Clean coal misleading, says Greenpeace

AUSTRALIA - The state and federal governments have committed $150 million to the proposed development of a new 400 megawatt coal-fired power station in Gippsland's Latrobe Valley.

Greenpeace argues Power Company HRL Limited's use of the term 'clean coal', is deliberately misleading and a potential breach of the Trade Practices Act.

The energy campaigner, Mark Wakeham, says the State Government's own data suggests a new station would increase Victoria's greenhouse emissions by more than 2 million tonnes each year.

"The ACCC wouldn't let tobacco companies get away with calling mild cigarettes healthy cigarettes, and they shouldn't be letting a company planning to build a polluting coal-fired power station get away with the term 'clean coal'," he said.

Greenpeace says it is acting on solid legal advice in making the claims.