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India deal to double size of uranium mining

THE Australian uranium mining industry is set to double in size if an agreement to sell uranium to India is ratified, Parliament’s Treaties Committee has found.

The Joint Standing Committee on Treaties has tabled its report into the Australia – India Nuclear Cooperation Agreement, which could see Australian uranium in dozens of new Indian electricity generating nuclear reactors over the coming decades.

Committee Chair, Mr Wyatt Roy MP, said that the deal could increase export revenue by an estimated $1.75bn and double the number of Australians employed in the uranium mining industry.

The deal will be particularly important for rural and remote areas in states like South Australia and Western Australia, where uranium mining is expected to ramp up.

Queensland could also significantly benefit if the Queensland Government reverses its decision to stop uranium mining.

In India, Australian uranium could help bring low-carbon emission electricity to the 400 million people who do not have access to power at present.

While the Agreement is designed to ensure that Australian nuclear material is only used in safeguarded facilities and cannot be diverted for use in nuclear weapons, the Committee has made a number of recommendations to strengthen safeguards and improve non-proliferation outcomes.

“Critically, on the basis of assurances from the Director-General of the Australian Safeguards and Non-Proliferation Office, the Committee trusts that Australian nuclear material in India can be tracked and accounted for, ensuring that it is not used for anything other than peaceful purposes,” Mr Roy said.

The committee has recommended that the regulation of nuclear safety and security at Indian nuclear facilities be addressed before the sale of uranium takes place. 

Another recommendation is that Australia commit diplomatic resources to encourage India to make genuine disarmament advances, such as signing the Nuclear Test Ban Treaty.

“The Committee has successfully navigated a series of complicated issues to reach a point where, with certain qualifications, it supports a deal that will cement Australia’s relationship with an emerging world power,” Mr Roy said.

The full report is available on the committee’s website or by contacting the committee secretariat on (02) 6277 4002.  

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Departments respond to China Australia Free Trade Agreement concerns

PUBLIC hearings on the China Australia Free Trade Agreement will conclude this week, with the Department of Foreign Affairs and Trade and other agencies responding to issues raised throughout the Treaties Committee’s inquiry.

Representatives from Master Builders Australia and Australian Pork Limited will also appear to provide evidence on the impact of the Agreement on their industries.

China provides Australia’s largest agriculture and fisheries market and biggest export market for resources, energy and manufacturing. Chinese investment in Australia has grown strongly in recent years and the country is also Australia’s largest services market.

The Agreement is expected to eliminate or significantly reduce tariffs on a wide range of Australian goods exports including beef, dairy, sheep meat, wine, horticulture and energy and resource products. It also delivers China’s best services commitments to date, including the provision of new or significantly improved market access for financial, legal, education and health and aged care services.

Over six weeks of public hearings across the country, the Committee has heard evidence from a range of witnesses, including representatives from agriculture, manufacturing, business and export groups, academics and unions.

Committee Chair, Mr Wyatt Roy MP, said the inquiry process had helped the Committee understand the impact the Agreement would have on different industries.

“The hearings have helped us understand how the China Australia Free Trade Agreement will affect Australian businesses, particularly the opportunities for growth that it provides,” he said.

“We have also identified key aspects of the Agreement that are concerning some in the community and will seek clarification on these issues from DFAT and other agencies in our final hearing this week.”

The Committee is due to report on the inquiry into the China Australia Free Trade Agreement in October.

Public Hearing:

Monday 7 September 2015

Committee Room 2R1, Parliament House Canberra

10.30am: Free Trade Agreement between the Government of Australia and the Government of the People’s Republic of China

1.00pm: Close

The hearing will be broadcast through: www.aph.gov.au/live

Hearing programs, copies of the treaties and submissions received can be found at: http://www.aph.gov.au/Parliamentary_Business/Committees/Joint/Treaties

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China-Australia FTA will grow Victorian jobs: VECCI

VECCI Chief Executive Mark Stone said VECCI urges the Parliament of Australia to approve the China-Australia Free Trade Agreement (ChAFTA) this year, given the Agreement’s capacity to widen and deepen trade and investment with one of the world’s fastest growing economies.

"With a diverse and competitive industry base, Victoria is well placed to leverage major growth opportunities from Australia's largest goods export destination ($90 billion in 2014), and largest services export market ($8 billion in 2014)," Mr Stone said.

"The prospects for new trade and investment extend not only to our agriculture sector, but resources, energy, manufacturing and service industries.

"ChAFTA must be approved by the Parliament this year so that business can benefit from tariff relief, with some tariff cuts occurring immediately and others to take affect from the start of 2016.

"VECCI is united with the Australian Chamber of Commerce and Industry, National Farmers’ Federation and Minerals Council of Australia in its call for Parliamentary approval of this crucial deal in 2015."

Employers can access tools, tips and information on getting into exporting or growing existing exports by visiting www.vecci.org.au

Consultation starts on new biosecurity regulation

THE Australian Government has today released the first draft regulation under the new Biosecurity Act 2015, giving interested stakeholders the chance to put their ideas forward on how biosecurity risk will be assessed when the new Act takes effect next year.  

Minister for Agriculture, Barnaby Joyce, said the Biosecurity Import Risk Analysis Regulation (BIRA regulation) has been released for a three month consultation period.  

"The biosecurity import risk analysis process, the regulations and the opportunity for stakeholders to comment were key issues raised by stakeholders during consultation on the Biosecurity Act," Minister Joyce said. 

"I am pleased to follow through on the government's commitment to meaningful consultation with stakeholders and I invite all interested people and organisations to provide comment on the exposure draft regulation. 

"All comments received during the consultation process will be considered in drafting the final BIRA regulation. 

"Our enviable clean and green biosecurity status relies on getting these regulations right—and we are all aware of the potential consequences of a pest and disease incursion to our domestic industries, environment and access to overseas markets."  

Minister Joyce said today that the draft BIRA process under the new legislation was guided by the recommendations from the recently releasedexamination of the import risk analysis (IRA) process report

"We heard from stakeholders that it is important to consult earlier, to access external expertise and to better explain how regional differences are considered when conducting an IRA," Minister Joyce said.  

"The feedback we received through the examination of the IRA process from stakeholders has directly shaped the draft BIRA regulation. 

"I would also like to reassure stakeholders that the development of the BIRA process does not mean previously completed IRAs are invalid or will be redone."  

The submissions period for the BIRA regulation is open from today until 30 November 2015.    

For more information on the exposure draft and the consultation process, please visit agriculture.gov.au/biosecurity/legislation/new-biosecurity-legislation.

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ARTC scoping study delay to consider inland rail project

THE Federal Government is currently considering options to develop the inland railway between Melbourne and Brisbane in the most efficient and cost effective way possible, according to Finance Minister Mathias Cormann and Infrastructure Minister Warren Truss.

"This inland rail route offers a strategic opportunity to invest in nationally significant infrastructure, which would service Australia for the next 150 years," the Ministers said in a joint official release.

"It offers the prospect of significant improvements in the productivity of freight services in Eastern Australia by providing a new high performance freight rail corridor.

"Work on developing a business case and potential financing and delivery options for this project is currently underway.

"The Australian Rail Track Corporation will be an important part of developing any options on this project.

"As such, the scoping study into options for the future management, operations and ownership of the Australian Rail Track Corporation will need to be broadened to take this important strategic initiative into account.

"Consequently, the Department of Finance has decided not to proceed with the current tender processes for business and legal advisers for the ARTC Scoping Study. A new process to appoint suitable advisers will begin later this year.

"The ARTC scoping study remains on track for consideration by the Government in the 2016-17 Budget process."

 

Emissions Reduction Fund safeguard mechanism consultation continues

THE Australian Government is calling for submissions on the proposed rules and regulations for the Emissions Reduction Fund safeguard mechanism.

The safeguard mechanism will start on 1 July 2016 and will be an integral part of the Emissions Reduction Fund – along with the crediting and purchasing elements.

"The Government has already consulted extensively on the design of the safeguard mechanism, and the draft rules and regulations released today include feedback from businesses and community groups on the consultation paper released in March 2015," Federal Environment Minister Greg Hunt said.

"Businesses and the community are invited to make submissions about the drafting of the safeguard mechanism regulations by 16 September 2015 and rules by 21 September 2015.

"The safeguard mechanism has been designed to ensure that emissions reductions purchased by the Government are not displaced by significant increases in emissions above business-as-usual levels elsewhere in the economy.

"The Government will consider the submissions received during this public consultation period before finalising the rules and regulations next month.

"A final decision on business access to high quality, prescribed international units under the safeguard mechanism will be reviewed in 2017-18 subject to the accounting rules established following the Paris climate conference later this year.

"With our Direct Action plan we will meet Australia's 2030 target of reducing emissions by 26-28 per cent below 2005 levels.

"Only the Coalition is committed to taking serious action to tackle climate change without hurting Australian families and businesses in the process with a painful carbon tax. We are already achieving significant results.

"In just the first Emissions Reduction Fund auction, the Government has contracted more than 47 million tonnes of emissions reductions. That's around four times the amount of emissions reduction achieved during Labor's carbon tax experiment – and we've achieved it at around one per cent of the cost."

For more information about the Emissions Reduction Fund, visit www.environment.gov.au/emissions-reduction-fund.

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Hunter Water to sell recycled water plant

THE BOARD of Hunter Water Corporation (Hunter Water) has resolved to explore the sale of its multi-award winning Kooragang Island Water Scheme (KIWS).

Proceeds from the sale will be used by Hunter Water as part of its commitment to invest over $1 billion in new water and wastewater infrastructure over the coming decade.

The KIWS is an advanced water treatment plant located within the industrial precinct of Steel River in Mayfield West which uses a micro-filtration and reverse osmosis process to produce recycled water superior in quality to rain.

Commissioned in November 2014, the plant is capable of delivering up to 3.3 billion litres of highly treated recycled water per annum, which is sold under a long term contract with fertiliser and explosives manufacturer Orica.

Hunter Water Interim Chief Executive Officer Jeremy Bath said the sale would have no impact on the operation of the Plant, on the local water supply or on water prices.

"The KIWS will continue to supply Orica with several billion litres of recycled water each year, regardless of who owns it and so the proposed sale will have no impact on the local water supply. The plant is considered by our pricing regulator to be an “unregulated asset” meaning any costs or income associated with the plant are not considered when determining water prices.

"Selling the KIWS benefits Hunter Water's balance sheet by freeing up capital to invest in the region over the coming decade and will also reduce expenditure on servicing the borrowings associated with its construction.

"Hunter Water intends to invest more than $1 billion to improve infrastructure over the coming ten years as part of our commitment to ensure the region is ready for the population growth forecast over the coming three decades.

"By carefully and selectively identifying assets that free up capital, Hunter Water can ensure we still get the benefits that come with infrastructure such as the KIWS, but without the substantial associated costs.

"The Kooragang Island Water Scheme has the potential to reduce Orica's demand on the potable water supply by up to 5%, effectively increasing Hunter Water’s storage levels by that same amount. It has also substantially increased the percentage of sewage we recycle to around 8% of total wastewater.

"Given the quality of the plant and the rarity of such assets on the open market, I expect there will be a substantial number of interested parties," he said.

Those wishing to register their interest are invited to contact Pottinger on +61 2 9225 8000.

The KIWS is currently owned by Hunter Water, but operated and maintained by Veolia.

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Resource industry bewildered as Senate blocks ABCC legislation

AUSTRALIA’s resource industry is disappointed the Federal Parliament chose not to support the government’s tough stance against union corruption and unlawfulness, with the Senate voting down legislation to restore the Australian Building and Construction Commission (ABCC).

“In the current environment it is beyond belief that the Senate has voted against a more effective industrial watchdog for the construction industry, and more severe penalties for those found to be breaking the law,” says Australian Mines and Metals Association (AMMA) chief executive Steve Knott.

“This sends a very bad signal that our parliament is not interested in cleaning up the unlawfulness and thuggery bringing down one of Australia’s most important industries.

“As the Senate voted against a more effective regulator, the existing FWBC agency launched yet another Federal Court prosecution against the CFMEU, this time alleging two officials forced their way onto a public school construction project, stopped work and coerced employees into signing up to the union.

“Under the current regulator the maximum penalties for such behaviour is $10,200 for an individual and $51,000 for the union. This is less than one-third of the penalties that would apply, at $180,000 for unions and $36,000 for individuals, if the Senate had today voted in favour of the ABCC.

“Australia needs stronger deterrents to stamp out thuggery, intimidation and illegality from our construction sector.  Strong deterrents also have clear economic benefits, with the former ABCC having delivered a 9% productivity increase, reduced industrial action and saved consumers $7.5 billion.”

Mr Knott says it is especially disappointing to see the Senate evenly divided, at 33 votes for and 33 against, on a key aspect of the Coalition’s pre-election policy platform that seemingly has broad community support.

He says continued efforts by the government to restore the ABCC should be supported, and a contingency plan developed to bolster the powers and penalties available to the FWBC.

“AMMA calls on the government to reintroduce this legislation as soon as possible and continue to work with crossbench senators to get it over the line,” Mr Knott adds.

“This may require confidential briefings on any serious cases of criminality, coercion and intimidation uncovered by the Royal Commission into Trade Union Corruption that have not yet been made public.

“If restoring the ABCC with its full former powers turns out to be politically unfeasible, the parliament could instead look to bolster the resources and deterrent penalties of the FWBC.

“With a record number of cases before the courts, the existing agency must be given all the tools it needs to successfully prosecute, penalise and discourage ongoing unlawful behaviour in our construction industry going forward.”

www.amma.org.au

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NBN network to reach 9 million homes by 2018

Comprehensive Corporate Plan details three year targets:

  • 9.1 million homes and businesses ready for service by 2018
  • 4.4 million activations
  • $1.7 billion in annual revenue for FY18
  • Construction set to be complete in Tasmania and Northern Territory

More than nine million homes and businesses across Australia are expected to be ready to connect to the nbn™ network and more than four million to have signed up for an nbn™ service by 2018.

The forecasts are contained in the company’s first comprehensive Corporate Plan, which was published this week.

The introduction of additional technologies, a projected boost to the size of the construction workforce and newly-signed agreements with the construction industry are anticipated to see the total number of premises that are able to connect double over each of the next three years to 9.1 million.

At the end of the period, 4.4 million families and business owners are expected to be active on the network, an eight-fold increase on today. These users are expected to deliver a ten-fold increase in revenue to $1.7 billion.

nbn CEO Bill Morrow said:

“This is a bold plan that puts us in striking distance of our ultimate goal of delivering better broadband to every Australian by 2020.

“The steps we have taken over the past 12 months have already delivered increases in revenue, activations and serviceable premises. The work to date has also given us a more accurate picture of the actual costs of the build.

“This enables us to set the course for the move to the exponential growth of the rollout.”

nbn’s revenue targets are underscored by growing data and usage patterns. According to the Australian Bureau of Statistics, the average amount of data downloaded per month continues to grow: from 5GB per month in FY08 to nearly 60GB today.1 Globally, video traffic online is expected to triple by 20192, with applications extending beyond entertainment to education, e-health and video conferencing for business.

Bridging Australia’s Digital Divide

Mr Morrow said the Corporate Plan estimates an increase in peak funding for the build. However the amount remains significantly lower than the total cost of an all-fibre optic network and the equity contribution of the Government remains capped.

“Upgrading the telecommunications infrastructure for an entire continent will always be an ambitious undertaking. But the risks are outweighed by the benefits,” Mr Morrow said.

“For instance, the rollout is expected to be complete in the Northern Territory and Tasmania during the period of this Corporate Plan. The nbn™ network will be a game changer for these economies and Australia as a whole, enabling greater participation in the global digital economy and helping close the digital divide.”

www.nbn.com.au

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Spring into Brisbane for Pop-Up

THE ever-popular Brisbane Pop-Up business event networking showcase has attracted a record number of exhibitors this year.

Brisbane Marketing General Manager, Conventions and Business Events, Rob Nelson said Brisbane Pop-Up gave business event planners the chance to nurture their knowledge of Brisbane's new, improved and unique business event products.

“Now in its eighth year, we have a record 75 exhibiting event operators in attendance, including hotels, venues and support services,” he said.

"Brisbane Pop-Up offers the perfect opportunity to discover how Brisbane is blossoming with new ideas and experiences.”

Staged by the Brisbane Convention Bureau, Brisbane Pop-Up will celebrate the new season by springing up at City Hall on Thursday 3 September from 11.30am – 2pm.

To register your interest to attend Brisbane Pop-Up, visit http://www.choosebrisbane.com.au/conventions/brispopup-interest

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Unions hold nation-building natural gas project to ransom

AUSTRALIA’s resource industry employer group, AMMA, has warned of the damaging effects strike action at the Gorgon natural gas project could have on Australia’s international reputation as being ‘open for business’.

“This is an irresponsible and reckless action by the unions in urging employees toward industrial action. Industrial disputation is in nobody’s best interest – not the employees or the contractor companies involved,” says AMMA CEO Steve Knott.

“The solution lies in continued good faith negotiations. We encourage the unions to consider the national impacts of striking and choose a more responsible path to resolving the impasse.”

Mr Knott says nation-building projects such as Gorgon have the international spotlight on them, and strike action threatened late in the construction phase is a bad look for Australia.

“At a critical time for Australia’s resource industry, unions are holding to ransom our largest project which employs many thousands of Australian workers and brings other significant economic benefits for the state and for the nation,” he continues.

“Threatening to strike every time an agreement is up for renewal undermines Australia’s reputation as a sound investment destination. It hurts the very people the unions represent as projects and jobs disappear offshore.”

AMMA notes that many of the employees are in favour of the roster, wages and conditions outlined by the employer. Further, certainty over important workplace issues such as established roster arrangements is critical for resources projects both current and in the future.

“It’s important to note, these roles are some of the best paid construction jobs in the world, with many employees earning in excess of $200,000 per annum,” Mr Knott continues.

“The current rosters at Gorgon are commonplace among mega construction projects and the head contractor has genuinely attempted to find an acceptable middle ground.

“From the employees’ perspective, it’s also not as simple as the unions purport. It’s understandable that many seek to retain the current rosters to get the greatest financial reward from their contracts before construction is wrapped-up.

“To dramatically change the working patterns at Gorgon as the project enters the final stretch is unrealistic and further damages Australia’s reputation as a competitive and industrially stable place to invest and build new resource projects.”

www.amma.org.au

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