The NSW Government is beginning formal consultations with the coal industry to navigate a future beyond the state\u2019s temporary coal cap, which is set to expire on 1 July 2024.<\/p>\n\n\n\n
In the lead up to the 2023\u20132024 State Budget, the government is writing to relevant parties inviting feedback on the future of the cap.<\/p>\n\n\n\n
The government is considering all options at the conclusion of the cap, including modernising the coal royalty system to ensure it remains fit for purpose.<\/p>\n\n\n\n
In particular, the government is inviting input to help it:<\/p>\n\n\n\n
The emergency directions introduced in December 2022 capped the price of coal sold to domestic power stations at $125 a tonne for 18 months.<\/p>\n\n\n\n
It was implemented following Russia\u2019s invasion of Ukraine when the price of coal surged beyond $500 a tonne.<\/p>\n\n\n\n
The NSW Government is inviting key stakeholders, including in the NSW coal sector, to participate in the consultations. These stakeholders include 16 coal mining companies, 4 power station operators, 2 unions and our key trading partners.<\/p>\n\n\n\n
The consultation will include face-to-face meetings as well as written submissions. The information received will be used to help inform the government\u2019s priorities in the second half of the year.<\/p>\n\n\n\n
The current system will remain unchanged until the expiration of the coal cap.<\/p>\n\n\n\n
NSW Treasurer Daniel Mookhey said:<\/strong><\/p>\n\n\n\n \u201cWe have begun the critical work of engaging all stakeholders to navigate a future beyond the temporary coal cap.<\/p>\n\n\n\n \u201cIn the lead up to the budget, we are focused on helping families with the cost of living, funding essential services and repairing the budget position.<\/p>\n\n\n\n \u201cThe NSW Government will consider all options to keep downward pressure on electricity bills as we approach the end of the coal price cap on 1 July 2024.\u201d<\/p>\n\n\n\n Minister for Finance and Minister for Natural Resources Courtney Houssos said:<\/strong><\/p>\n\n\n\n “We will be engaging closely with the mining industry as we consider how to best provide relief to families and households from increasing electricity prices.<\/p>\n\n\n\n “We are committed to a clean energy future, but we understand the important role coal plays today in our energy mix and for our state’s economy.<\/p>\n\n\n\n “We will form a considered view on these issues and are committed to ensuring the ongoing stability of the NSW mining sector.”<\/p>\n\n\n\n Minister for Energy Penny Sharpe said:<\/strong><\/p>\n\n\n\n \u201cThe NSW Government understands we need longer-term solutions to support households and small businesses with cost-of-living pressures \u2013 particularly electricity prices.<\/p>\n\n\n\n \u201cThe coal cap has shielded NSW households and small businesses from the worst flow-on effects of last year\u2019s coal price surge. We are now working to identify the most efficient, equitable way to maintain downward pressure on electricity prices.<\/p>\n\n\n\n \u201cThe NSW Government will seek feedback from all stakeholders \u2013 coal suppliers, power stations and key trading partners \u2013 as we navigate a future beyond the cap.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":" The NSW Government is beginning formal consultations with the coal industry to navigate a future beyond the state\u2019s temporary coal cap, which is set to expire on 1 July 2024. In the lead up to the 2023\u20132024 State Budget, the government is writing to relevant parties inviting feedback on the future of the cap. The … Continue reading “Consultation begins on future of coal cap”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-22005","post","type-post","status-publish","format-standard","hentry","category-nswnews"],"_links":{"self":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts\/22005","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/comments?post=22005"}],"version-history":[{"count":1,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts\/22005\/revisions"}],"predecessor-version":[{"id":22006,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/posts\/22005\/revisions\/22006"}],"wp:attachment":[{"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/media?parent=22005"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/categories?post=22005"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.16news.com.au\/index.php\/wp-json\/wp\/v2\/tags?post=22005"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}