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Newcastle Herald
Newcastle Herald
Matthew Kelly

'Plan for a future beyond coal': questions about transition authority funds

Courtney Houssos speaks with workers at Mt Arthur Coal on Tuesday.

Hunter Industry groups have welcomed the state government's plans to assist communities as they transition away from coal.

But questions remain about when it will deliver real outcomes and how much funding it will require.

As the Newcastle Herald reported on Tuesday, the government has proposed to create transition authorities in the Hunter, Illawarra, Central West and North West.

A key element of the government's plan is the creation of a Future Jobs and Investment advocate who will directly advise government as well as lead strategic work with each regional authority.

"What we are announcing today is how we are going to plan for a future beyond coal in partnership with local communities," Minister for Natural Resources Courtney Houssos said at Mt Arthur Coal in Muswellbrook.

"For the first time we have been mapping local jobs and local coal mines so we can focus on the workers and families who need our support."

The government will introduce legislation to parliament to establish the regional authorities in the coming months.

The authorities will replace the Royalties for Rejuvenation and Expert Panels scheme set up by the previous state government.

Hunter Jobs Alliance coordinator Justin Page said, while the alliance supported the use of the Royalties for Rejuvenation fund, money would not become available until 2028 or when the fund reached $250million.

Hunter Jobs Alliance coordinator Justin Page.

"The Hunter Jobs Alliance is concerned that our region is receiving much less funding through this program, relative to the size of our coal industries, which is necessary to diversify our economy rapidly during the transition from coal mining," Mr Page said.

"The Hunter is a $65 billion economy and the scope of the challenge ahead is immense. Even if the entire $25 million per annum was allocated to the Hunter it is considered well short of requirements."

Ms Houssos said the previous state government had essentially "locked up" the funding until 2028.

But in the meantime, it was essential that appropriate groundwork was done to ensure the funds were put to best use.

"Before we unlock it, we want to make sure that we've got the right plan and the right policy architecture in place," she said.

"I think it was prudent for a new government to really kick the tyres on the system that we inherited. I think we need to set up these local authorities to better leverage the power of government. We want government to be an enabler and not a blocker."

NSW Minerals Council chief executive Stephen Galilee said the Future Jobs and Investment Authorities plan was a positive sign that long term planning for the future was being taken seriously.

He said the medium term outlook for NSW coal remained strong.

"This strong outlook provides time to plan for the future while the economic benefits and jobs continue," he said.

"The small number of NSW mining operations most likely to be affected by market changes in the short to medium term are those dependent on supplying coal to power stations here in NSW.

"With most remaining NSW power stations forecast to close over the next decade, the impacts on these workers and their communities should be prioritised."

Muswellbrook mayor Steve Reynolds said he supported the government's approach, but agreed questions remained about funding.

"The question has been asked about funding. That's what we need a lot of at the moment.

"It's heading in the right direction. Minister Housis has been listening to our needs but we need to unpack and it and see what the benefits for our community are," he said.

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