Adani sticks with 10,000 jobs lie

By Leith van Onselen

A fight has broken out between Adani and Labor leader Bill Shorten over how many jobs Adani’s Carmichael mega coal mine would create.

Yesterday, Bill Shorten suggested Adani was promising “fake jobs”:

“It would appear that Adani hasn’t managed to convince a single Australian bank to help finance this operation”…

“(Adani) time after time keep saying that they’re going to have this project up and running and they miss a deadline”.

“I’m beginning to wonder if the people of North Queensland are being led on with the promise of fake jobs and they’re never going to materialise”…

“Labor has always said if the deal stacks up, commercially and environmentally — that has been our position”…

“Now, I actually think that the more you look at it, the fact that the banks won’t back it in, the fact that there’s always seems to be new environmental issues — that’s the problem.”

This drew a strong rebuke from Adani, which stuck to its claim that the Carmichael project would generate 10,000 “direct and indirect jobs”:

The spokesman said Adani Australia remained “committed” to the Carmichael project and “looked forward to a time” when more people in places like Townsville could join the team.

“Over the life of the Carmichael Project, Adani Australia will create 10,000 direct and indirect jobs,” he said.

“Those are jobs with Adani, with our contractors and in the supporting mining industry and community businesses like supermarkets and petrol stations where our employees and contractors spend their money.”

10,000 jobs, hey? Not according to Adani’s own hand-picked economic expert, Jerome Fahrer from ACIL Allen consulting, who told the Queensland Land Court in 2015 under oath that only 1,464 full-time equivalent (FTE) jobs would be created by the project:

“Over the life of the Project it is projected that on average around 1,464 employee years of full time equivalent direct and indirect jobs will be created”.

Note that Fahrer made it abundantly clear that the 1,464 FTE jobs includes both direct employment through its own operations as well as jobs via the impacts on other industries.

Again, this is Adani’s own hand picked economist we are talking about, who rejected the initial 10,000 claim under oath. Fahrer also said in court of the project’s impact on employment:

“It’s not many jobs. We can agree on that”.

And why would Adani’s Carmichael project generate many jobs when the company has boasted that it would be fully automated:

Then there is the very real threat that Adani’s project would displace jobs in other Queensland and New South Wales coal mines as it floods the world with more cheap coal, depressing its price.

In short, Adani is full of it. The Carmichael project is a dud both economically and environmentally. Thankfully, it also looks highly unlikely to go ahead now the federal government has (reluctantly) pulled its financial support.

[email protected]

Comments

  1. stuck to its claim that the Carmichael project would generate 10,000 “direct and indirect jobs”:

    To be fair, it’s generated many of those jobs already in PR and lobbying companies.

    Adani don’t have funding for the mine in Australia, they don’t have an Indigenous land use agreement, and they don’t have the support of the Australian people, so they don’t have a social license, but they are still peddling the lie that funding is there …. with no proof.

      • Because Adani does not want to wear the loss of the $2B he’s already sunk into this misconceived project. He’s looking to get taxpayer money as compensation before canning it. He knows renewables are a cheaper, faster, cleaner way to get power to Indian kids.

  2. Why are these redneck Queenslanders so damn gullible? A simple sniff test would tell you the whole thing’s a giant sham.

  3. St JacquesMEMBER

    I think that’s the number of workers they needed to build the Great Pyramid of Giza. At least they got 4500 years of tourism out of it and it is Egyptian owned.
    We’ve really come a long way

  4. So, SpaceX is innovating the aviation industry, Amazon is innovating the retail industry, Tesla is innovating the automobile industry, Google is innovating the AI industry and Australia is ……

  5. “It would appear that Adani hasn’t managed to convince a single Australian bank to help finance this operation”
    This whole argument is corrupt on EVERY damned side and from every way you look at it.
    This is used as the leading reason justifying the ant-Adani stance. Yet the fact the Banks don’t want to lend is bred out of political hostility to the project. This is NOT evidence as to the viability of the project. Maybe we ought stick to real numbers – that would be a new idea. Note this is not arguing for or against. I’m arguing against lying BS!

    10,000 jobs – who knows? There’d be lots of flow-ons in terms of business activity in NQ. I love the way people sit on their arses in air-conditioned offices in Sydney and Melbourne working in some parasite industry, government or profession and assume the right to tell people in NQ, who are happy to get off their arses and work in the heat, that they can’t have a job in order to demonstrate the Green credentials of the city ‘intellectual elite’ (as they like to think of themselves). Yet they rely on the injection of 50 to 60 BILLION dollars into the Sydney Melbourne economy EVERY damned year in order for them to keep their cushy positions. The hypocrisy is mind boggling.
    Of course we have the number of what value A$ is all this assessed at? Is it at the currently way over-valued number? Of course it is but we’ll ignore that because we have religious zealotry on our side!! And anyway screw North Queensland we don’t need it anyway….

    Just to clarify – my own personal view is the project has hairs all over it but that revolves around ownership and how it ought be funded. However the arse polishers in Sydney and Melbourne would not like the fallout from those sorts of considerations.

    We just need to deal with real numbers about stuff not just fairy tale BS.

    • Even if Adani created 10,000 jobs, these folks would be in a wrong industry with not much future and developing wrong skill sets.

      • Yep! At the moment we have somewhere between 1200 and 1600 coal fired power stations being planned and built across the world including Germany who has been opening coal fired power stations over the past six or seven years.
        Fairies at the bottom of the garden are not going to provide reliable cheap power and fairies at the bottom of the garden comprise a LOT of the argument that we can just ditch coal.

        Of course personal insult based on ignorance and name calling is ALWAYS better than facts for you blokes.

      • Flawse,

        It is not only the renewables that coal is facing its competition. The renewables are still marginally expensive, for now. But natural gas is so cheap and abundant. Plus, natural gas can be used for petrochemicals for foreseeable future.

        Germany opted for coal over natural gas because she did not want to rely on Russia’s pipelines for geopolitical reasons.

    • Flawse you are correct about the financing
      I am amazed at the way the author is happy to forgo the jobs in NQ, whilst acknowledging the fact the whole port of Newcastle to the Hunter valley railway upgrade and expansion was paid for in full by the state and (Rudd) federal governments in 2009, a gift not a loan.
      Or the way he is happy to ignore the large increase in coal mined in the NSW Hunter region resulting from new mines and multiple expansions eg The new Bylong mine ring any bells.
      I’m also amazed at the amazing Hypocrisy of a people who generate part of their electricity by burning the dirtiest coal known to man, telling the Indians they cant generate their electricity by burning a much cleaner coal, a much cleaner coal than they are currently burning now.
      Do any of these Adani objectors realize stopping Adani will not stop a single lump of coal being burned, have you seen the picture of Trump holding a Trump digs Coal sign, the USA is the 2nd biggest producer of coal by the way. after China. Id love to see what the Chinese would do with those protesting Greens financial terrorists.
      By the way author – Aus produces around %6 of the worlds coal so you would expect their would be a net jobs gain, not to mention the royalties, the income tax paid by the thousands of employees, the jobs.
      Your FAKE new and obvious BIAS make me want to throw up.

      • Special pleading for old king coal from the astro-set. I’d like to shove a nice big piece of it into any one of your orifices, and I mean that in the nicest way.

  6. Forrest GumpMEMBER

    Yeah…its a bullshit number.
    My assessment:
    Compare:
    Wheatstone Project, Project Type LNG. Project Cost $40 Billion. FT construction jobs: 6000. Operation jobs ~400
    BHP South Flank Project Type Iron. Project Cost $3 Billion. FT construction jobs: <1000 (excluding NPI)
    RIO Silvergrss Project Type Iron. Project Cost ? Billion. FT construction jobs: 500
    Adani Project, Project Type Coal. Project Cost $20 Billion. FT Construction jobs 1200. Operational jobs (Fully automated)

    Coal requires the least overall number of construction workers due to the nature of its operation. Basically, its a hole in the ground, with conveyors, where as LNG requires the highest number of construction workers due to the requirement to build all the safety and monitoring equipment into the plant.

    Just looking at the project cost alone, its less than half the cost of Gorgon or Wheatstone so the FT construction workers will be less than half. My estimate around 1200 tops including support staff for non infrastructure.

    • Your estimate!!, really o construction workers to build the railway, no thousands of sleepers and rail-line for the 340 kms of rail no suppliers of food, de-watering pumps, no vehicle servicing, spare parts, no cooks. Adani have almost 800 employees already in Brisbane and Central and NQ

      • A few thousand jobs during construction and then hundreds of thousands of jobs lost as the GBR dies from AGW fueled by Carmichael coal. You’re as thick as pigshït 🙄

      • Forrest GumpMEMBER

        carey01
        Good point about the rail. However the catering is 2/3 of FA. The camps will be 300 bed fly camps with 20 staff placed 1.5 hours apart along the train line. You’ re a smart guy, do the maths and tell me how many jobs a rail line creates during construction. (I’m assuming the catering will use 457 cooks & cleaners like all most others do. So no real jobs there for locals right?) Someone like NRW will do the train line and bring over all the cuzzie bro’s from New Zealand. No local jobs there my friend. (Except for an increase in the sales of Stein Larger from the local bottle’o)

        Dewatering stations…pfft. They are small 5 KW skid mounted bore pumps hooked onto a pole mounted transformer fed from a 11KV overhead power line. Again…pfft. (I think I can fart more than that). 1 team of 10 linesmen-sparkies can build a 100km line with all 10 bore pump installed in under 3 months. So you can add your 10 guys to your overall head count, but you are still a long way short my friend. Again, not local jobs.

        Spare parts & Servicing for vehicles, etc are supplied by existing services. Some may be local others will be bought onto site. So OK you got me there! You can add another 20 jobs for tyre changers and stores persons.

        The 800 existing employees are those that you have correctly already noted above. They are already existing as cooks, cleaners, motor mechanics, sparkies and maintenance workers. As soon as the fully automated operation is up and running, they will be gone quicker than you can lose your car keys

        Like I said. Wheatsone, Gordon APLNG, BHP, Roy Hill, RIO projects over the past 10 years have far bigger capital budgets (2-4 times as big) as Adani but with less than half the work force. Building a coal mine is not as labor intensive as LNG or iron ore, plus Adani is only a green field project, not even brown field!

        Adani’s purported 10,000 jobs on a $20 Billion green field coal project is Bullshit. If its true, its total stupidity from an economic point of view.

      • Stable Genius, Dumb Arse more like it, seriously you are a fact free fwit, explain how a mine producing less than %00.5 of global coal output can solely be the end of the GBR you moron, especially given most of the coal is replacing less efficient coal currently being burned by Adan. They are facts my friend unlike your mindless rant.

  7. bolstroodMEMBER

    From Wikipedia.org
    Jobs[edit]
    Adani claims the mine will create 10,000 jobs.[29] The company took out a television advertisement during the 2015 Queensland election including this claim.[30] Former Prime Minister Tony Abbott cited the 10,000 jobs figure as evidence “this mine is good for the country”.[31] In Queensland’s Land Court Adani’s expert witness, economist Jerome Fahrer from ACIL Allen consulting, rejected the 10,000 figure, saying the project would create less than 1,500 jobs.[32] Fahrer described the method used to produce the 10,000 figure as ‘deficient’.[33] In May 2015 a complaint was lodged with the Australian Securities Exchange alleging Adani was providing misleading information about the project.[34] The CEO of Mine Operations, JJ Jakanaraj stated “We will be utilizing at least 45, 400-tonne driverless trucks. All the vehicles will be capable of automation. When we ramp up the mine, everything will be autonomous from mine to port. In our eyes, this is the mine of the future”[35]

  8. Forrest Gump – how about a little research instead of assumptions.
    And yes seems I’m a bit smarter than the mob on this forum, where are the facts, nothing but unsubstantiated claims and assumptions.
    Nice piece of fiction, you are wasting your talents, how did you dream that up?
    Arrium have a 74 million contract for the supply of rail line, wow jobs?
    Adani have already stated they will not use 457 vias at all.
    They are working with indigenous groups who they hope will make up around a third of their workforce.
    No real jobs for locals hey, I live in Townsville and I can tell you there are hundreds working on the project already, they are not cooks etc, they are engineer’s accountants etc.
    And obviously jobs are not the only benefit, Coal contributed 3.4 billion in royalties to the QLD government, Adani will add an average of 360 million per year. YOU do the math, using a very generous total cost of employment of $125,000 each, that’s around 2,880 police, nurses and teachers per year. That’s jobs my friend.