Adani Australia will soon recommence engagement with contractors and stakeholders for preliminary work on the Carmichael project and associated infrastructure.
CEO Jeyakumar Janakaraj made the announcement yesterday at the Bowen Basin Mining Club, stating the involvement of local workforces and suppliers was assured.
“In conjunction with our valued partners such as Downer, we have been considering our preferred options for hubs to not only ensure we get the best value for this significant investment but, consistent with our undertakings, ensure local workforces and suppliers have the opportunity to benefit,” Janakaraj said.
“As we have consistently said, our workforce and suppliers will be Australian based, and within that, overwhelmingly Queensland based.”
Janakaraj said the main hubs of operation will be Townsville, Mackay, Rockhampton, and Bowen.
“The composition of those hubs will be an outcome of the more detailed discussions we can now resume with our contractors and communities with a little bit more certainty,” he said.
“Importantly, and contrary to some naysayers, today Adani is clearly re-affirming its commitment to North Queensland and Central Queensland support and manpower opportunities.”
A spokesperson for Adani Australia warned that most project locations were remote, and not adjacent to “large populations”.
“There will be a split of manpower, logistics and mining services a across several locations during the different construction and operations phases,” the spokesperson said.
“There will be a broader regional and broader state economic benefits that flow wherever we base our hubs, and of course, some specialist servicing might be required from elsewhere to complement these northern hubs.”
Janakaraj said the newly granted mining approvals from the Queensland Government had given the company confidence to recommence operations.
“Certainty on approvals is what is required for detailed and thorough planning for the construction phase of these important projects to commence,” he said.
“The granting of the MLs mean [sic] we can start to have more meaningful dialogue with our contractors and communities in preparation for an estimated 2017 construction commencement, pending the conclusion of additional politically-motivated activist appeals, and the conclusion of the balance of second tier approvals.”
Adani Group has recently come under fire over the alleged involvement of subsidiary Adani Enterprises in a $US4.4 billion coal sales over-pricing scandal.
Six Adani Group companies have been named in a business scandal in which Indian energy companies have been accused of profiteering on Indonesian coal, however Adani Enterprises has denied involvement in the over-pricing.
The Indian Directorate of Revenue Intelligence (DRI) has issued an alert to customs claiming that power companies were exploiting “higher tariff compensation based on [the] artificially inflated cost of the imported coal”.
A spokesman for Adani said the company denied allegations, and was “aware of the investigations being conducted by the DRI, and has fully co-operated, and shall continue to co-operate with the investigating agencies”.
“Adani Group is supplying to different utilities including public sector utilities in the power sector through a transparent bidding process,” he said.
“The tariff in most cases is also discovered through bidding system and other cases determined by the regulatories in accordance with law.”