Press Conference, Bendigo, Victoria

MEMBER FOR BENDIGO, LISA CHESTERS MP: Very proud to be standing here today at the best mining town in Australia – Bendigo – and on the ground of Fosterville, which is one of the richest and strongest gold mines that we have, not just Australia but in the world.
 
And standing with me is Labor’s Federal Minister for Climate Change and Energy, the Honourable Chris Bowen. I invited Chris to be here today to see this vehicle in action. It is an electric – two electric vehicles that will go underground into the mine this week. It’s an example of the mining industry at its best on its way to net zero by 2050. And it’s an example that we should all be really proud of. We should be encouraging others to do so. But it’s just great that where we are today that it’s happening here in our town and in our region.
 
This mine employs about 800 people directly and indirectly. That’s a lot of families, that’s a lot of jobs. We hope they keep discovering gold, keep mining gold, because we know that it is a commodity that the world will continue to want. And once we have that demand we will have these jobs. But in doing so we want industry to be on its path to net zero by 2050. And these vehicles are going to help make a difference.
 
So welcome back to Bendigo and to Fosterville Gold Mine to the Honourable Chris Bowen.
 
MINISTER FOR CLIMATE CHANGE AND ENERGY, CHRIS BOWEN MP: Well, thanks very much, Lisa. It’s great to be back with you in your wonderful electorate. I was here earlier this year, but this is my first visit, of course, since the election. And great to be here at this wonderful gold mine. I’ve had a really constructive morning here at Fosterville with Agnico looking at what they are doing.
 
These machines behind us, you think you know what an electric car looks like, you think you know what an electric vehicle looks like – well, these are electric vehicles, and this is the future. And I want to congratulate Fosterville and everything that you are doing on this very important journey.
 
We are all on this journey, and the technology is emerging and evolving every day and getting better every day. And it’s not there yet, but here, these big investments show what we’re capable now and what we’ll be even more capable of in the future. I’ve said many times that the world’s climate emergency is Australia’s jobs opportunity. Perhaps I could say the world’s climate emergency is Australia’s gold mine – because we have a lot to contribute. We are the world’s largest source of many critical minerals and rare earths that are absolutely necessary for batteries and for the renewable energy technology.
 
And we don’t want to just dig it up; we want to dig it up, we want to add value, we want to make things. And, of course, we want to continue to mine those traditional metals like gold which will continue to be very important in our global economy.
 
So it’s been great to come and see this. You can read the briefing notes and you can hear about what’s happening, but you’ve actually got to come and see it. I’ve driven in the blue truck and I’ve sat in the loader and I’ve seen how it’s not only much lower emissions, it’s quieter, better to run, better for the driver, better for the company. Win, win, win.
 
So congratulations, Lance and your team, for everything that’s happening here. I’m delighted to see it, delighted to be here as these machines get ready to go underground, and to congratulate Fosterville on this wonderful initiative.
 
I’m sure any one of the three of us would be happy to take questions.
 
JOURNALIST: Minister, how much more of these vehicles, electric vehicles, do you want to see rolled out in mines across Australia?
 
CHRIS BOWEN: I’d like to see vehicles like this in mines all across Australia. And increasingly we are seeing it. You know, this is great, but I’ve seen similar things in other mines at different levels of development. Last time I was here or the time before we saw electronic vehicles being made in Bendigo for the mines. These are the opportunities that we have.
 
We can obviously continue to mine in Australia, but we can make more and more of this equipment in Australia with the right policy settings, which the Albanese Government is absolutely committed to implementing.
 
JOURNALIST: So what sort of policy settings are you talking about to make it easier for –
 
CHRIS BOWEN: We’re talking about getting the policy certainty about 43 per cent emissions reduction target enshrined in law. We’re talking about a National Reconstruction Fund which will co-invest with companies. We’re talking about our Powering the Regions Fund which will specifically co-invest with companies in the regions on their decarbonisation journey. These are the sorts of opportunities that will continue to become available under the new Government’s policies.
 
JOURNALIST: So will it be practical, tangible policies like co-investing in electric vehicles that will make that possible?
 
CHRIS BOWEN: Yeah, it’s part of the mix. Many companies are making the big investments themselves. For some companies they’ll need a little bit of assistance in co-investment along the way. And that’s what those funds are there for.
 
JOURNALIST: Could I ask maybe a question for Lance, so there’s two of these vehicles so far. What proportion of the overall kind of vehicle pool are they? And, you know –
 
GM, FOSTERVILLE GOLD MINE, LANCE FAULKNER: So it’s a very small start, right?
 
JOURNALIST: Yeah.
 
LANCE FAULKNER: So we really shouldn’t talk about percentage of the overall fleet. As Chris said, it’s part of the journey, and this is our first key step in the journey. So having the Sandvik Loader on site and the Rokion 9-seater vehicle is all about that – starting the journey. As much trialling new equipment and see how effective and efficient they are in our work environment, and then look to how we build our mines for the future.
 
JOURNALIST: So there’s – are you able to sort of say how many of these things you’ve got that aren’t electric?
 
LANCE FAULKNER: This loader will be one of seven loaders.
 
JOURNALIST: Okay.
 
CHRIS BOWEN: That’s a good number. It’s a good start.
 
LISA CHESTERS: I think it’s also important, this is only number three in the world. So this is loader number three that’s here in Bendigo and will go underground this week.
 
JOURNALIST: Do you know where one and two are?
 
LANCE FAULKNER: So number one is in Canada and number two is in Western Australia. So this is the first of these type of vehicles on the east coast of Australia.
 
JOURNALIST: Are they all [indistinct] with Agnico?
 
LANCE FAULKNER: No, they’re not. So Agnico operates 12 mines across the world. The fourth vehicle, the fourth loader of this type, will be at a Canadian operation for Agnico.
 
JOURNALIST: How much does one of these cost?
 
LANCE FAULKNER: About $2.8 million.
 
CHRIS BOWEN: Are you going to order one?
 
JOURNALIST: I was thinking about it for Christmas.
 
CHRIS BOWEN: Yeah, fair enough. Get you around Bendigo.
 
JOURNALIST: They’re going underground this week. Can you tell us or take us through what does that involve? What will they actually be doing?
 
LANCE FAULKNER: So a series of trials. So currently our fleet is made up of diesel equipment, diesel powered equipment. And we want to trial the battery electrical equipment in the same work environment that we currently use and understand where the efficiencies are and understand where the issues are that we may want to deal with the equipment manufacturers so that we can take this across our whole fleet.
 
JOURNALIST: Just looking at a couple of your sustainability reports from last year and 2020 and 2021, there was a big jump in carbon emissions equivalent increases – almost double. I guess, you know, what’s being done in that space aside from this to address that?
 
LANCE FAULKNER: So this is just one small part of our overall, I guess, plan to deal with carbon emissions. And for us the use of battery electrical equipment will enable us to reduce our ventilation within the mine, and that will have a huge impact on our overall carbon footprint.
 
CHRIS BOWEN: Any other questions?
 
JOURNALIST: Batteries, are they somewhat problematic environmentally?
 
CHRIS BOWEN: Not at all. This is one of the great myths. I’m not asserting that you’re perpetuating this myth. It’s one of the great myths of people who deny and delay climate change action – that somehow batteries are bad for the environment. We need to store renewable energy, and batteries is one of the ways we do it. Whether we’re storing it in our house or storing in our community or a grid scale battery or storing it in a car or storing it for a great loader or a truck like this. Yes, of course, batteries’ lives run out eventually. Of course they do. Just like a car’s life runs out. It’s like saying when Henry Ford was inventing the Model-T, “What are we going to do with all these cars? It’s going to be a lot of waste.” Of course, we need to recycle batteries and invest in end-of-life management for batteries. That is happening. The Victorian State Government is doing work. Governments and companies around the world are doing work. It is an excuse by people who don’t actually want to act on climate change who say solar panels or batteries are bad for the environment.
 
Nothing else?
 
JOURNALIST: Still you need lithium and some rare earths that are –
 
CHRIS BOWEN: Of course you do.
 
JOURNALIST: They’re difficult and expensive to –
 
CHRIS BOWEN: Of course, you need lithium and up to 10 rare earths and critical minerals. And – guess what – 9 out of 10 those are under the ground in Australia and we are one of the world’s largest sources. This is a great jobs opportunity.
 
Mining – and this is not something to be embarrassed about; this is something to put in lights – mining is absolutely essential for the change to our net zero economy. Mining critical earths, rare minerals and, indeed, iron ore and the other things which are absolutely necessary for the big infrastructure, the transmission lines and everything else.
 
You had some questions?
 
JOURNALIST: Just to Lance, if that’s okay?
 
CHRIS BOWEN: Lance, absolutely.
 
JOURNALIST: How does it feel that across your sites you’re really leading the charge in setting –
 
LANCE FAULKNER: It’s exciting. It’s a huge step forward for us. It’s something we’ve been waiting to do for the last three years. That was when we first started having discussions with Sandvik about bringing the loader on site. So it’s a really key step forward for us, and we’re looking forward to the future.
 
JOURNALIST: And, sorry, just when you said it’s about three years, does that mean it will take another three years to get more vehicles like this?
 
LANCE FAULKNER: No, it won’t. What we do know is there’s a key lead time for manufacturing. But now the first vehicles are made, that will shorten.
 
JOURNALIST: And just in terms of productivity, how will it improve fossil fuel productivity?
 
LANCE FAULKNER: So what it will do, so it will reduce the heat that’s generated by the equipment. It will make the work environment for the operators better. It’s less vibration. And so they’re the things that we’ll look at to improve our efficiencies on site and the work environment overall.
 
JOURNALIST: And so I guess you’ll have to provide a bit of [indistinct] feedback on how it’s going and then how long do you think it will be before you get more vehicles like this?
 
LANCE FAULKNER: So the trial for the loader is a one-year trial. And during that period we’ll look at staged [indistinct]. So things that we’re looking to achieve and seeing how they’re improving. So over that period we’ll understand what works for us and what we need the manufacturers to look at for the future.
 
JOURNALIST: Minister, some questions?
 
CHRIS BOWEN: Sure.
 
JOURNALIST:  A Senate committee released a report last year on seismic testing in Australia that made a range of recommendations to make sure that environment was not being unduly harmed. Will Labor seek to implement those recommendations?
 
CHRIS BOWEN: There are a range of Senate committee reports which are reported under the previous Government. I think I’m right in saying 19 in my portfolio which the previous Government did not respond to. The new Government is working through the process of carefully and methodically responding to those and will in due course.
 
JOURNALIST: Regional electricity bills have gone up 25 per cent since April and the Alinta and Origin CEOs are predicting increases of 35 per cent next year. What can be done to minimise the pressure on households without boosting inflation?
 
CHRIS BOWEN: What we’ll do is implement the policies we took to the election, which will see downward pressure on prices. Renewable energy is the cheapest form of energy by a country mile bar none. And that means we need more renewable energy. We need the transmission to get that renewable energy into the grid. That’s why we have a $20 billion – I’ll just let this truck go passed. If it was battery you wouldn’t have even heard it. There you go.
 
That’s why we have a $20 billion fund invested in rewiring the nation. That’s why we have a community-backed historic program. That’s why we will get on with the job. That’s why we’ve been working the states and territories to develop the National Energy Transformation Partnership, a very key agreement to get downward pressure on prices through renewable energy.
 
And I’ll tell you what we won’t do – we won’t lie about energy prices. We won’t hide them and pretend they weren’t happening, which is what Angus Taylor did when he changed the law to hide a 19 per cent increase in energy prices, which he knew about and he decided hide from the Australian people before the election.
 
JOURNALIST: Is the Government considering more market intervention to drive down power prices, and what form could that take?
 
CHRIS BOWEN: We already have a very robust form of market management. You saw that in July with AEMO stepping in. I continue to work with regulators and operators and the states and territories. Of course, AEMO answers to all the states and territories in the National Energy Market as well as myself to ensure that the system is fit for purpose.
 
JOURNALIST: There’s a new report earlier this week by the Farmers for Climate Action sort of recommending that there should be ongoing rent payments for big renewable projects through land holders. What do you think of that policy?
 
CHRIS BOWEN: Look, this is something we’ve been working through. I like Farmers for Climate Action; they’re a good group. I’ve met with them on several occasions. In terms of the big transmission infrastructure, what the states and territories have agreed with me is that we will have the capacity to declare particular projects of national significance which would then enable us, if you like, to have a more streamlined consultation and implementation process. That’s one of the issues that will be considered as part of that.
 
JOURNALIST: What’s your message to energy providers of gas companies? Minister Husic has warned gas companies to choose between Team Australia or Team Green. Do you share that view?
 
CHRIS BOWEN: I do agree with Minister Husic and what he has said. And as I said last night on 7:30 in the interview last night in relation to gas, that we have negotiated a heads of agreement with gas companies which would see 157 extra petajoules into the Australian market. The ACCC has been concerned that there might be a 56 petajoule shortfall. AEMO has been more pessimistic and said there might be a 109 petajoule shortfall. So what Minister Madeleine King has negotiated is 157 extra petajoules. That’s no small thing.
 
But none of us believes that that is the end of the conversation. There is not a gas company CEO in Australia who’s had a conversation with the Prime Minister, with me, with Madeleine King or with Ed Husic who would not assert that we have reminded them of their obligations to Australians to ensure that Australian manufacturers in particular have access to Australian gas.
 
JOURNALIST: The flooding events of the past week in this very patch are yet to be on the active list of disasters in Australia. And this is probably one for you Lisa as well. Will that be changed over the next few days? We’re already hearing of homes starting to be inundated by floods.
 
CHRIS BOWEN: I’m not aware of the process for listing those. But I’m sure Minister Murray Watt would be dealing very actively with it. I don’t know if Lisa wants to add.
 
LISA CHESTERS: This – like, first of all, can we just remind people, like, it is going to be a tough three days for us across here in central Victoria. We have not been this wet for at least a decade. Lake Eppaloch is full. So the moment Lake Eppaloch is full, we need to be worried. So do not drive through flood waters. If there is damage to your property call the SES. Get the people out who know what to do. Just stay safe.
 
In relation to when will we be declared a disaster, it depends upon the level of damage, and the state is in active conversations with the Federal Government about when and where those declarations will occur. It needs to be a major flooding event for it be to declared. But there is a [indistinct] method to do that. But if we require urgent assistance, it will be there. And that’s one thing that our Government has been very quick to do – that when required, as required we will have boots on the ground helping. It won’t be delayed because, like under the previous Government, delayed until the Prime Minister could get there. That is not how our Government works. The calls are made when they need to be made.
 
JOURNALIST: Are you saying that the disaster relief payments and the support that was announced by Murray Watt earlier this week, they are from flood events that started on 14 September. That’s a month ago.
 
LISA CHESTERS: And those houses are inundated in water up to their rooftops. Like it’s always stressful when water is rising. People want to know the government will be there to help them. They will be. We will not be disadvantaged compared to other communities. It is wet. It is raining. It is flooding in public land. But, you know, it could be [indistinct] standing here, but we’re not where it’s at in New South Wales yet. But when it is, we will be there. And the same; it’s an equal allocation. There’s no discrimination based upon state borders that occurs under our Government. People, if they are experiencing it, reporting it to the authorities, feeds it into the network and up the system and through the chain line. It’s how it works now.
 
JOURNALIST: Minister, this one is probably for you though. Is that what the Member for Bendigo was saying then, is that not indicative of a reactive government and not a proactive one which would go to put that support in place before the –
 
LISA CHESTERS: It is in place.
 
CHRIS BOWEN: Yeah, with respect, that is just not correct. I mean, Minister Murray Watt is everywhere across Australia dealing with emergencies. I know he’s been talking to Lisa and other MPs around the country. We have put in place a responsive regime. You say reactive. I mean, you’ve got to way for the disaster to occur before you can deal with it. He’s been dealing with that. He’s been doing that very assiduously. There are a complex set of arrangements in place for the states and territories about joint declarations. But he has been all over it. He’ll continue to be all over it. He is the most active and engaged Emergency Services Minister you would see I think in living memory of the Commonwealth. So let’s just let that process work.
 
Anything else, guys?
 
JOURNALIST: Just one more quick question for Lisa. I guess obviously there’s a big legacy of mining in Bendigo. I guess I’m hearing a lot from people - or not hearing a lot. There’s been issues with arsenic and mercury in soils. I guess what I am hearing is that there is hesitation towards investment in gold mining and that sort of infrastructure in the region. What would you say to people that might be hesitant?
 
LISA CHESTERS: People who are anxious and nervous we’ve got to trust the science. Absolutely Bendigo and our region is still dealing with the aspects of gold mining from a century ago where we didn’t have the science in place, where we didn’t have the oversight in place. We do today. And part of the briefing that we got today is what exactly Fosterville is doing, the work that they do with the local community, the work that they do with our local Dja Dja Wurrung to restore country, to minimise the impact of gold mining. It didn’t happen a one years ago. And that legacy, our town and our community is still in some ways cleaning up. You could be living on a gold mining shaft that you just don’t know about. It’s just one of those things that you kind of accept when you move to this region because of that legacy that we have.
 
But what is important is in future gold mining is that we are world’s best practice and we are. And that’s what’s really important. The royalties that company pay to the State Government, some of that money comes back to us for those historical projects that need to be cleaned up. We’re working on – the state is doing an excellent job at working on cleaning up those changes. But, more importantly, there is that understanding, commitment and partnership from anyone who wants to come and mine here that they need to restore Country to its original status or better. And that may mean working in collaboration with our local First Nations people and communities to ensure minimal impact.
 
Look at this gold mine. It’s in the middle of the Ironbark Forest. It’s alive. It’s thriving. You know, and in some places the Dja Dja Wurrung will tell you that it’s healthier post gold mining that what it was prior because this area is also dealing with the legacies of gold mining a hundred years ago. And maybe the mine wants to say a bit more about that? No? You don’t have to.