Australian banks financing coal and renewable energy A research paper prepared for Greenpeace Australia Pacific Australian banks financing coal and renewable energy A research paper prepared for Greenpeace Australia Final version: 7 September 2010 Jan Willem van Gelder Anna van Ojik Julia Padberg Petra Spaargaren Profundo Radarweg 60 1043 NT Amsterdam The Netherlands Tel: +31-20-8208320 E-mail: [email protected] Website: www.profundo.nl Contents Chapter 1 Methodology ..........................................................................................2 1.1 Objective......................................................................................................2 1.2 Definitions ...................................................................................................2 1.3 Research activities......................................................................................2 Chapter 2 Bank profiles..........................................................................................5 2.1 Australia and New Zealand Banking Group (ANZ)....................................5 2.2 Bendigo Bank..............................................................................................7 2.3 Commonwealth Bank..................................................................................8 2.4 mecu ............................................................................................................9 2.5 National Australia Bank ............................................................................10 2.6 Suncorp .....................................................................................................12 2.7 Westpac .....................................................................................................13 Chapter 3 Coal mining companies ......................................................................16 3.1 Selection of Australian coal mining companies .....................................16 3.2 AGL Energy ...............................................................................................17 3.3 Anglo American.........................................................................................19 3.4 BHP Billiton ...............................................................................................20 3.5 Centennial Coal.........................................................................................22 3.6 CLP Group .................................................................................................24 3.7 Idemitsu Kosan .........................................................................................25 3.8 International Power...................................................................................26 3.9 Itochu Corporation....................................................................................27 3.10 MacArthur Coal .......................................................................................28 3.11 Mitsubishi Corporation ...........................................................................29 3.12 Mitsui & Co ..............................................................................................30 3.13 Noble Group ............................................................................................31 3.14 Peabody Energy ......................................................................................32 3.15 Rio Tinto ..................................................................................................33 3.16 Tarong Energy.........................................................................................34 3.17 TEPCO......................................................................................................35 3.18 Vale ..........................................................................................................35 3.19 Wesfarmers..............................................................................................36 3.20 Whitehaven Coal .....................................................................................37 3.21 Xstrata......................................................................................................38 3.22 Conclusion...............................................................................................40 Chapter 4 Coal-fired power stations....................................................................42 4.1 Overview of coal-fired power plant operators.........................................42 4.2 AGL Energy ...............................................................................................43 4.3 Alinta Energy.............................................................................................45 4.4 CLP Group .................................................................................................47 4.5 InterGen .....................................................................................................48 4.6 International Power...................................................................................49 4.7 New South Wales Government.................................................................50 4.8 Macquarie Generation...............................................................................54 4.9 Delta Electricity .........................................................................................54 4.10 Eraring Energy ........................................................................................56 4.11 Queensland Government........................................................................57 4.12 CS Energy................................................................................................60 4.13 Stanwell Corp ..........................................................................................60 4.14 Tarong Energy.........................................................................................61 4.15 Rio Tinto ..................................................................................................62 4.16 TEPCO......................................................................................................62 4.17 The Griffin Group ....................................................................................63 4.18 Transfield Services .................................................................................65 4.19 Western Australia....................................................................................67 4.20 Verve Energy ...........................................................................................68 4.21 Conclusion...............................................................................................69 Chapter 5 Coal export ports.................................................................................70 5.1 Expansion projects ...................................................................................70 5.2 Abbot Point - BHP Billiton ........................................................................71 5.3 Abbot Point - Hancock Prospecting.........................................................71 5.4 Abbot Point - Waratah Coal ......................................................................71 5.5 Balaclava Island - Xstrata Coal.................................................................72 5.6 Gladstone - WICET Group ........................................................................72 5.7 Hay Point - Babcock & Brown Infrastructure ..........................................73 5.8 Hay Point - BHP Billiton Mitsubishi Alliance...........................................74 5.9 Newcastle - Port Waratah Coal Services .................................................74 5.10 Newcastle - Newcastle Coal Infrastructure Group................................75 5.11 Conclusion...............................................................................................75 Chapter 6 Renewable energy...............................................................................77 6.1 Introduction ...............................................................................................77 6.2 Acciona......................................................................................................78 6.3 AGL Energy ...............................................................................................78 6.4 CSR ............................................................................................................79 6.5 Eraring Energy ..........................................................................................80 6.6 Hydro Tasmania ........................................................................................80 6.7 Infigen ........................................................................................................81 6.8 Infrastructure Capital Group ....................................................................81 6.9 Pacific Hydro .............................................................................................82 6.10 Snowy Hydro ...........................................................................................83 6.11 Tarong Energy.........................................................................................84 6.12 Conclusion...............................................................................................84 Chapter 7 Planned coal-fired power stations .....................................................86 7.1 Introduction ...............................................................................................86