TASKFORCE REPORT DELIVERS NO RECOMMENDATIONS FOR COLLIE’S FUTURE

The Cook Labor Government has failed to provide Collie with a clear way forward, with its long-awaited Collie Basin Consolidation Taskforce report delivering no recommendations on the future structure of the coal industry.

Shadow Energy Minister Dr Steve Thomas said the report was another sign of a Government struggling with both WA’s energy transition and Collie’s economic future.

“This taskforce was given one central job – to consider the future structure of coal mining assets in the Collie Basin – yet its report does not make a single recommendation to Government,” Dr Thomas said.

“In fact, the word ‘recommendation’ does not appear once in the report.

“Instead, we have been given a history of the coalfields, a summary of the challenges facing the industry and a description of three possible models, without any conclusion about what the Government should actually do.

“After all this time, Collie deserved more than another report describing problems everybody already knows exist.”

Dr Thomas said the Government’s announcement of a further $60 million for Collie could not disguise the lack of direction in the taskforce report.

“Labor is trying to use another funding announcement to distract from the fact that this report provides no clear pathway for the future ownership or operation of Collie’s coal assets,” he said.

“The report considers three broad options – no integration, operational integration and full integration under a single entity – but identifies difficulties with each without recommending a preferred model.

“The potential benefits of integrating Collie’s coal operations have been discussed for more than 15 years. This report takes us no closer to resolving the fundamental problem.”

Dr Thomas said the complex ownership, debt and bond arrangements surrounding the coal companies remained a major barrier to reform.

“Any restructuring could potentially expose WA taxpayers to very significant costs, yet the report does not put a clear dollar figure on what those costs could be,” he said.

“It lightly brushes over the cost issue on page 27 of the report, and alarm bells should be ringing as it could cost the State Government hundreds of millions of dollars.

“The Government should be transparent about the likely financial consequences of changing the ownership or administration of these companies.

“Until it does, this report amounts to little more than another exercise in kicking Collie’s biggest problems down the road.

“The Collie community, WA taxpayers and energy consumers deserve a government with a plan – not more spin and another report without answers.”

Quote from page 27 of the Collie Basin Consolidation Taskforce report:
https://www.wa.gov.au/system/files/2026-09/collie_taskforce_report.pdf

The Taskforce noted that realising this potential depends on successful transaction completion, on parent company and financier support, and on the new entity assuming the existing obligations of both operations. These obligations include the substantial
funding required for rehabilitation and the workforce reductions that consolidation brings forward, the preservation of existing customer contracts, and the organisational capacity to operate efficiently.

A single entity may improve commercial viability, but this is unlikely to translate into profitability. As with all structures considered, single entity integration in the Basin still requires the injection of significant new capital into loss-making assets labouring under already onerous capital structures. The source of new capital for the Basin is unclear and if not addressed, the potential advantages are unlikely to be realised.

Media contact: Dr Steve Thomas 0427 908 717

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