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NSW updates renewable energy guidelines to safeguard mineral exploration access

12th November 2024

By: Creamer Media Reporter

     

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The New South Wales (NSW) Department of Planning has updated its renewable energy planning framework, ensuring that large-scale renewable-energy projects do not restrict mineral exploration activities. This move is being hailed as a significant step in balancing the growth of renewable energy with the continued need for access to critical mineral resources.

The new guidelines, announced on Tuesday, state that agreements related to large-scale renewable-energy infrastructure cannot restrict access to, or use of, land for mineral exploration purposes. Under the NSW Mining Act 1992, exploration companies hold exclusive rights to explore for specific minerals within an exploration licence or assessment lease. The guidelines now clarify that renewable-energy agreements that prevent other developments, such as mining exploration, must clearly state that these arrangements do not interfere with exploration rights.

“The growing impact of renewable-energy projects on exploration activities is a mounting concern for mineral explorers, with far-reaching implications," said Association of Mining and Exploration Companies (Amec) CEO Warren Pearce.

"This is a significant issue for Amec members across the country, and it’s encouraging to see New South Wales taking the lead in addressing it."

Mineral explorers have reported that some recent renewable-energy projects were entering into "exclusive agreements" with landowners that unlawfully restricted exploration activities. "This is not lawful and has now been specifically mentioned in the guidelines,” Pearce added.

Kerry Atkins, Amec’s NSW director, highlighted the importance of access to land for mineral exploration in the context of the renewable-energy transition. "What people are beginning to understand is that paradoxically without exploration and access to land, we will be unable to get the materials required for renewable-energy infrastructure - there is no alternative source of these materials and land access is critical," said Atkins.

The revised guidelines also state that agreements related to renewable-energy infrastructure, including major transmission lines, cannot restrict land access for mineral exploration or other resource development activities. This is seen as a win for landholders, who are often faced with difficult decisions when balancing competing land use interests, such as renewable-energy projects and mineral exploration.

“It is crucial for the government to consider all resources, whether they are mineral, wind, or solar. Sterilising mineral resources for renewable infrastructure that could be placed elsewhere or installed after mineral extraction is an absolute waste,” Pearce noted.

Amec has long advocated for reform in this area and has been active in pushing for stronger protections for mineral exploration rights. The updated guidelines are seen as a positive first step, but Amec said it would continue to monitor their implementation to ensure compliance.

The guidelines also address the issue of decommissioning activities, highlighting the importance of considering the full lifecycle of projects from the outset. Just as mining projects must undergo rehabilitation as part of their approvals process, there is now a call for greater transparency and accountability across all resource projects, including wind and solar, to ensure responsible land use and resource management.

“The refined guidelines are a positive development for landholders, who often find themselves in a difficult position when making decisions about their properties and future amidst the rise of renewable-energy projects,” Pearce concluded.

Edited by Creamer Media Reporter

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