Environment centre to refer NT government to ICAC over mining law changes
The NT Environment Centre, led by Kirsty Howey, will refer the government to the ICAC. (ABC News: Jane Bardon)
The Northern Territory government is going to be referred to the jurisdiction's anti-corruption watchdog over claims of conflicts of interest relating to the regulation of a mine and new laws affecting it.
Key points:
- Relationships between the NT government and mining multinational Glencore are being questioned
- Traditional owners have dropped a legal challenge relating to McArthur River Mine security bond changes
- They say recent amendments to NT mining laws made their case untenable
The NT Environment Centre (ECNT) will refer the matter to the Independent Commissioner Against Corruption (ICAC) following an unsuccessful legal attempt by traditional owners to reverse a 2020 government decision allowing Glencore's McArthur River Mine to double in size.
Traditional owners lost their original court case in April this year.
They appealed in the NT Supreme Court but received advice from their barrister their legal argument is now untenable and they should drop the case.
The traditional owners have been told they can't win the appeal because of changes the NT government made to its mining laws in November.
The government has rejected any suggestion a conflict of interest has occurred.
In the court action the traditional owners also challenged the reduction of the mine's environmental security bond from $520 million to $400 million in 2020.
An ICAC referral will follow Natasha Fyles' resignation on Tuesday as NT chief minister over her shares in mining company South32.
Glencore plans to double the size of its McArthur River Mine. (ABC News: Jane Bardon)
'We're not lying down'
Indigenous clan leaders living near the Borroloola mine are worried about what will happen on the site in the future.
The NT and federal governments allowed the mine to plough through their rainbow serpent dreaming in the McArthur River.
"We not lying down, we keep coming back up when we see something damaged in our country," Garawa elder Jack Green, one of the people who took the case, said.
Jack Green says his country has been damaged by the mine. (ABC News: Jack Hislop)
The ECNT is now questioning whether the shape of the mining laws was influenced by personal relationships between government staff and staff from Glencore.
They are also asking whether the laws were intended to remove the basis for the court action.
"We believe that constitutes a perceived conflict of interest, because those reforms have the effect of removing accountability and requirements for mine closure planning and the calculation of security bonds, including for Glencore's McArthur River Mine," ECNT director Kirsty Howey said.
"We are going to refer this conduct and other matters relating to the way the security bond for McArthur River Mine was slashed by the mines minister to the NT's ICAC."
Glencore has put different coverings on top of the mine's waste rock dump to stop the flammable rock from burning. (ABC News: Jane Bardon)
Traditional owners are worried the McArthur mine's toxic waste rock dump is being allowed to expand before a plan to protect sacred dreaming sites has been approved by the NT's Aboriginal Area's Protection Authority.
They are also worried the company plans to leave the waste rock dump on the McArthur River bank after its planned closure in 15 years.
"What I want the mine to do is fix up the country because in the future, my kids, we need it for our future," mine site Gudanji traditional owner Josie Davey, who also took the case, said.
Josie Davey wants her country to be fixed. (ABC News: Jane Bardon)
Department, Glencore reject claims
The ABC asked Mining Minister Nicole Manison, Environment Minister Kate Worden and the Environment Department to respond to the claims raised.
Only the NT Environment Department responded.
Asked by the ABC whether any conflicts have occurred, the department said staff with personal relationships had "not been involved in advising on the Mining Bill".
"The Environment Department has processes to manage perceived and actual conflicts of interest and (staff) have complied with those processes," it said in a statement.
Traditional owners are worried that acid mine drainage from the McArthur River Mine could damage waterways long term. (ABC News: Michael Donnelly)
The department also rejected the ECNT's claim that the new laws reduce protections.
"The laws include a mandatory requirement for licence applications to include closure plans … and the information necessary to calculate mining security and for security bonds to be paid before a mining operator can commence mining activities," it said.
Glencore said it contributed to the new mining laws consultation only "via NT government's standard consultation process".
"McArthur River Mining fully complies with the NT government's processes and methodology for the calculation of security bonds," the company said in a statement.
"The Independent Monitor's most recent report again found that the McArthur River is in good health and its fish are safe to eat."