Ms LEE RHIANNON: I direct my question to the Minister for Mineral Resources. How has the Minister responded to the growing concerns of the Gloucester community that coal expansion in that region is having a negative impact on the community, the local environment and the economy, and its anger that the coal industry in this region is damaging the local economy and reducing local employment opportunities? Is the Minister moved to act on the Gloucester community's fears that recent new coalmining exploration leases threaten to upset the region's balance between mining, dairy, beef, food production and tourism and that the massive expansion of coalmining in Gloucester will destroy Gloucester's character, property prices and agricultural and tourism potential? Has the Government undertaken any cost-benefit analysis to assess the long-term impact of mining expansion on the local community and other industries in Gloucester?

The Hon. IAN MACDONALD: Gloucester Resources Ltd holds three exploration licences in the Gloucester area. Two of those licences were granted in March 2006 and one in May 2006. One of those licences abuts the southern boundary of the Gloucester township. The licences are due for renewal in 2009 and renewal applications have been lodged for the two licences that are due to expire in March. Prior to deciding whether to approve or refuse the renewal of these licences, consideration will be given to the exploration activities undertaken and compliance with the reporting and environmental conditions that are a requirement of the licences. As the grant of these licences generated concern within the local community, I imposed a condition in these licences that a community consultative committee be set up involving Gloucester Shire Council and representatives of the local community.

I appointed Mr Terrence Healey, a barrister with extensive experience in common law and anticorruption matters and who is independent of the mining industry, to chair the community consultative committee. The community consultative committee provides an avenue for a frank and open exchange of information between the company and the community. Recent property purchases by Gloucester Resources have generated community concern that mining is about to commence. It should be stressed that Gloucester Resources holds only exploration licences. An exploration licence is not an approval to mine; it permits the licence holder only to carry out drilling and other exploration activities and environmental studies. In addition, it is a legal requirement that the company must have an agreed access and compensation arrangement with any landholder whose property it wishes to enter to carry out authorised exploration activities. I met recently with representatives from Gloucester Shire Council to discuss this matter. Today I met Terrence Healey, and I will meet other stakeholders in relation to this matter in the near future.