The massive challenge of rehabilitating thousands of hectares of mined land also represented a major economic opportunity for the Hunter Region, a parliamentary inquiry into post mining land uses has heard.
Lock the Gate said there was a community expectation that biodiversity and agriculture, which it said had suffered substantial losses in the two decades, should be prioritised in the planning and closure process.
"We urge the committee to fully consider the scale of environmental restoration facing mining regions, and explore how this threat can be turned into an opportunity to develop local jobs and enterprise in land restoration and management, provide land and cultural opportunities to Aboriginal people and combat the effects of global warming in the Hunter, North West and Central West in particular," the group's submission said.
"Given its population base and enormous area of affected land, the Hunter Valley is ideally placed to become a national and global leader in post-mining landscape restoration, which can then benefit NSW's other mining regions."
The Legislative Council Standing Committee on State Development held its first public hearing for the inquiry into beneficial and productive post-mining land use on Monday.
A diverse range of stakeholders, including representatives from unions, local councils, environmental conservation and advocacy organisations have made representations.
Muswellbrook council 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.
"New industries require development-ready serviced, zoned and unconstrained employment land for new businesses to locate quickly."
Mach Energy, which operates Mt Pleasant mine, said more than 150 hectares of rehabilitation had already been undertaken on the eastern out-of-pit overburden emplacement area of the operation.
The final landform had been designed to mimic existing landforms endemic to the area in order to accommodate natural erosive processes.
"Non-mining land uses have the potential to co-exist with active mining operations on previously mined and rehabilitated land and/or buffer lands," the company's submission said.
"MACH considers the NSW Government should explore how regulatory settings can encourage other beneficial and constructive land uses that can co-exist with mining operations that provide material local and regional benefits."
Committee Chair Emily Suvaal MLC said Monday's hearing was a crucial step in exploring the potential for post-mining land to serve multiple uses, with the potential to bring benefits to local communities, the economy and the state."
"The committee is also interested in learning about opportunities for investing in and expanding training and reskilling of the current workforce."
"Through this inquiry process the committee aims to understand how changes in land use, driven by the decarbonised economy and advancements in renewable technology, can create new opportunities in traditional mining areas."
