BHP wants to repurpose hundreds of millions of dollars worth of infrastructure at the Mt Arthur Coal Mine rather than demolishing it when the mine closes.
BHP announced in 2022 that it would cease operations at the site in 2030.
It has commenced a consultation process with staff and stakeholders regarding future options for the 7000 hectare site.
These include adventure parks, hiking, and mountain bike trails, renewable energy projects such as solar and pumped hydro, manufacturing and biodiversity projects.
BHP Vice President NSW Energy Coal, Liz Watts, who manages the mine, told a parliamentary inquiry into post-mining land uses on Monday that it made no sense to demolish valuable infrastructure in order to conform to a prescribed standard of ecological rehabilitation.
"This is why we are adamant there is a better way forward than the current requirements for closure," she said.
"As the committee would know, under current requirements, BHP is required in closure to deliver a return to agricultural pasture and woodland - an outcome that requires the demolition and removal of all high-quality existing infrastructure, including high-quality office and administrative facilities, industrial workshops, high-capacity electrical infrastructure, maintenance facilities, and rail lines."
A parliamentary inquiry will examine new and innovative approaches to post-mining land use in preparation for a slew of mine closures over the next decade.
The inquiry will help ensure former mine sites can continue to bring economic investment and opportunities to regional communities after mining ends.
In its submission to the inquiry, BHP argued that a balanced approach to reusing the land and existing infrastructure should be taken.
Ms Watts said on Monday that this would achieve not only the highest highest possible environmental outcomes, but it would also deliver the long-term social and economic benefits for the community.
"I'm confident that through the capabilities of our communities and the work of this committee, we can deliver a model for post-mining use which delivers a lasting and positive legacy for the Hunter, for NSW and for mining communities right around Australia," she said.
The inquiry will consider how to accelerate and facilitate these uses, including through:
- the development of sites for use for advanced manufacturing, commercial and tourism use,
- reforms to the rehabilitation and planning regulatory frameworks that support mines,
- opportunities to promote the development of solar farms, pumped hydro and other clean energy industries that may be particularly suited to the form and nature of former mine sites,
- what investments in skills and training are needed to support the mining workforce,
- the potential of unlocking surrounding land for residential dwellings, amenities,environmental and educational facilities, and
- the compatibility of post mining land sites with commercial projects.
Muswellbrook council's submission said returning sites to woodland and pasture rather than taking the opportunity to attract new industries would result in a loss of employment opportunities and impact on the council's rates base.
It said the shire had land and infrastructure that could be repurposed for renewable energy projects such as pumped hydro, wind, solar and hydrogen generation.
"On its own, renewable energy does not have the job density to maintain current rates of employment to diversify the economy. The opportunity of the Upper Hunter Region is, therefore, to form an agglomeration of solar and wind farms that will attract and provide a competitive advantage for supporting industries and manufacturing," the council's submission said.