Subsidence management plans a way forward

A review of the Subsidence Management Plan process, which takes a more streamlined approach to managing mine subsidence in NSW, will commence next month, following the introduction of the plan a year ago.

Subsidence Management Plans, or SMPs, improve - but do not replace - the existing approvals process for coal mining in this State.

When coal is extracted from underground, the surface above can sink or subside.

This can impact on sensitive surface features such as cliffs, rivers, watercourses and some buildings.

Subsidence Management Plans are now a requirement of all underground coal mines, whether they are new or expanding projects.

Plans must be based on a full land use description and impact assessment. Physical landforms and surface infrastructure are addressed, along with ecosystems and items of potential heritage or archaeological significance.

The onus is on the company to demonstrate how it proposes to manage any subsidence which may be caused by underground mining.

Applicants must advertise their intention to develop a draft SMP in a local and a State-wide newspaper; identify and consult with all directly affected landholders and local councils and take their views into account.

Applicants must readvertise when the draft SMP is finalised and submitted to the Department of Primary Industries – Mineral Resources. The advertisements must contain details of where the SMP can be accessed by the public.

Subsidence management planning can be undertaken at the same time as an operator draws up a mine plan, making it a more cohesive approach which allows companies to plan between 2 and 7 years ahead.

It replaces the previous, piecemeal method of applying for permission on a panel by panel basis, meaning companies can avoid costly delays, workers being stood down and expensive machinery sitting idle.

Already, 11 collieries have had an SMP approved. Another five SMPs have been submitted for consideration.

All coal mining proposals are fully assessed and approved under the Environmental Planning & Assessment Act 1979.

Development consent remains the Government’s principal method of regulating the impacts of mining. In the case of new mines, subsidence and its impacts must be addressed within a full Environmental Impact Statement.

Plan management comes under the enforcement powers of the Mining Act 1992. Violations of lease conditions or of the Mining Act 1992 may result in the any one, or more of the following penalties:

• Fines of up to $110,000;
• Prosecutions for breaches of the approved plan;
• Suspension of mining operations; and
• Cancellation of mining leases.

Operators may also lose substantial security deposits, which can vary up to $20 million according to risk and disturbance levels.