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8.4 Bylong Coal Project Workers Accommodation Facility REPORT BY THE DIRECTOR DEVELOPMENT TO 20 JULY 2016 ORDINARY MEETING GOV400054, A0420219

RECOMMENDATION That Council: 1. receive the report by the Director Development on the Bylong Coal Project

Workers Accommodation Facility;

2. continues to provide in principle support for the Bylong Coal Project, but excluding the Workers Accommodation Facility.

Executive summary Council made a submission to the Bylong Coal Project Environmental Impact Statement (EIS) in November 2015. Whilst Council provided in principle support for the Bylong Coal Project, it did not support the proposal by KEPCO (the proponent) to provide a temporary workers accommodation facility in association with the project. As part of the state significant development assessment process, KEPCO is responding to submissions received during the exhibition of the EIS. In this regard, KEPCO has provided Council with a draft condition of consent which is requesting that Council reconsider its original position and support a temporary workers accommodation facility on a reduced scale as part of the Bylong Coal Project.

Disclosure of Interest Nil.

Detailed report The Environmental Impact Statement (EIS) for the Bylong Coal Project was open for public submissions from 23 September 2015 to 6 November 2015. A copy of the submission made by Council during this process is attached. One of the concerns raised in the submission by Council was the proposed inclusion of an onsite workers accommodation facility (ie. temporary workers accommodation). As detailed in the submission, Council did not support the inclusion of the workers accommodation facility, but did provide in principle support for the project overall. The main areas of contention were that:

• there is sufficient short term accommodation available across the region to cater for the construction workforce; and

• Council has committed funding to a significant upgrade of the Wollar Road to support both the construction and operational workforce travelling between the mine site and the major towns in the region.

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The submission also noted that the potential economic benefits of the project will be significantly diminished based on the proposal to establish a workers accommodation facility as part of the Bylong Coal Project. KEPCO has undertaken further work in relation to the availability of accommodation across the region and remains of the view that there will be a shortfall in housing supply and short term accommodation for the construction phase of the project. On this basis, KEPCO proposes to develop a worker accommodation facility but at a smaller scale relative to what was originally proposed during the EIS exhibition period. At the time of preparing the EIS, KEPCO indicated a workers accommodation facility would cater for up to 800 employees during the first 6 years of the project. KEPCO has since revised its construction requirements and is proposing to limit the workers accommodation facility to a maximum of 350 beds and for an initial 2 year period only and for a further 2 years should an accommodation study demonstrate the need. The draft consent condition for the workers accommodation facility is attached to this report for Council’s consideration. Council staff are of the opinion that there is sufficient availability of rental housing and short term accommodation to cater for the construction phase of the Bylong Coal Project. The region has managed to accommodate a mining construction workforce for projects of a similar scale in the past and with multiple projects occurring at the same time. The region has evolved significantly since this time and continues to demonstrate flexibility in being able to respond to the needs of the mining industry and other tourist related activities. On this basis, it is the recommendation of staff that Council maintains its position which is to continue to provide in principle support for the Bylong Coal Project, excluding the Workers Accommodation Facility.

Community Plan implications Theme Looking After Our Community Goal Vibrant towns and villages Strategy Manage growth pressure driven by the increase in mining operations in the Region

Financial implications Not applicable.

JULIE ROBERTSON DIRECTOR DEVELOPMENT

7 July 2016 Attachments: 1. Bylong Coal Project Draft Consent Condition.

2. Bylong Coal Project EIS Submission. APPROVED FOR SUBMISSION: BRAD CAM GENERAL MANAGER

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