Big risks for the world's biggest coal mine

Nandini Velho, an outstanding young Indian researcher who is currently studying for her doctorate in Australia, is worried that Australians might be making a big mistake by launching what could eventually become the world's biggest coal mine.  Here's her take on things:

  Anything for coal...

Anything for coal...

In 2012, the Queensland Premier, Campbell Newman, visited Mundra, a port and special economic zone located in the state of Gujarat in western India.  His trip to India promised “huge benefits.”

But here in India, Mundra usually reminds us of the poor track-record of the Adani Group, an Indian conglomerate that focuses on big energy and agribusiness projects. 

That's a serious worry because the Australian government has now given clearances for a truly massive coal mine in Queensland, known as the Carmichael Coal Mine -- to none other than Adani.

The projected carbon emissions from this mine -- most of its coal would likely be burned in China and India -- would exceed that of 52 different nations.  For instance, its resulting emissions would be four times that produced each year by the entire nation of New Zealand.

The poor track record of Adani is facilitated by well-oiled crony alliances with the Gujarat state government.  This is where Narendra Modi, India’s newly elected and scandal-tainted prime minister, formerly governed.

Political scandals in Gujarat state have become legend in India.  India’s Comptroller and Auditor General recently revealed the state exchequer (finance minister) has lost more than $20 million in just the first phase of the Adani-owned Mundra port.

In addition to such financial scandals, the Mundra port project has had serious environmental costs -- including large-scale destruction of mangroves, degradation of creeks, saltwater incursions, and encroachment of pastoral lands.  

In its pro-development zeal, the Queensland government evidently learned little about environmental risks, corruption, and predatory alliances during its visit to India.  And Australia's staunchly pro-development federal government seems just as oblivious.

Both might be in for some hard lessons if they choose to deal with Adani.