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Glencore's Mount Owen coalmine in NSW. The company has said the planet ‘must
move to zero/low carbon energy’ but coal would ‘[allow] the time and space for
an orderly energy transition’. Photograph: Loren Elliott/Reuters
View image in fullscreen
Glencore's Mount Owen coalmine in NSW. The company has said the planet ‘must
move to zero/low carbon energy’ but coal would ‘[allow] the time and space for
an orderly energy transition’. Photograph: Loren Elliott/Reuters
Energy



‘THE TRANSITION SHOULD NOT BE SLOWED DOWN’: ENERGY STORY IN THE AUSTRALIAN
WRONGFOOTED BY MINING GIANT

Exclusive: Glencore says it did not call on federal government to slow shift
from coal to renewables, contradicting News Corp paper’s front-page quotation

 * Follow our Australia news live blog for latest updates
 * Get our breaking news email, free app or daily news podcast

Graham Readfearn Environment and climate correspondent
Thu 21 Nov 2024 19.41 ESTLast modified on Thu 21 Nov 2024 19.44 EST
Share




One of the world’s biggest mining companies said it had not called on the
Albanese government to slow down the shift from coal to renewables,
contradicting a page one story in The Australian claiming it had.

On Monday, The Australian wrote that the Swiss-based multinational Glencore had
“urged the Albanese government to slow down the transition from coal to
renewables” in what was described as an “intervention” by the company’s chief
executive, Gary Nagle.



Glencore’s supposed position was repeated in an editorial in the same newspaper.

View image in fullscreen
The front page of The Australian on Monday. Photograph: The Australian

But in a response, Glencore told Guardian Australia in a statement: “Our
position is that the transition should NOT be slowed down [capitals in the
original of the statement]. Glencore is a major global producer of the critical
minerals essential to the transition and we are Australia’s largest producer of
cobalt, nickel and zinc.”



Glencore said the point the company had attempted to make was that the planet
“must move to zero/low carbon energy” but this was taking too long, which meant
“fossil fuels such as coal [would] still be needed for the short to medium term
to provide base load power as renewables are rolled out”.

 * Sign up for Guardian Australia’s breaking news email

Coal would be important, the company said, in the short to medium term,
“allowing the time and space for an orderly energy transition”.

When asked if the company had raised the issue with The Australian, Glencore
declined to comment.

The Australian’s editor did not respond to a request for comment.

In August, Glencore said it had decided against a demerger of its coal business,
partly because it could use the cash to “fund opportunities in our transition
metals portfolio, such as our copper growth project pipeline”.

The company said at the time it would “continue to oversee the responsible
decline of its thermal coal operations over time”.

Glencore has closed three Australian coalmines since February 2023, and has said
it will close three more Australian mines and a further four internationally
before 2035.

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More than 300 Australian university executives make more money than state
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The company is pursuing environmental approvals to extend the life of its
joint-venture HVO mine in the Hunter Valley, which the New South Wales
environment watchdog has described as the largest coalmine proposal ever put
forward in the state.

Anne-Louise Knight, the lead Australian coal industry analyst at the Institute
for Energy Economics and Financial Analysis, said Glencore’s decision not to
spin off its coalmines “does not necessarily signal a doubling-down on coal”
because it meant the company could have control over cutting coal production,
and emissions.

She said questions remained about Glencore’s lack of a plan to lower production
of steelmaking coal, or how the HVO mine would fit into its transition plans.

Naomi Hogan, of the Australasian Centre for Corporate Responsibility , said coal
was not a “transition fuel” as Glencore’s Nagle suggested in The Australian, but
a fossil fuel in “terminal decline”.

She said Glencore was still showing an appetite for coal expansion with the HVO
venture and the company was increasing its reserves of steelmaking coal.

Explore more on these topics
 * Energy
 * Coal
 * Australian media
 * Glencore
 * Business

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