Ulan Coal Mines v Minister for Mineral Resources (No. 2)

Ulan Coal Mines Limited (the appellant) appealed to the Court of Appeal of New South Wales against orders made by a single judge of the Supreme Court of New South Wales. The dispute concerned the validity of a development consent granted by the Minister for Mineral Resources (the first respondent) to Ulan Coal Mines for the expansion of its open cut coal mine. The second respondent, the Nature Conservation Council of New South Wales, was also involved in the proceedings.

The primary legal issue before the Court of Appeal was whether the primary judge had erred in law by failing to grant an injunction to restrain the Minister from granting the development consent, and by refusing to quash the consent. This involved determining whether the Minister had properly considered the environmental impact statement and other relevant matters in accordance with the *Environmental Planning and Assessment Act 1979* (NSW).

The Court of Appeal found that the primary judge had correctly determined that the Minister had not erred in law in granting the development consent. However, the Court of Appeal held that the primary judge had erred in making an order with respect to the costs of the hearing before him. The Court reasoned that the parties should bear their own costs of the primary hearing, as the proceedings had raised important questions of law and policy.

Consequently, the Court of Appeal allowed the appeal in part, quashing the primary judge's costs order and directing that the appellant and the second respondent bear their own costs of the hearing before the primary judge. The Court otherwise dismissed the appeal, and ordered that the second respondent pay 75 percent of the appellant's costs of the appeal.