Mixed reaction to NSW uranium push

15 Feb 2012, 6:59 pm   -   Source: AAP
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(File AAP)

(File AAP)

NSW Premier Barry O'Farrell says his government would be mugs not to allow uranium exploration - but Labor says he pledged to keep the ban.

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NSW Premier Barry O'Farrell has defended plans to overturn a ban on uranium exploration, saying it would be stupid to turn a blind eye to the revenue it could generate.

The proposal to end the 26-year-old ban has been roundly condemned by environmental groups, the state opposition and the Greens.

However, announcing the government would introduce legislation to repeal the ban, Mr O'Farrell said the discovery of uranium could create jobs and raise revenue for hospitals, roads and other infrastructure.

"We want to get the facts, and if it is shown there is uranium in NSW we can then have a sensible and reasoned discussion about those next stages," he told reporters in Sydney on Wednesday.

"We'd be mugs in the current climate, given the revenue being generated in other states, given the jobs being generated in other states, not to do this step, which is to see what uranium resources exist across NSW.

"Clearly we're a government that needs revenue in order to build the hospitals, the roads, the railways, the other infrastructure NSW needs.

"It would be stupid to turn a blind eye to the existence of resources in NSW."

Proponents of the move include David Laurence, director of the Australian Centre for Sustainable Mining Practices at the University of NSW, who described it as a positive but "probably politically brave" decision.

Professor Laurence said uranium shouldn't be treated any differently to other commodities and that a "ban on one commodity or another is putting our head in the sand".

"But it's a positive move to be able to get an idea of the inventory of mineral resources in the whole of the state including uranium," he told AAP.

"I don't think uranium should be treated any different to any other commodity.

"Let's see what's there before we make any decision on land use."

Industry groups such as the NSW Minerals Council welcomed an end to the ban, saying more information was needed about the state's uranium deposits.

"This is likely to generate some debate and we would like to see a reasonable discussion about the science," council CEO Stephen Galilee said in a statement.

"Undertaking this exploration will tell us what the facts are so that there can be a reasoned assessment and informed decisions can be made."

The Association of Mining and Exploration Companies (AMEC) said Australia is a world leader in "the safe exploration, mining and processing of uranium".

"It is important to note that this decision in itself will not lead to uranium being mined in NSW," AMEC chief Simon Bennison said in a statement.

"Exploration is exactly that - exploration."

The Nature Conservation Council of NSW, however, condemned lifting the ban.

"Uranium mining consumes enormous volumes of water, contaminates groundwater and leaves behind a legacy of radioactive mine waste, placing workers, local communities and the environment at risk," council chief Pepe Clarke said.

Opposition Leader John Robertson accused Mr O'Farrell of misleading the public on uranium exploration, after he had ruled out overturning the ban as late as last August.

"The people of NSW didn't vote for it and they don't want it," he said.

Mr O'Farrell said the ALP's decision to overturn its ban on uranium exports to India had prompted his rethink, and public opinion on uranium mining had moved on since the 1980s.

"That's why states like Queensland, with Labor governments, allow their mining sector to explore for uranium," Mr O'Farrell said.

"That's why a state like South Australia governed by a Labor government, is about to open up the largest mine in Australia - Olympic Dam."

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