The Galilee Coal Project Cost-Benefit and CGE Analysis (2022) assesses the economic viability of the proposed coal mine in Queensland’s Galilee Basin. Prepared by BIS Oxford Economics for Waratah Coal, the study applies a Cost-Benefit Analysis (CBA) and a Computable General Equilibrium (CGE) model to evaluate direct and economy-wide impacts. Using a 7% real discount rate, the CBA estimates a positive net present value to Queensland of approximately AUD 4.1 billion from mining operations alone, mainly driven by producer surplus, royalties and tax revenues. When rail and port transport costs are included, the net benefit declines to about AUD 2.5 billion but remains positive. Externality costs are relatively small in the modelling. The CGE analysis indicates broader gains in output, employment and regional income, subject to assumptions about sustained international demand for thermal coal.
