Kingaroy residents are celebrating a court order upholding the shutdown of an underground coal gasification project near their southeast Queensland town.
The Planning and Environment Court has ruled Cougar Energy should resume decommissioning the Kingaroy pilot scheme, dismissing the company’s application for a stay of a government shutdown order.
Three Queensland bureaucrats are being sued for shutting down the $550 million project in January after a cancer-causing chemical was found in a monitoring bore on the site.
Cougar is appealing the decision and wanted the temporary stay to keep operating, pending the appeal.
But the environment court’s judge, Richard Jones, did not believe refusing the stay would force the company to decommission the site before the appeal was determined.
The decommissioning related only to the underground part of the project, rather than the whole site, he said.
“I am satisfied that the potential for environmental harm associated with this case is real and significantly exceeds that contended for on behalf of the applicant,” the judge wrote.
Kingaroy Concerned Residents Group secretary John Dalton said the ruling confirmed the project had been poorly executed and posed a serious threat to local underground water supplies.
“Benzene and toluene are serious carcinogens, and are an unwelcome addition to any water supply,” he said.
“We all look forward to seeing the last Cougar Energy vehicle leave the district.”
Cougar Energy has been approached for comment.
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