The Hunter needs clear and binding commitments this Federal election to avoid a region-wide downturn in an unstable global economic climate, Muswellbrook Mayor Jeff Drayton, Hunter Business CEO Bob Hawes, and Hunter Workers Secretary Leigh Shears have said.
Imminent mine closures in Muswellbrook and the wider Hunter will compound a decline in coal exports from the Port of Newcastle, putting thousands of jobs at risk and presenting an economic and moral test for the next Parliament.
Muswellbrook, at the heart of Australia’s mining and energy sector, faces a generational shift that could push any community to its limits.
The scheduled closures of BHP’s Mount Arthur and Mangoola mines place up to 12,000 jobs at risk in the Hunter over the next five years.
These closures will also impact employment in Newcastle, putting additional strain on the Port of Newcastle, Australia’s largest coal export hub, which could see a 25% reduction in coal exports.
Muswellbrook Mayor Jeff Drayton said the economic and social upheaval in mining and energy, combined with a perfect storm of trade instability, could devastate Hunter communities without Federal action.
Muswellbrook Mayor Jeff Drayton“We need action now. Without Federal intervention, Muswellbrook and the Hunter are on the brink of the largest industrial closure in NSW’s history, eclipsing the BHP steelworks closure in 1999, which resulted in the loss of 3,000 jobs.
“If that’s not among the top issues for every side of politics, every Hunter MP and candidate, I don’t know what is,” Mayor Drayton said.
“If the federal government, whoever that is by the end of May, doesn’t step up with concrete investment and support for our Hunter communities, we risk losing thousands of jobs and, frankly, our kids’ future. This is the election where it needs to happen for the Hunter, from pit to port, Muswellbrook to Newcastle.
“A downturn in coal exports won’t just hit mining communities like ours but the whole State, from workers at the coal port to rail operators and everyone in between. Federal intervention must deliver jobs in the Hunter and bring in new industries to create sustainable employment for future generations.”
Hunter Business CEO Bob Hawes said clarity for investment should be a priority in the upcoming Federal election.
Hunter Business CEO Bob Hawes"Whichever way you view it, the future transformation of parts of the Hunter economy is going to be complicated. The community, business, and government should be doing everything possible to understand and prepare for this change so that any negative impacts can be mitigated, and positive opportunities maximised," Mr Hawes said.
“We hear various scenarios about the energy transition and decline of the mining sector in the Hunter, and while there is uncertainty about when this will fully materialise, one thing is clear – the process has already begun. History shows us that how well a community and economy respond to change depends on how well they prepare for it. That requires collaboration and, urgently, attention at a federal level this election.”
Hunter Workers Secretary Leigh Shears reinforced the need for targeted support, saying real investment in transition programs is vital to provide confidence to workers and communities as the region undergoes economic and energy shifts.
“Tangible solutions, targeted commitments, funding, and support are necessary to give workers and communities the confidence they need. There have been policy announcements with significant funding commitments that offer some reassurance, but without dedicated attention, worker transition programs, and clear pathways for investment in new industry—particularly for regional communities—it’s easy to understand why workers and their families across the region feel uncertain about the future,” Mr Shears said.
Hunter Workers Secretary Leigh Shears"The opportunities are right in front of us, from biodiversity, land reclamation, and tourism to the expansion of industrial precincts and manufacturing. The Hunter has the potential to become a model where no one is left behind—where communities continue to grow and prosper. From the pit to the port, we need a plan that ensures a just transition for all.”
Both Muswellbrook Shire Council and Business Hunter have put forward key proposals to counter an economic downturn in the region, calling for:
- An Economic Diversification Fund – A federally backed fund to support new industry investments, particularly in renewable energy, advanced manufacturing, and agribusiness.
- Infrastructure Investment – Prioritising critical projects such as the Hunter Growth Infrastructure Fund, expansion of Thomas Mitchell Drive Industrial Precinct, the Sandy Hollow Pipeline, and a water pipeline from Glenbawn Dam to support new industry development.
- Workforce Transition Programs – Expanding job retraining initiatives, including vocational education programs at TAFE NSW and university-backed workforce development, to upskill workers for emerging industries.
Singleton Mayor and Hunter Joint Organisation Chair Sue Moore backed the importance of a united Hunter voice.
“The large-scale job losses we’re facing in the Hunter are a challenge for all of us, at all levels of government, from pit to port,” Mayor Moore said.
“As the Chair of the Hunter Joint Organisation, we join Mayor Drayton in this call for urgent Federal action for our Hunter communities.”
