Officials have given the green light to a AU$100 Million project to improve the quality of water in Coxs River, which runs into Sydney's drinking water catchment.

Coxs River/Wikipedia

The Springvale Water Treatment Project will construct a pipeline to divert salty water discharges from Springvale mine near Lithgow to Mount Piper power station for treatment. Katie Brassil from Centennial Coal, which owns the mine, says the project will secure jobs at Springvale and the power station. 

"Job security in a regional area is absolutely paramount, as is energy reliability, and I'm sure that the Lithgow community is going to be very pleased with this outcome," she said, adding that the project will address environmentalists' concerns about the wastewater being released into Sydney's drinking water source:  "We've actually delivered on the commitment that we made," she said.

Activists are taking the win for the environment, but question the two-year timetable to complete the project.

"We're very happy about that; we just wish that it happened many years ago," said Keith Muir, director of the Colong Foundation.  "I don't see why the environment has to wait all this time before it improves, and you have to remember that this is the drinking water supply for Sydney we're talking about."