Record $2.9m penalty for mine's unlicensed water take to fund rehab of heritage-listed swampBBy Brooke ChandlerABC IllawarraTopic:Environment25m ago25 minutes agoThu 1 May 2025 at 5:58amProject participants have already started removing weeds at Wingecarribee Swamp. (Supplied)In short: A record payout from a mining company that drained millions of litres of Sydney surface water without a permit will fund the rehabilitation of a heritage-listed swamp.It's part of a $2.9 million enforceable undertaking between Illawarra Coal Holdings Pty Ltd and the Natural Resources Access Regulator.What's next? The community project has been welcomed by environmentalists and is expected to be complete by mid-2027. abc.net.au/news/wingecarribee-swamp-rehabilitation-dendrobium-mine-payout/105237696Link copiedShareShare articleAn agreement between the New South Wales water regulator and a mining company that drained millions of litres of surface water from Sydney's drinking catchment without a permit will fund the rehabilitation of a heritage-listed swamp.The Natural Resources Access Regulator (NRAR) entered an Enforceable Undertaking (EU) worth $2.9 million with South32, the former owner of Illawarra Coal Holdings' Dendrobium Mine, in 2023.The watchdog found the mine drained up to 5 megalitres of water a day, the equivalent of two Olympic swimming pools, between 2018 and 2023 without a licence.At the time the EU was agreed, it dwarfed the previous largest agreement obtained by the watchdog, which was approximately $360,000.NRAR confirmed that as part of the deal, Illawarra Coal Holdings would fund a three-year program to restore 340 hectares of Wingecarribee Swamp in the NSW Southern Highlands.Wingecarribee Swamp is a unique montane peatland rich in flora and home to the endangered giant dragonfly.Wingecarribee Swamp is a remnant of a late glacial swamp overlying prehistoric sandstone. (Supplied)NRAR director of investigations and enforcement Lisa Stockley said the swamp was an important area in the Sydney drinking water catchment."While they did have groundwater licences, they didn't actually have surface water licences," she said."[Wingecarribee Swamp] was chosen because water was taken from the Sydney water drinking catchment and it plays a very important part in the water quality."Lisa Stockley says funding the rehabilitation project at Wingecarribee Swamp is a great outcome. (Supplied)Improved surface water monitoringEstablished in 2002, Dendrobium Mine is an underground mining operation at Kembla Heights that primarily produces metallurgical coal.It is a supplier to Australia's biggest steelmaker, Bluescope Steel, at nearby Port Kembla.Illawarra Coal Holdings Pty Ltd was owned by South32 at the time of the breach, before it was sold to mining consortium GM3 in August 2024.Dendrobium Mine at Kembla Heights, south of Sydney, is now owned by company GM3. (ABC Illawarra: Kelly Fuller)Ms Stockley said GM3, as the mine's current owner, had responsibility for managing "the expenditure of the funds"."[Illawarra Coal Holdings Pty Ltd] was required to pay a sum of money to NRAR in regard to the investigation costs and monitoring costs of this EU," she said."They are looking at a whole range of compliance agreements and are looking at better ways of monitoring surface water take."Historical damage to stayAccording to NRAR, Wingecarribee Swamp has a long history of environmental disturbance, including peat mining in the 1960s, the creation of a reservoir in 1974 that flooded 50 per cent of the original swamp, and a huge structural collapse of the peat beds in 1998.Ms Stockley said the rehabilitation project, involving the Illawarra Local Aboriginal Land Council and landholder Water NSW, would not be able to fix some of these significant historical issues.The endangered giant dragonfly is found in Wingecarribee Swamp. (Supplied)"We acknowledge it's not a restoration project. It can't be restored, but the area can certainly be improved," she said.The restitution works are expected to facilitate training and employment opportunities and will include vegetation surveys and weed removal, as well as the identification of threatened species like the critically endangered Wingecarribee gentian and endangered leek orchid.Ms Stockley said the project was a great example of "restorative justice", delivering direct benefits to the community and the environment."It's a good outcome," she said.Calls for environmental rehab fundMs Stockley said EU's were "really effective enforcement tool" that could help avoid lengthy court processes."But if the undertakings aren't abided by, NRAR would take the matter back to court," she said.Georgina Woods is head of research and investigations at the Lock The Gate Alliance. (Supplied)Georgina Woods, from national grassroots organisation Lock The Gate Alliance, echoed this sentiment but said there should be more ways to hold mines accountable and for rehabilitation works to occur."NSW doesn't have in place a fund to ensure there is money in the future for long-term rehabilitation from coal mining," she said."This outcome … draws attention to the need to put in a place a fund so that we can keep on funding project like this."The rehabilitation is expected to be complete by mid-2027.GM3 and South32 declined to comment.Posted 25m ago25 minutes agoThu 1 May 2025 at 5:58amShare optionsCopy linkFacebookX (formerly Twitter)Top StoriesCoalition releases its policy costings two days out from the electionLIVEPhoto shows A man in a navy suit Coalition costings reveal worse budget for first two years under Dutton compared to LaborBREAKINGPhoto shows Peter Dutton and Angus Taylor press conferenceDutton hints at campaign failure as polls show Albanese majority in sightTopic:Government and PoliticsPhoto shows Peter Dutton election shadowsErin Patterson tried to persuade ex to attend fatal lunch, court hearsLIVEPhoto shows Simon Patterson walks through a sunlit carpark, dressed in a black suit and blue tie.Nampijinpa Price contradicts Dutton, asserting Coalition will end school 'indoctrination'Topic:Public SchoolsPhoto shows Jacinta Price speaks while Dutton stands behind her listening. 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