Australia's advertising regulator has found that a "responsible mining" advertisement breached its Environmental Claims Code.
The Environmental Defenders Office lodged a complaint on behalf of Plains Clan of the Wonnarua People elder Scott Franks who claimed the NSW Mining YouTube advertisement was misleading.
The advertisement claimed that "in NSW, we mine responsibly for today and tomorrow" and that "there are teams like us all over NSW restoring the land being used for mining."
Mr Franks said the advertisement implied that coal mining was a sustainable practice and that NSW Mining and its members were making a special effort to engage in extensive restoration and rehabilitation efforts, without disclosing to viewers that they were legally required under their licences and approvals to undertake mine rehabilitation activities.
Mr Franks said it was well established that the development of new fossil fuel supply would hinder tackling climate change and the net zero energy transition. Despite this, NSW Mining's members continue to pursue current coal projects as well as substantial new and extension and expansion projects.
He said NSW Mining only emphasised the positive activities it and its members had undertaken, without providing any information regarding the detrimental impacts of mining, particularly relating to climate change contrary to the environment code.
In NSW, all exploration licences, mining leases and production leases contain specific conditions requiring rehabilitation. Licence and lease holders are required to comply with these conditions as well as the statutory requirements set out in the legislation.
Mr Franks said the rehabilitation of mine sites was only necessary due to the severe degradation caused by mining activities.
The Australian Competition and Consumer Commission's draft guidance on environmental and sustainability claims states "you should not make claims that your product, service, or business has a specific environmental benefit if... That environmental impact is a legal requirement (and you don't make this clear but instead represent that your business is doing something special to achieve an environmental benefit)."
Ad Standards found that that ad gave the misleading impression that the restoration and rehabilitation efforts were solely the initiative of Mining NSW's members, suggesting that they were exceeding their obligatory duties.
It found the ad breached the Environmental Code and NSW Mining in response removed the ad from YouTube and adjusted their website information
Ad Standards rejected the sustainable mining claim as they found the advertisement was unlikely to give the average consumers the impression coal mining was sustainable.
A NSW Minerals Council spokesman said the council had complied with the AdStandards determination and also noted that several related complaints were dismissed.
"We will continue to inform the community of the important rehabilitation activities that are an integral part of the mining process in NSW," he said.