September 22, 2017 - The Minerals Council of Australia's no holds barred campaign for new coal power stations to be built in Australia has triggered the early departure of the lobby's chief executive Brendan Pearson after BHP Billiton put its membership up for review.

The Minerals Council today announced the resignation of Pearson, a nine-year veteran of the mining industry's successful battles to stop the former Labor government's mining tax and carbon tax.

Brendan Pearson, CEO of Minerals Council of Australia, in his office in Canberra.

Photo by Alex Ellinghausen

"BHP has got their man," said a source familiar with the matter. "BHP and Rio Tinto were not always comfortable with his coal advocacy". 

BHP, the largest member of the Minerals Council, said on Tuesday it was reviewing its membership.

Dr. Vanessa Guthrie, Chair of the Minerals Council of Australia speaks at the Austmine 2017 conference.

Photo by Trevor Collens, Austmine

Its Australian mining boss, Mike Henry, said industry associations do a lot of good for broader society, debate and diversity of opinion but "from time to time you're going to have a difference in opinion". He said BHP was a strong supporter of the Finkel Review of energy and the Clean Energy Target, which is being held up by pro-coal forces in the government. 

"We need clear, stable, refreshed energy policy that enhances the structure and operation of the market while realising the emissions reductions that are so important for us to achieve," Henry said.

Lost Causes

Pearson took over from Mitch Hooke as chief executive in January 2014 just as the Minerals Council was taking over the formerly independent Uranium Association and Coal Council on the understanding it would continue to fight for coal and nuclear power in Australia. 

But life became more complicated as wind and solar energy became cheaper and the economics and public acceptance of coal power waned, while nuclear power never gained public acceptance and members like BHP and Rio came to see them both as lost causes in Australia. His current contract as chief executive was due to expire at the end of the year.  

BHP's Mike Henry speaking at The West Australian's Leadership Matters event.

Photo by Philip Gostelow 

"I think his view was that if you let whatever movement win on coal then they'll tick that box and move onto the next thing, and I think that drive his strident activism," the source said. 

"Brendan Pearson has been a pretty loyal servant of the industry. He has been involved in a lot of activities that have saved the industry a lot of money," he said, citing the battles against the mining and carbon taxes as well as the successful defence of the fuel tax credit for off road heavy vehicles. 

Minerals Council chair Vanessa Guthrie thanked Pearson on behalf of the board and the membership. "Brendan and his team have advanced the interests of the minerals sector significantly across a broad spectrum of issues.  He led the MCA during a period of economic downturn in the sector and was able to maximise the organization's impact with forthright and thoughtful advocacy," Dr. Guthrie said.

Privilege

Pearson said it had been a privilege to hold senior leadership positions in the MCA during a period of significant challenges for the industry and the nation. 

"I am especially pleased that we have built coalitions of interest across a range of policy issues and deepened and broadened our co-operation with the broad policy community. Consistent with the MCA tradition, our policy advocacy has been vigorous but constructive and evidence-based. The industry has been prepared to tell its story and articulate its case and it is important that this continue.

"Particular challenges to the coal, iron ore and gold sectors have been (and continue to be) met resolutely, while amalgamations with uranium and coal sector bodies have been productive.  The mining and carbon taxes have been repealed, there is bipartisan support for the Fuel Tax Credits scheme and I am confident there will be much-needed reform of the GST distribution system over the next 12 months," Pearson said. 

Pearson will leave the organization in mid-October. David Byers will be acting chief executive during the transition to new leadership.