The Airly mine is an underground thermal coal mine in the Capertee Valley, NSW. A proposal to expand the mine is currently being assessed by the NSW Department of Planning and the Environment. The Australia Institute made a submission on the expansion proposal relating to its economic assessment.
The Economic Assessment of the Airly Mine Extension Proposal does not comply with Australian Federal or NSW State Government guidelines for economic assessment, and features basic technical errors in the application of cost benefit analysis and environmental economic techniques.
The Assessment fails to discuss the major costs and benefits of the Airly project, giving decision makers no insight into the financial strength or otherwise of the project, and the reliability of the estimates of economic benefit.