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Friday, March 15, 2019

Coal lobbyists paid as adviser to Coalition Govt

Brendan Pearson - coal lobbyist and paid Coalition Government senior advisor
Brendan Pearson - coal lobbyist and paid Coalition Government senior advisor
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Minerals Council eyes Tania Constable as CEO




The Minerals Council of Australia may hire the head of a carbon capture and storage group as its next chief executive after major member BHP forced out the previous chief for being too coal friendly.

It is understood that Tania Constable, a former treasury official with more than 20 years experience in government industry and resources jobs, is a leading candidate for the job. An announcement is due within two weeks.

The appointment has been more than six months in the making after the nation's top resources lobby group unexpectedly parted ways with former CEO Brendan Pearson after BHP threatened to review its membership.

Tania Constable, CEO Co-operative Research Centre for Greenhouse Gas Technologies, is understood to be a favourite to take charge at the Minerals Council of Australia. Sean Davey
A spokesman for the MCA said the recruitment process is at "an advanced stage of completion" and that an announcement would be made once the process is finalised. "The MCA will not comment on rumour or speculation regarding candidates for the role."

Mr Pearson, who last week joined the office of Trade Minister Steven Ciobo as a senior trade advisor after helping Finance Minister Mathias Cormann negotiate with Senate crossbenchers on company tax cuts, was seen as being too supportive of coal interests.


The rumoured shift to Ms Constable, who would take over from acting MCA chief executive David Byers, suggests the council is continuing the shift away from the combative approach of Mr Pearson's predecessor Mitch Hooke, who spearheaded the politically tumultuous campaign against Labor's ill-fated mining tax in 2010.

Mr Pearson took over from Mr Hooke in January 2014, just as the Minerals Council absorbed the former stand-alone Uranium Association and Coal Council on the understanding it would continue to fight for coal and nuclear power in Australia.

His departure was seen as evidence of the growing impact of the global anti-coal lobby, which is putting pressure on big producers such as BHP to withdraw from the industry.

BHP said last week that it has severed ties with the World Coal Association over differences on how to combat climate change.

The resources giant – which earns around one fifth of its revenue from coal but is moving towards zero emissions from its businesses after 2050 – said it saw little benefit from staying on as a member.

The company was particularly unimpressed with remarks by WCA chief executive Benjamin Sporton in the Financial Review last September where he backed the Turnbull government's dumping of a clean energy target.

Ms Constable would come to the Minerals Council after a lengthy career as a policymaker across resources, energy and natural gas.

She was named as chief executive of CO2CRC (or the Co-operative Research Centre for Greenhouse Gas Technologies) in late 2014 by its chairman, former Labor resources minister Martin Ferguson.

CO2CRC describes its mission as developing carbon capture and storage (CCS) as a "socially, technically and commercially viable option for net zero emissions" and references research saying it won't be possible to keep global temperatures from rising by more than 2 degrees without CCS.

The MCA is a strong supporter of CCS and its website highlights that more than $300 million has been spent on projects to demonstrate the viability of CO2 capture and storage.

Prior to that post, Ms Constable was chief adviser for Treasury's personal and retirement income division, a job with a heavy tax policy focus. She was also a senior Industry Department official for more than four years where she advised the minister on oil and gas regulation, exploration and other mining activities.

She was awarded the Public Service Medal in 2014 for her work in the creation of Australia's liquefied natural gas and other energy industries.

It is understood the search for the CEO's position is being tightly managed by the MCA board.


Jacob writes about American politics, economics and business from our Washington bureau. He earlier was the Canberra-based economics correspondent and has held reporting jobs in Sydney, Zurich and Brisbane across more than two decades. Connect with Jacob on Twitter. Email Jacob at jgreber@afr.com.au

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