs, logistics, environmental issues and social aspects are proportionally massive. The table below shows the projected volume of each mine full pit lake compared to Melbourne annual water usage and Thomson Dam capacity.
| Mine | Mine Closure Year | Time to Fill Full Pit Lake (yr) | Full Pit Lake (GL) | Other Information Sources |
|---|---|---|---|---|
| Engie Hazelwood | 2017 | 10 - 15 | 637 | (Engie Hazelwood, 2023, p. 4) |
| EnergyAustralia Yallourn | 2028 | 17 -22 | 630 | If Yallourn has same fill rate as used when closure was assumed to be 2032. |
| AGL Loy Yang | 2035 | 22 | 970 | (AGL Energy Limited, 2024) |
| AGL Loy Yang | 2047 | 32 | 1 418 | If Loy Yang B continues operation with same fill rate as 2035 mine closure. |
| Total | 2 237 - 2 685 | Based on Loy Yang closure date | ||
| Melbourne's annual water usage 2023 - 2024 | 471 | (Melbourne Water, 2024, p. 5) | ||
| Thomson Reservoir capacity | 1 068 | (Melbourne Water, 2025) | ||