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Tuesday, 10 May 2011
Page: 2204

Export Finance and Insurance Corporation

(Question No. 349)

Senator Ludlam asked the Minister representing the Minister for Trade, upon notice, on 13 December 2010:

Has the Export Finance and Insurance Corporation (EFIC) provided any services, assistance, funding or insurance to Australian coal companies or coal projects operating overseas; if so, can details be provided of what has been provided, to which company and to what project; if not, can details be provided clarifying whether there is anything preventing coal projects or companies from accessing EFIC assistance in the future.

Senator Conroy: The Minister for Trade has provided the following answer to the honourable senator's question:

In the past 12 months, the Export Finance and Insurance Corporation (EFIC) has participated in a trade receivables purchase facility between Westpac and entities of Anglo American Metallurgical Coal Pty Ltd. The receivables relate to purchases of various grades of coking coal by ArcelorMittal, a Luxembourg-registered company.

Under its mandate EFIC has no bias in its support for any specific sector and is reactive to requests for support from any Australian exporter. As such, there is nothing preventing coal projects or companies from seeking EFIC's assistance. EFIC may provide support to coal projects or companies if they comply with EFIC's environmental and social requirements; the projects are technically and commercially viable; and there is a 'market gap' for the financial support.