The Governments plan to give Rio Tinto cash support over five years to improve Bell Bay’s global competitiveness. But they will reduce payments to Rio Tinto if aluminium prices rise, Federal Industry Minister Tim Ayres told ABC Hobart Tasmania Mornings on 1 October.

Hydro Tasmania – the state’s publicly-owned hydroelectric generator – has also agreed to supply power to Rio Tinto’s Bell Bay smelter at a globally competitive price from 2027 until the end of 2031, Tasmanian Energy Minister Nick Duigan said.

Rio Tinto’s current Bell Bay power supply contract will end on 31 December 2026. The company previously threatened to shutter its smelter at the end of the contract period because of high electricity costs.

“[But] with [Hydro Tasmania and Government support] in place, we can continue to safely deliver high-quality aluminium products for our customers in Australia and around the world,” Rio Tinto Aluminium & Lithium Chief Executive Jérôme Pécresse said.

Rio Tinto produced 94,000 tonnes of aluminium at Bell Bay in January-June 2026, unchanged on the year, the company said in a quarterly production report on 15 July. Power purchases accounted for 23% of its global aluminium smelting costs over the period, up from 17% in January-June 2025.

Tasmanian wholesale electricity prices averaged A$78.17/MWh in the 2025-26 financial year, down from A$109.26/MWh in 2024-25, but up from just A$36.47/MWh over 2009-2015.

The Federal Government has financially backed each of Rio Tinto’s three Australian aluminium smelters since the start of 2025, largely because of high domestic electricity prices.

The New South Wales and Federal Governments agreed to support the company’s Tomago smelter with A$2.5 billion of power subsidies over 12 years in August. The Queensland and Federal Governments also partnered to invest A$2 billion in its Boyne smelter in March.

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“We live in an era where [aluminium] production can happen anywhere in the world. And we’ve acted to secure it in [Boyne], to secure it in Tomago … and to secure it here in Bell Bay,” Ayres told reporters.

The Federal Government conditioned its Boyne and Tomago support on specific investment guarantees from Rio Tinto. But its Bell Bay package only requires Rio Tinto to maintain the plant’s current capabilities, according to Ayres.

The Federal Government has also supported other Australian smelters in recent years. It backed Glencore’s Mount Isa copper smelter, GFG’s now-shuttered Liberty Bell Bay ferro-manganese smelter, and Nyrstar’s Tasmanian and South Australian zinc and lead smelters in 2025-26.

By Avinash Govind

Its annual trimmed mean inflation rate – which excludes the largest positive and negative inflation contributors – stood at 3.6% in August, unchanged from May-July, but above early 2026 levels, ABS data released on 30 September show. Australia’s trimmed mean inflation rate hovered between 3.3% and 3.4% in January-April.

Australia’s housing-related inflation rate reached 5.7% in August, up from 5% in July, entirely because of electricity cost increases. Annual electricity price changes have been volatile in recent months due to the Federal Government’s timing of 2025 electricity rebates.

Electricity prices rose by 13.2% on the year in August, up from 6.1% in July, but down from 22% in June, because of rebate timing issues.

Fuel prices increased by 13.5% in August, up from 7.5% in July, largely because the Government ended its diesel and petrol excise cut on 2 August. And they likely rose again in September because of Brent crude price hikes and escalating violence in the Middle East.

Retail petrol and diesel prices in Australia’s five largest cities averaged A$2.37/litre and A$2.86/litre, respectively, on 23 September, up from A$2.05/litre and A$2.49/litre on 2 September, data from the Australian Competition & Consumer Commission (ACCC) show.

Brent crude futures prices last traded at $98.26/barrel (A$141.37/barrel) on 1 October, up from $94.65/barrel on 1 September, data from Trading Economics show. Brent crude prices increased on 11 September because Saudi Arabia closed its East-West oil pipeline on 10 September, in response to militia attacks.

ABS’ inflation release comes a day after the Reserve Bank of Australia’s (RBA) Monetary Policy Board voted to lift its official cash rate from 4.35% to 4.6% because of high fuel prices, artificial intelligence-related investment, and capacity constraints.

“[The Board will] … increase interest rates again if that’s what’s needed to get inflation down,” RBA Governor Michele Bullock said on 29 September. “What we’re trying to do is make sure that we have financial conditions tight enough so that, looking forward, … inflation pressure eases,” Bullock added.

The Board considered holding its cash rate target at 4.35% because of downside inflation risks related to housing costs and Iran war-related uncertainty. It raised its target because of more severe upside risks.

By Avinash Govind

HVO – a joint venture between Glencore and Yancoal – applied to mine 430 million tonnes of unprocessed coal by extending mining areas and accessing deeper coal seams, IPC said on 30 September.

“[But] there are still a number of further hurdles [that HVO] needs to clear before [staff and their families] get the certainty they need,” NSW Minerals Council Chief Executive Officer (CEO) Stephen Galilee told reporters at a press conference.

The joint venture requires Federal Government approval to progress its extension project, and could face legal challenges from climate activists, Galilee said.

“Mark my words, right now, the opponents of this project will be going through the [IPC’s] decision … and they will be looking for any small technical reason [to overturn the approval],” Galilee added.

HVO can only sell coal from its extension project to markets with greenhouse gas (GHG) emission-reduction policies consistent with the Paris Climate Accords, the IPC said in its approval decision.

“[But] GHG emissions from [HVO’s] project will contribute to climate change, with 98% of [project] emissions occurring … where [HVO’s thermal and semi-soft coking] coal is consumed,” the IPC added.

HVO produced 14.5 million tonnes of coal in January-June 2026, up 11% on the year, largely because of equipment utilisation, Yancoal said in a quarterly report on 20 July. The company has welcomed the IPC’s decision.

But climate activists have not. Every community in NSW, including those recovering from climate pollution-fuelled fires, will end up paying for the IPC’s decision, Climate Council Councillor Greg Mullins said.

The Climate Council has called on the Federal Government to reject HVO’s extension project. “Australian voters were promised a government that takes climate seriously. Approving this project would make that hard to believe,” Climate Council CEO Amanda McKenzie said.

“Australia should be cutting climate pollution further and faster, not adding to it. [The Government] must put people before corporate interests and refuse [HVO’s] project,” McKenzie added.

Yancoal expects the Federal Government to approve HVO’s extension project by the end of 2026, it said in July.

By Avinash Govind

New Zealand house prices and residential housing investment are expected to rise by 0.6% and 7%, respectively, over 2027, Treasury said on 29 September. In May, the department expected house prices and residential investment to rise by 4% and 8.5%, respectively, over the year.

Treasury has revised its housing forecasts for each year over 2027-2030. The department updated its forecasts because of higher-than-expected consent approvals and interest rates, and lower-than-expected net migration.

Treasury expects net migration to reach 165,700 people over 2026-2030, down from its previous forecast of 183,200 people.

The department’s forecast revisions come weeks after the Government – on 8 September – announced that it will allow migrants using the Growth category of its Active Investor Plus (AIP) visa to invest in build-to-rent housing developments through managed funds from December.

The Government plans to prevent migrants from living in the build-to-rent units they fund, multiple Ministers said.

Migrants using the Government’s AIP Growth scheme need to invest NZ$5 million in managed funds, some equities, or convertible note-style products for three years. They can not currently invest in non-infrastructure property assets, according to Immigration New Zealand.

Developers plan to build 4,367 build-to-rent units over the next few years, according to the Property Council. They have started construction work on 1,443 units, Property Council data show.

By Avinash Govind

The Board’s strategy is to bring inflation back down to target in a reasonable time while trying to maintain a strong labour market, RBA Governor Michele Bullock told reporters on 29 September.

“[But it] will … increase interest rates again if that’s what’s needed to get inflation down,” Bullock said. “What we’re trying to do is make sure that we have financial conditions tight enough so that, looking forward, … inflation pressure eases,” Bullock added.

The Board considered holding its cash rate target at 4.35% because of downside inflation risks related to housing costs and Iran war-related uncertainty. It raised its target because of more severe upside risks.

Australia’s housing-related inflation rate reached 5% in July, down from 6.8% in June, likely because of a drop in house prices. Dwelling sales prices rose by 3.9% on the year in July, after growing by 5.8% in June, data from analytics firm PropTrack show.

The US-Israeli war in Iran has hurt the Australian economy and could further increase consumer prices if it continues, according to Bullock.

“Fuel prices, fertiliser prices, transport prices; all these things are permanently higher [because of the war]. [The] idea that they would go up and then come down again just hasn’t happened,” Bullock said.

“The longer [the conflict] goes, the more likely it is that businesses will just try to pass through cost increases … If they’re in industries [with excess demand], they might be able to pass [them] on,” Bullock added.

Australian refined fuel prices have increased in recent weeks because of renewed violence in the Middle East and Brent crude price hikes.

Retail petrol and diesel prices in Australia’s five largest cities averaged A$2.37/litre and A$2.86/litre, respectively, on 23 September, up from A$2.05/litre and A$2.49/litre on 2 September, data from the Australian Competition & Consumer Commission (ACCC) show.

Brent crude futures prices last traded at $103.68/barrel on 25 September, up from $94.65/barrel on 1 September, data from Trading Economics show. Brent crude prices increased on 11 September, largely because Saudi Arabia closed its East-West oil pipeline over militia attacks on 10 September.

Advocacy and charitable groups opposed the RBA’s cash rate target hike on 29 September. Anglicare Sydney – a non-profit care organisation – has warned that the decision will hurt renters.

“This rate rise will be felt hardest by people already living on the edge because an unwelcome consequence of falling property prices is increasing rents,” Anglicare Sydney Chief Advocacy Officer Rob Stokes said.

“The banks pass on rate rises. Landlords pass on higher costs. [And] developers pass up new housing opportunities,” Stokes added.

The Australian Council of Trade Unions (ACTU) has also accused the RBA of losing sight of its dual employment-inflation mandate.

“The Reserve Bank has been signalling it would abandon its dual employment mandate to fight inflation, and that is exactly the outcome it voted for today. We already have 723,000 unemployed in the country, and that number shouldn’t go any higher,” ACTU Secretary Melissa Donnelly said.

By Avinash Govind

It also wants to ensure that Aboriginal labour accounts for 5% of direct hours worked on Government infrastructure and transport projects, Transport Minister Rita Saffioti and Aboriginal Affairs Minister Don Punch said in a recent statement.

“[The targets are about] creating real job opportunities, building skills, and supporting long-term career pathways for Aboriginal peoples in Western Australia,” Saffioti said. “[They support] practical outcomes that build capability, employment and long-term economic independence for Aboriginal people and communities,” Punch added.

The Government awarded A$442 million of contracts – across all areas – to Aboriginal businesses in the 2024-25 fiscal year, up from A$439 million in 2023-24, data from WA’s Department of Treasury and Finance (WADTF) show. Aboriginal suppliers won 6.82% of Government contracts over the year, WADTF data show.

WA’s Aboriginal procurement targets come weeks after the Government launched a review into the state’s Procurement Act to increase support for local businesses and jobs. “Government purchasing is one of the most powerful tools we have to support local jobs and grow local industry,” Premier Roger Cook said on 10 September.

“The [review] will cover all areas of State Government procurement, [but] specific-sector feedback is more than welcome,” a Government spokesperson told Lithos on 10 September. WA’s Department of Treasury and Finance has opened a weeks-long, two-part consultation process as part of the review.

The Government spent A$16.2 billion on procurement in the 2024-25 fiscal year, up 36% from 2023-24, according to tender monitor Awarded Tenders. It prioritises regional suppliers by discounting their offers when judging competing tenders under its WA Buy Local scheme.

By Avinash Govind

“[The Government is] not being complacent about [fuel supply challenges], we know the international situation remains difficult, and … that’s why [Chris Bowen] is pursuing those discussions as we speak,” Environment Minister Murray Watt told reporters on 26 September.

“India and Saudi Arabia are major suppliers of fuel to the world, and it is important that we build those connections, maintain those connections to ensure that our fuel supplies stay strong,” Watt said.

Bowen has discussed fuel security, energy transition, and climate cooperation issues with Indian ministers in recent days, he announced on 27 September. His meetings come months after the Australian and Indian Governments – on 9 July – agreed to maintain the flow of coal and liquid fuels between their countries.

Indian refiners accounted for 10% of Australia’s refined oil imports in 2024, while Australian producers accounted for 35% of India’s coal imports over the same period, data from the Observatory of Economic Complexity (OEC) show.

Bowen will soon travel to Saudi Arabia to meet Prince Abdulaziz bin Salman Al Saud and discuss the recent closure of the Kingdom’s East-West oil pipeline, which links the Abqaiq oil field, in the Persian Gulf, to the Red Sea.

Saudi Arabian officials closed the East-West pipeline because of drone attacks on 10 September. But they partially reopened it on 22 September, according to reporting from Reuters.

Saudi Arabia’s East-West pipeline closure pushed up Brent crude futures prices. Brent crude futures traded at $104.61/barrel on 11 September, up from $101.21/barrel on 9 September. Brent crude futures prices last traded at $104.32/barrel on 25 September, data from Trading Economics show.

Australian refined fuel prices have increased in recent weeks because of global maritime disruptions and Brent crude price hikes. Retail petrol and diesel prices in Australia’s five largest cities averaged A$2.37/litre and A$2.86/litre, respectively, on 23 September, up from A$2.24/litre and A$2.68/litre on 16 September, data from the Australian Competition & Consumer Commission (ACCC) show.

But the Australian Government does not expect to cut its fuel excise rate to support motorists, Watt and Defence Minister Richard Marles said on 26 September and 27 September, respectively.

By Avinash Govind

BT Mining – a joint venture between Bathurst Resources and Talley’s Energy – needs to address technical issues related to wildlife approval and a reserve manager’s consent, Bathurst Resources told investors on 24 September.

The joint venture plans to address the EPA’s concerns and resubmit its application in short order, the company said.

BT Mining expects to produce 20 million tonnes of coal over 25 years at the Buller Plateaux Continuation Project. It usually sells coal on long-term contracts and has little impact on spot coal markets, according to a trader with knowledge of the situation.

The joint venture sells Buller coal to Japanese, Indian, and South Korean steelmakers, as well as a range of New Zealand producers, according to Bathurst Resources. Buller coal has a low ash content and is often blended with other coal, the company has said.

Forest and Bird called on the EPA to reject BT Mining over wildlife issues on 18 September.

“The application’s lizard management plan admits that, despite an understanding that Department of Conservation best practice lizard management constitutes salvaging more than 80 percent, [BT Mining] expects that fewer than one percent of lizards will be feasibly salvaged,” Forest and Bird said.

“We’d suggest the EPA also look at the application’s lack of protection for the Avatar moth [, which] would most likely become extinct if the mining went ahead,” Forest & Bird Denniston Spokesperson Scott Burnett said.

The New Zealand Government agreed to fast-track BT Mining’s Buller project in 2024. Fast-tracked consent applications are assessed by expert panels, rather than local and regional councils. The Government has primarily used fast-track processes to support mines, housing developments, and infrastructure projects.

Resources Minister Shane Jones wants to use Crown regulatory and planning powers to stem the tide of regional deindustrialisation, he told Lithos – in his capacity as New Zealand First Energy Spokesperson – during a wide-ranging interview on 11 September.

“There is [an] … anxiety and that is deindustrialisation, and that is the hollowing out of industry, and that is the rising level of unemployment. So [New Zealand First] want to try something different. And do it at such a level that we can have a mix of interventions,” Jones said.

New Zealand First’s special economic zone (SEZ) plan will support mineral-rich areas along the South Island’s West Coast, where BT Mining’s Buller coal project is based, according to Jones.

An SEZ could promote mining investment and growth in the West Coast by removing planning barriers since 83% of the region sits on public conservation land, Jones told Lithos.

“Our policy [on West Coast environmental legislation] is to restructure [the Department of Conservation (DOC)] and to ensure that economic potential is a statutory obligation upon DOC, not just preservationist ideologies. [But] the area where, obviously, Kiwis do not want mining is in the national parks,” Jones said.

By Avinash Govind

“[Workers are] standing up for what Australian aviation should be: an industry that puts workers, safety and passengers first,” the TWU said on 23 September. The union has not explained its Victorian strike decision.

TWU workers support Qantas’ air freight services and Sydney-based QantasLink services, Lithos understands.

Australia Post – a Qantas air freight customer – has detailed contingency plans in place and is working closely with partners to minimise customer and delivery service impacts during TWU’s strike, a company spokesperson told Lithos on 23 September.

TWU workers can launch an unlimited number of day-long work stoppages, indefinite overtime bans, indefinite freight sorting bans, and indefinite training bans under a 27 August strike authorisation.

Qantas and TWU have been locked in Fair Work Commission-facilitated (FWC) negotiations for months, but disagree over a range of wage and employment condition proposals. “Discussions through the [FWC] have been constructive, and negotiations are continuing,” a Qantas spokesperson told Lithos on 18 September.

“Our focus is on an agreement that addresses what employees have told us matters most, including pay and more full-time opportunities,” the spokesperson said.

“QGS workers are calling for job security, a fair pay rise after years of wage freezes … and for … scattered work groups to be brought back together under a single Qantas banner,” the union said on 1 September.

By Avinash Govind

WMWA has also suggested that the Government support agricultural producers – who often rely on Australia’s working holiday scheme – by banning backpackers from using mining and resources projects to meet regional work requirements.

Backpackers can stay in Australia for up to three years on working holiday visas, as long as they work in regional sectors for at least 88 days in their first year and six months in their second, according to the Department of Home Affairs.

But the Government will only approve 45,000 second-year renewals and 5,000 third-year renewals each year under its working holiday plan, Home Affairs Minister Tony Burke told the National Press Club on 17 September.

Many backpackers cycle between Australian mines on short-term contracts to meet their regional work requirements, according to a person with knowledge of the sector. Between 4000 and 5000 of them work in WA iron ore mines each day, up from less than 1000 a decade ago, Lithos understands. Others cycle through East Coast coal mines.

Backpackers can create operational risks because they are often unfamiliar with safety protocols, mine cultures, and mining equipment, Lithos has learned.

Backpackers are also less attached to mine workplaces than permanent employees and longer-term contractors, according to a person familiar with the sector. About three-quarters of them leave the mining sector after meeting regional work requirements.

Casual workers, including backpackers, generally do the same work as longer-term contractors and permanent employees, just with lower pay and fewer labour protections, according to a 2020 report from the McKell Institute.

“Casual [coal] mineworkers usually earn at least a third less than permanents, even with their casual ‘loading’. This is because labour hire companies … set pay rates at just above the Black Coal Industry Award minimum,” the report found.

By Avinash Govind

“Monetary policy was excessively accommodative during [New Zealand’s] recovery from the [Covid-19] pandemic, [which led] to an overheating of the economy in 2021 and 2022,” according to the Government-commissioned review released on 22 September.

“[The bank took] a full year … to adjust to the reality that [New Zealand’s] initial economic stimulus had already achieved [its] intended result,” the review found. RBNZ’s Monetary Policy Committee (MPC) voted to lift the bank’s overnight cash rate from 0.25% to 0.5% in October 2021. At that stage, New Zealand’s annual inflation rate hovered around 4.9%, data from Stats NZ show.

But the review – conducted by former RBNZ Assistant Governor David Archer and former Central Bank of Cyprus Governor Athanasios Orphanides – praised RBNZ’s initial response to the Covid-19 pandemic. The bank’s ‘Least Regrets’ approach and quick rollout of LSAP prevented compounding collapse and market dysfunction, Archer and Orphanides wrote.

RBNZ bought NZ$53 billion of New Zealand bonds between August 2020 and July 2021, under its LSAP scheme. The bank expects to eliminate its bond holdings by mid-2027 through sales and maturities, it said in June 2022.

RBNZ responded slowly to New Zealand’s post-pandemic recovery because of existing institutional and policy vulnerabilities, according to the review. “A different group of intelligent people, under [its existing] framework, would risk making the same mistakes,” the review found.

The bank’s medium-term inflation targeting policy raised the cost of forecasting errors, and consensus decision-making in its MPC made errors more likely by failing to encourage diversity of thought, according to Archer and Orphanides.

RBNZ’s MPC structure failed to encourage a broad range of policy perspectives, the pair said. The Committee did not prominently discuss inflation and excess stimulus risks in late 2020 and early 2021, they added.

“[RBNZ] will consider the findings of the [review], and its insights will contribute to [the bank’s] thinking,” RBNZ Governor Anna Breman said on 22 September. The review could also help to strengthen the bank’s modelling infrastructure and inform its view of the MPC Remit, Breman added.

The MPC’s post-pandemic strategy helped return inflation to its target band, but a faster policy response could have produced better inflation outcomes, the RBNZ said in a 2025 internal review.

By Avinash Govind

The Government’s procurement focus is on achieving the best public value, while considering economic benefits including local business opportunities, according to Bishop.

“[It] supports using local contractors and suppliers where it makes sense, and wants to [signal] a strong pipeline of infrastructure work … early so … businesses can plan, build capability and compete for that work,” Bishop said.

“However, … decisions about which contractors are ultimately engaged are appropriately made by the agencies delivering … projects in line with their procurement practices,” he added.

Bishop’s comments come days after industry group NorthChamber and Northland NZ – a regional development agency – called for local content requirements in contracts for the Whangārei Hospital renovation and an upcoming highway project.

The two developments create an opportunity to build lasting regional capability, but need an active local procurement process, Northland NZ Chief Executive Paul Linton said on 18 September.

“The Government has not included minimum local employment or procurement requirements for either project,” Bishop told Lithos.

But the Northway Consortium – which will lead the highway project – expects to source around 60% of its materials from local supply chains, NorthChamber Interim Chief Executive Officer Tim Robinson told Lithos on 21 September.

It also plans to create workforce development schemes to support young, Māori, and Pasifika workers, Bishop said. “[The highway project agreement] includes specific employment and training requirements for Māori applicants, including apprenticeships and summer internships,” he added.

The Government expects the highway project to create local maintenance-related subcontracting opportunities over the next 25 years, according to Bishop.

Northland authorities have called on Wellington to support local businesses through procurement for multiple years. They aim to secure preferred supplier status for Northland businesses with all Crown agencies, multiple councils said in Te Rerenga, a 2024 economic wellbeing pathway.

By Avinash Govind

Sheep and beef-related on-farm costs are expected to rise by 4.2%, nationally, over the 2026-27 season because of fertiliser and fuel cost increases, according to Beef + Lamb New Zealand.

In Northland – where a significant share of farmers produce sheep and beef – costs may rise further, Hannah told Lithos on 18 September.

Northland-based diesel prices generally hover above national levels. Late on 18 September, Z Energy sold diesel for NZ$3.06/litre in Whangārei, the region’s only city, according to Hannah. New Zealand diesel prices averaged NZ$2.97/litre at the same time, data from price monitor Gaspy show.

Arable farmers outside Northland have also begun to reconsider planting schedules because transport costs have made Australian crops increasingly competitive with South Island crops, Hannah said.

Fuel price increases are impacting communities alongside producers. Some families in rural Northland have started to pull their kids out of sporting events because of high transport costs, according to Hannah. Northland’s average household income stood at NZ$123,687 in March 2026, while New Zealand’s stood at NZ$147,930.

Northland’s ongoing fuel-driven challenges come alongside a decline in its beef cattle herd size. The region housed 319,564 cattle in June 2025, down 37% from 2008, largely because of increased pine forestry and dairy farming, according to Northland Regional Council (NRC).

Cattle herd declines could threaten the long-term viability of Northland-based meat processors, including Silver Fern Farms, NRC economists said in the July 2026 edition of the Northland Economic Quarterly. Silver Fern Farms accounts for 12% of employment in Dargaville, a small Northland town, the economists added.

By Avinash Govind

Transport Workers’ Union (TWU) workers in Victoria will launch a day-long strike on 23 September, and their colleagues across the rest of Australia will strike on 24 September, the TWU said on 18 September.

TWU workers support Qantas’ air freight services and Sydney-based QantasLink services, Lithos understands. They can launch an unlimited number of day-long work stoppages, indefinite overtime bans, indefinite freight sorting bans, and indefinite training bans under a 27 August strike authorisation.

“Workers do not take [strike] action lightly. Any disruption to freight, including Australia Post shipments, sits solely at the feet of Qantas management,” TWU National Secretary Michael Kaine said.

“[Qantas remains] committed to reaching an agreement with our [QGS] employees that includes annual pay rises for our people,” a company spokesperson told Lithos on 18 September. “We have well-developed contingency plans to minimise any impact on QantasLink customers and our operation,” they added.

Qantas and TWU have been locked in Fair Work Commission-facilitated (FWC) negotiations for months, but disagree over a range of wage and employment condition proposals. “Discussions through the [FWC] have been constructive, and negotiations are continuing,” a Qantas spokesperson told Lithos.

“Our focus is on an agreement that addresses what employees have told us matters most, including pay and more full-time opportunities,” the spokesperson said.

“QGS workers are calling for job security, a fair pay rise after years of wage freezes … and for … scattered work groups to be brought back together under a single Qantas banner,” the union said on 1 September.

Qantas previously agreed to table a contract proposal at an FWC-facilitated meeting on 18 September, Lithos understands.

By Avinash Govind

Note: Shane Jones spoke to Lithos in his capacity as New Ze aland First Energy and Regional Development Spokesperson.

New Zealand First wants to use Crown regulatory and planning powers to stem the tide of regional deindustrialisation, Energy and Regional Development Spokesperson Shane Jones told Lithos in a wide-ranging interview on 11 September.

“There is [an] … anxiety and that is deindustrialisation, and that is the hollowing out of industry, and that is the rising level of unemployment. So we want to try something different. And do it at such a level that we can have a mix of interventions,” Jones said.

New Zealand First wants to create special economic zones (SEZ) to attract industry to mineral-rich regions. It also plans to break up New Zealand’s electricity generator-retailers (gen-tailers), and offer firming demand guarantees to energy developers, to support producers.

The Party’s SEZ plan will initially support the developing Marsden Point industrial hub – in Northland – and mineral-rich areas along the South Island’s West Coast, according to Jones.

“[Our] policy is to identify geographical areas and, within those areas, develop policies that have bespoke tax treatment, bespoke regulatory treatment,” Jones said.

“It is designed to attract industry to defined areas, accelerate the development of that industry, and it moves away from the status quo where, historically, New Zealand never used Crown power other than [to referee] markets,” Jones added.

An SEZ could promote mining investment and growth in the West Coast – a critical mineral-rich area – by removing planning barriers since 83% of the region sits on public conservation land, according to Jones.

“Our policy [on West Coast environmental legislation] is to restructure [the Department of Conservation (DOC)] and to ensure that economic potential is a statutory obligation upon DOC, not just preservationist ideologies. [But] the area where, obviously, Kiwis do not want mining is in the national parks,” Jones said.

“Then there is the application of the Wildlife Act. This statute is grossly out of date and needs to be inverted, and we plan to do that [in Government. Finally,] there are the Resource Management [Act] (RMA) obligations where proposals have to be [viewed] against the criteria of the new RMA legislation.”

The criteria highlight the importance of mitigation, proportionality, and ensuring that economic criteria are not smothered by the ideology of zero growth, according to Jones. Parliament will pass a series of RMA reforms before the New Zealand general election on 7 November.

Jones, as New Zealand’s Resources Minister, has funded and fast-tracked multiple West Coast projects since 2024.

The New Zealand Government will give Westland Mineral Sands and Tāiko Critical Minerals up to NZ$30 million and NZ$20 million, respectively, to support ore processing plants, Jones said in a statement on 6 July.

It plans to support WMS and Tāiko through its Regional Infrastructure Fund (RIF), but has not confirmed funding arrangements with the companies.

“[The support] cannot be operationalised until those initiatives are also backed by substantial private sector fiscal firepower,” Jones told Lithos on 11 September.

“What we want to see is semi-processing in New Zealand. [But] we know that larger, more protracted manufacturing processes will not be able to take root in New Zealand,” Jones said.

“We know [based on international context] that we don’t have the situation where we can sustain such intense processing activity in New Zealand.”

“The mining sector already attracts international [and domestic] investment. [But] where processing gets tricky is what will be the tolerance of New Zealand communities to have processing enterprises that may generate a level of negative externality that hitherto has never been seen in New Zealand.”

“For those reasons, other countries are always going to tolerate less exacting environmental standards than would be demanded in New Zealand for full-scale processing.”

New Zealand First’s support for manufacturers extends beyond creating SEZs. The Party wants to support manufacturers and households by breaking up gen-tailers, signing long-term firming contracts, and creating a new electricity regulator.

“[New Zealand First will focus on] ensuring that [electricity] supply can be expanded, but the real difficulty we’ve found is that far too much control and power is exercised by the gen-tailers, and we need to break them in half to make them focus on their core business, which is to expand the supply of electricity.”

“We [also] want a single [electricity] regulator because we’ve lost confidence in what I call the chocolate teapot, the Electricity Authority. They no longer are able to deliver what New Zealanders need, which is [the] affordable, secure supply of electricity.”

“The market is manipulated by the gen-tailers because the gen-tailers own their customers and … have control over firming capacity.”

New Zealand First’s plan to expand electricity supply will see the Government purchase long-term firming contracts from project investors to give them the incentive to mobilise capital and work through consenting processes, according to Jones.

“[The contracts] will not be at a subsidised rate. They will bring power prices down subject to the arrival of new sources of supply,” Jones said.

The Party’s planned contracts will support all kinds of firming projects, including coal, diesel, and gas plants. “We don’t see, in the foreseeable future, an option where New Zealand won’t rely on fossil fuels in adverse circumstances, when we need to keep the lights on,” Jones said.

“But I’m imagining that the vast majority of the [electricity] product coming to the market will be either wind or solar,” Jones added.

Offshore wind projects will be eligible for New Zealand First’s planned firming contracts, but need to be economically viable at market-competitive electricity prices.

“[New Zealand First is] not of the view that offshore wind is economically feasible. We think that if it ever does get built, it will be built in association with developments in Australia, because our market is too small.”

“So anyone promoting offshore wind will have to get a guaranteed price, and our desire to create products to incentivise new investment is not a guaranteed price; it’s a guaranteed take … You know you have a customer, you have to secure the customer permanently by being price competitive.”

“It’s important [to] bear in mind that most offshore wind [projects] we’ve discussed and investigated have a guaranteed floor price [which the policy does not have].”

New Zealand First is also open to the use of biofuels within New Zealand’s energy system, as long as they are cost-competitive, Jones suggested.

“There has been no policy made – and we will finalise our manifesto coming up – as to whether the Crown should derisk the production of [biofuels],” Jones said. “There is always a risk when you commit Crown resources to new frontiers of energy development,” he added.

When asked about the Party’s position on production tax credits for biofuel projects, Jones noted that “the [Emissions Trading Scheme], when it’s reformed, may represent an opportunity for [production] credits because [biofuel developers] are presumably creating a product that is less carbon intensive.”

“But all of that lies in the future,” Jones noted.

Beyond financial support, the Government has been reluctant to mandate the use of biofuels in the aviation sector to protect New Zealand’s competitiveness. But it will likely follow the Australian Government’s lead once it introduces a mandate, Jones said.

“We’ve done quite a lot of work [on a biofuel mandate] over the last three years. [But] until such time as it’s price-competitive, it’s difficult to see how it will materialise,” Jones said.

The Australian Government plans to introduce a biofuel mandate in 2029. But Bioenergy Australia Chief Executive Shahana McKenzie has called for the mandate to be brought forward to 2027, according to recent reports from Argus Media.

The company’s long-term commitment will deliver jobs and increase Queensland’s electricity supply, Crisafulli said. “[Data centres] must add energy generation to the grid and drive down power prices for Queenslanders. [They] must protect local water supplies and respect [local] communities,” Crisafulli added.

Developer Zerra DC plans to build the Western Downs Digital Park in four stages, beginning with a 36,000 square metre data centre, the company told the Western Downs Regional Council in an August development application. Anthropic will use the park’s first data centre from 2027, according to Crisafulli.

Zerra DC expects each stage of the Western Downs Digital Park to consume up to 540 megavolt-amperes (MVA) of power. But each stage’s actual power use will depend on user demand, according to the company.

Zerra DC has not developed energy generation projects linked to the Western Downs Digital Park, but may soon need to. The Federal Government plans to require data centre developers to build new renewable generation, underwrite power costs, and pay for grid connections from early 2027, Prime Minister Anthony Albanese said on 15 July.

The Queensland Government will be able to apply to exempt itself from the Federal Government’s renewable generation rule if it can supply non-renewable energy at a lower cost than renewable energy, Bowen said on 29 August.

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But the Federal Government expects to apply its data centre standards nationwide. “There [will be] no carve-out for Queensland or the Northern Territory. There [will be] no card that they can play to say we don’t have to comply with [data centre development] rules,” Bowen said.

The Western Downs Digital Park will consume 21,000 litres of water each day, which Zerra DC expects to secure by treating rainwater and recycling water from gas plants. The development – which is located in the grain-rich and livestock-rich Darling Downs – is unlikely to consume groundwater, according to Zerra DC.

By Avinash Govind

The Government views an extension to its State of Emergency – which is set to expire on 30 September – as needed to ensure certainty for businesses in its mining and agriculture sectors, multiple ministers said in a joint statement on 16 September.

Fuel suppliers have given the Government weekly reports about their diesel and petrol stocks since early April, largely because of the State of Emergency declaration. Officials have used supplier reports to identify and address local shortages, the ministers said.

“Our access to detailed supply chain information - from port to petrol pump - has kept WA moving throughout the fuel crisis,” Energy Minister Amber-Jade Sanderson said. “Extending the State of Emergency is a proactive and responsible measure that will ensure we continue to have a clear view of supply chains,” Sanderson added.

The WA Government’s State of Emergency request comes alongside a recent rise in Brent crude futures prices and escalating conflicts across the Persian Gulf.

Brent crude futures traded at $105.71/barrel on 16 September, higher than at any point since mid-May, likely because of Yemen-based attacks on Saudi Arabian oil infrastructure and the continued closure of the Hormuz Strait.

And prices could rise further. The International Energy Agency expects global oil supply and demand to fall by 5.7 million barrels per day and 2.5 million barrels per day over 2026, respectively, it said on 11 September.

Saudi Arabia closed its East-West oil pipeline – which links the Abqaiq oil field to the Red Sea, bypassing the now-closed Hormuz Strait – on 10 September because Yemen-based Houthi rebels attacked it.

“Technical teams responded immediately [to] the attacks, taking [steps] to secure the pipeline and assess its safety in line with approved … emergency response plans,” Saudi Arabia’s Ministry of Energy said on 12 September.

“The pipeline was shut down as a precautionary measure … [and] further developments will be announced in due course,” it added.

Houthi rebels and Saudi Arabian forces have periodically traded fire since March 2015, when a Saudi-led coalition intervened in the Yemeni Civil War to support exiled President Abdrabbuh Hadi.

Saudi Arabian-led forces have repeatedly launched indiscriminate attacks on Yemeni hospitals, schools, and crowded markets since 2015, according to Amnesty International. Houthi rebels have similarly launched indiscriminate attacks on Yemeni civilian areas, and attacked Saudi Arabian-linked airports, ports, and oil infrastructure.

“All the parties to [the Yemen conflict] have displayed a ruthless and wanton disregard for the safety of civilians,” Amnesty International Senior Crisis Response Advisor Donatella Rovera said in 2015.

“Civilians in southern Yemen have found themselves trapped in a deadly crossfire between [Houthi] loyalists and anti-[Houthi] groups on the ground, while facing the persistent threat of coalition airstrikes from the sky,” Rovera added.

By Avinash Govind

The Government plans to prevent people outside of mining regions from blocking projects by changing legal objection criteria and preventing automatic Land Court referrals, it said.

Groups and people – except for Federally-protected Native Title holders – will need to be within 125 kilometres of projects, or in directly affected communities, to oppose them under the proposed law. Ministers and state officials may also prevent objections from being referred to the Land Court.

“[The reforms] will put an end to the madness that saw objections from activists [outside the state] automatically referred to the Land Court, leaving projects in limbo for years,” Queensland Mines Minister Dale Last said on 15 September.

The Queensland Conservation Council (QCC) has opposed the Government’s legislation because it will prevent communities affected by projects from effectively challenging them in court.

“In a state as vast and varied as Queensland, limiting objection rights to a 125km radius makes no sense at all. The impacts of mining on biodiversity, climate and water resources have implications far beyond this arbitrary 125km limit,” QCC Acting Director Anthony Gough said.

Queensland’s proposed Land Court changes also let Ministers pick which community objections get heard in open court, and which projects get waved through, Gough added.

But the Association of Mining and Exploration Companies (AMEC) has backed the Government’s proposals because they could speed up approvals and support mine developments.

“Queensland has enormous resource potential, but projects need an approvals system that is efficient and focused on resolving genuine issues rather than creating unnecessary delays,” AMEC Chief Executive Officer Warren Pearce said.

Environmental groups often challenge Queensland mine projects in court. In May, the Mackay Conservation Group (MCG) opposed Glencore’s Hail Creek coal mine expansion over climate and habitat destruction concerns, MCG Coordinator Emma Barrett said. One year earlier, MCG objected to Whitehaven Coal’s Winchester South project on similar grounds.

MCG’s cases against Glencore and Whitehaven Coal are ongoing.

By Avinash Govind

“The dispute is deadlocked; there are significant … issues that are little closer to resolution today than they were at the start of talks,” CBPU said on 15 September. “There is no reasonable chance that an agreement will be reached without [FWC arbitration],” it added.

CBPU will ask the FWC to make an intractable bargaining declaration – preventing strikes at Port Hedland – and begin arbitration processes later this week.

BHP’s focus remains on delivering a fair and reasonable agreement for everyone at Port Hedland, a spokesperson told Lithos on 15 September. “[The company believes that] continuing constructive discussions at the bargaining table is the quickest and most direct path to an [agreement],” the spokesperson said.

CBPU negotiators rejected BHP’s latest enterprise agreement proposal – which the company first tabled on 8 September – at an FWC-facilitated meeting on 15 September, largely because of job classification concerns.

BHP’s offer included increased roster allowances and 17% pay rises over four years for most workers, a spokesperson told Lithos on 9 September. It also simplified pay structures, Lithos understands.

But the proposed agreement would have moved Port Hedland workers onto a single employment tier, hurting around 40% of covered staff, according to Electrical Trades Union Western Australia (WA) Secretary Adam Woodage.

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“BHP’s strategy has been to divide the workforce by giving more to some workers and less to others; that’s not [on. Workers] see straight through that; they are resolved to get a fair deal for everyone,” Australian Workers Union Assistant Western Australian Secretary Craig Beveridge said on 15 September.

“[The company’s offer] recognises the important work our team does every day, provides greater certainty about pay, resolves issues raised by our workers, and delivers a fair outcome for everyone at port,” a BHP spokesperson said on 9 September.

CBPU’s planned intractable bargaining request follows months of industrial action. Unionised workers at Port Hedland launched two rounds of work stoppages in July-August, but did not substantially disrupt ship loadings. They can launch an unlimited number of consecutive stoppages under strike authorisations passed in June-July.

By Avinash Govind

KordaMentha paused Whyalla’s blast furnace in April and worked to bring it back online for five months. “[But] it is no longer sustainable to continue [furnace] recovery [work],” the administrator said on 14 September.

Hundreds of workers – including around 500 employees and 100 contractors – will lose their jobs because of the furnace closure. “Our immediate priority is to support affected [staff], provide clarity [around] options, and engage … with employees, unions, and [others],” joint administrator Sebastian Hams said.

The South Australian (SA) and Federal Governments have created an A$10 million job transition package to support Whyalla workers, multiple ministers said in a joint statement. They stood up the Whyalla Worker Transition Centre, on 14 September, to offer training, financial information, career support, and wellbeing support to workers.

“Our focus is on supporting workers now while creating the conditions for a new owner to invest in a stronger, more sustainable future for Whyalla,” Federal Industry Minister Tim Ayres said.

The Federal and SA Governments have co-funded Whyalla support packages before. They jointly announced A$2.1 billion in financial packages to support the plant, its workers, and small-scale creditors over 2025.

GFG Alliance – a Sanjeev Gupta-owned network of manufacturers – operated OneSteel until the SA Government forced it into administration in February 2025 over A$1.3 billion of debts. Months later, in June 2025, KordaMetha opened a sales process for the steelworks.

The administrator has shortlisted two bidders for the plant, Ayres and SA Premier Peter Malinauskas said on 27 May. “[Either bidder will deliver] a long-term, modern, low-emission sovereign steelmaking business [at Whyalla],” Malinauskas said.

Australian producer M Resources and Indian manufacturer Jindal Steel are the two bidders for the plant, according to reporting from the Australian Financial Review. M Resources has partnered with hydrogen developer Hazer to develop a low-carbon Whyalla bid, it said in December 2025.

KordaMetha’s blast furnace closure comes weeks after the GFG Alliance-owned Liberty Bell Bay smelter – Australia’s only ferro-alloy plant – entered liquidation on 3 August. GFG Alliance halted production at Liberty Bell Bay in May 2025 because of ore supply issues, Tasmanian Industry Minister Eric Abetz said at the time.

By Avinash Govind