Peak Oil

- versus - 

3rd May 2006

Fax to Q-Super from Mrs. Kim Bax (re warning against investing in the Brisbane Tunnel from a member - with key information and circulation list) - 3rd May 2006

"Goodmorning,

I am a member of the Queensland Government superannuation fund, Q-Super . . . . . "

11th May 2006      

Reply from Q Super - 11th May 2006

"Dear Mrs. Bax,

QSuper Investments

Thankyou for your fax dated 3 May regarding investing in the proposed Brisbane North-South Bypass Tunnel ("the Bypass Tunnel") . . . "

18th May 2006

Further reply from Mrs. Kim Bax emailed on the 18th May 2006

"Dear Don,     

Thankyou very much for your letter to me dated 11th May 2006, in relation to my concerns over potential investments in the proposed Brisbane North South Bypass Tunnel . . . "

18th May 2006

Email sent to QIC from Mrs. Kim Bax on the 18th May 2006

"Goodmorning,

Re:- Potential investments in the Brisbane North South Bypass Tunnel, in relation to QSuper

I am a member of QSuper, and on the 3rd May 2006 I sent them a fax about serious problems associated with any potential investments in the proposed Brisbane North South Bypass Tunnel . . . "

19th May 2006

Response from the QIC  - 19th May 2

19th May 2006

Further response from Mrs. Kim Bax to the QIC - 19th May 2006

23rd May 2006

Further email from Mrs. Kim Bax, 23rd May 2006, to both Q Super & QIC

 24th May 2006

Further question from Mrs. Kim Bax, 24th May 2006, to both Q Super & QIC

24th May 2006

Another question from Mrs. Kim Bax, on the 24th May 2006, to both Q Super & QIC

25th May 2006

Questions from Kim Bax to Peter Beattie & Campbell Newman (25th May 2006).  Copy sent to Q Super & QIC

"Dear Campbell & Peter, 

Two very direct questions for you, about the ultimate profitability (or otherwise), of the Brisbane North South Bypass Tunnel. 

1. What's your direct response to "The Hirsch Report"?

 2. What's your direct response to millionaire energy banker Matt Simmons assertion that:- 

"Oil use will always equal supply plus stock liquidation." . . . . ."

5th July 2006

A Reminder to the Queensland Investment Corporation

"Goodmorning, 

Over one calendar month ago (May 2006), I sent the board and management of QIC some questions about the risks associated with investing pension money in the planned "Brisbane North South Bypass Tunnel," in the light of widely acknowledged global oil depletion. As of todays date, 5th of July 2006, these questions have neither been acknowledged, or answered . . . . "

11th August 2006

A Further Reminder to the Queensland Investment Corporation

"Re:- 3 month old unanswered questions about investing my pension fund in the The Brisbane North South Bypass Tunnel, in relation to global oil depletion

 Goodmorning, Almost 3 months ago, on the 19th May 2006, I sent you these questions about investing my money in the North South Brisbane Bypass Tunnel, taking into account global oil depletion:- . . . . "

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11th August 2006

Response from the QIC  - 11th August 2006

Dear Mrs Bax I have been requested to respond to you . . . .

12th August 2006

A Further response from Kim Bax to QIC

Dear Andrew, 

If you check out this web page of mine:- http://www.kimspages.org/qsuperletter.htm 

You'll see that I have (very obviously), already written to Q Super on these matters, on the 3rd May 2006 . . . . 

Fax sent to Q-Super from a member, Mrs. Kim Bax (re warning against investing in the Brisbane Tunnel from a member - with key information and circulation list) - 3rd May 2006                                                                                                                                                                                            (Back to top)

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From Mrs. Kim Bax  (address supplied)

Wednesday 3^rd May 2006

Page 1 of 4

This fax is addressed to:-

Gerard Bradley – Under Treasurer & Chairman of the Board

Linda Apelt – Board Member

Terri Hamilton – Board Member

Tony Hawkins – Board Member

Helen Ringrose – Board Member

Chris Barrett – Board Member

Karen Peut – Board Member

Gary Ryan – Board Member

Steve Ryan – Board Member

Gary Wilkinson – Board Member

Rosemary Vilgan – Chief Executive Officer

Alex Beavers – Chief Strategy Officer

Don Kofoed – Chief Operating Officer

Cliff Kaye – Chief Financial Officer

Peter Lockington - General Manager, Finance

Lyn Melcer - General Manager, Superannuation Policy

David Wood - General Manager, Operations

And please circulate copies to:-

Michael Irving - General Manager, Marketing & Development

Anne Murchison - General Manager, Member Services

Greg Hoskin - General Manager, Information, Communication & Technology

Sonya Sawtell-Rickson - General Manager, Investment Services

Barry Cook - General Manager, Insurance Management

Donna Wright – Manager, Human Resources & Administration

Graham Smith – Manager, Business Solutions

Chris Iddon – Manager, Portfolio Management Office

Goodmorning,

I am a member of the Queensland Government superannuation fund, Q-Super.  I was concerned to read this in "The Courier Mail" (of the 27th April 2006 ), in regard to the mooted Brisbane North South Bypass Tunnel:-

"Investors will have the opportunity to buy securities in the tunnel project."

http://www.couriermail.news.com.au/story/0,20797,18946264-5003660,00.html

It concerned me even more when I read these warnings (April 2006):-

"Ever-increasing oil prices will mean serious risk for investments in the Brisbane North-South Bypass Tunnel,"

And:-

"Superannuation fund managers who do not closely assess the risks that Peak Oil will bring will have more than retirees' incomes at stake.  ASPO-Australia will be approaching regulatory authorities to increase the level of oversight of high-risk investment options like the Brisbane tunnel."

These serious reservations were expressed by Bruce Robinson, convenor of the Australian branch of "The Association for the Study of Peak Oil and Gas (ASPO)."  This is a world-wide organisation, made up of scientists who have worked in the oil industry for years.  Here's a link to the full text:-

http://www.aspo-australia.org.au/content/view/100/1/

Mr. Bruce Robinson's concerns are more than backed up by the recent USA Government "Hirsch Report."  Here's some relevant links in regard to that:-

Firstly, the “Wikpedia” entry for the document:-

http://en.wikipedia.org/wiki/Hirsch_report

Secondly, Robert Hirsch’s own summary of the report:-

http://acus.org/docs/051007-Hirsch_World_Oil_Production.pdf

Thirdly, the full report itself:-

http://www.netl.doe.gov/publications/others/pdf/Oil_Peaking_NETL.pdf

In addition, Matt Simmons, USA multi-millionaire energy banker of many years experience (and a former Bush energy advisor), has recently released a book which strongly suggest Saudi oil reserves are in decline.  It's called "Twilight In The Desert - The Coming Saudi Oil Shock And The World Economy."  Here's a link:-

http://www.amazon.com/gp/product/047173876X/102-9608053-5082512?v=glance&n=283155

Further, arrangements are under way for me to speak to my local Chamber of Commerce (Beaudesert), on these matters.  I'll probably be showing them a recently made 27 minute DVD on the issues, called "Imposed by Nature."  Here's a link to more information on that:-

http://www.postcarbon.org/node/404

I strongly suggest you purchase and watch a copy.

Therefore (firstly), I want to ask you if Q-Super is considering investing its members retirement funds in the mooted Brisbane Tunnel (or already has) - and if so (secondly), I would wish to ask you how this can possibly be justified, in the light of the unequivocal information above.  Or does Q-Super know more than the most experienced and knowledgeable group of oil scientists and bankers on the planet?

Please DO NOT risk my retirement funds - and the funds of thousands upon thousands of other Queensland government workers - in this way.

I look forward to hearing from you.

Regards, Kim

cc – Queensland ’s Federal politicians

cc – Queensland ’s State politicians

cc – Queenland’s local councillors

cc - ASPO Australia

And a public copy posted here:-

www.kimspages.org/qsuperletter.htm

(with a space for the reply)

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Letter from QSuper dated 11th May 2006  - (received via Australia Post on the 17th May 2006):-                                                                                                                          (Back to top)

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Dear Mrs. Bax,

QSuper Investments

Thankyou for your fax dated 3 May regarding investing in the proposed Brisbane North-South Bypass Tunnel ("the Bypass Tunnel").

The QSuper Board of Trustees has a responsibility to ensure member's retirement savings are well managed.  QSuper employs QIC as its investment manager.  Before a new investment is made by QIC, rigorous research and analysis is undertaken to ensure the investment aligns with the QSuper Board's invetment mandate, and is likely to achieve the desired level of return.

Your concerns about the investment risk associated with this investment have been noted.  I can advise that to date QIC has not invested in the proposed Bypass Tunnel.  I understand that the Bypass Tunnel may be listed on the Australian Stock Exchange in the future.  If this occurs, it will be assessed on its investment merits by QIC, and other investment managers employed by QIC, to decide whether the shares constitute a good investment.

Please note that QSuper has a Socially Responsible Member investment choice option, which is designed for members who have other investment criteria.

I trust this response, made on behalf of the Board of Trusteees and management of this office, answers you enquiry.

Yours faithfully

Don Kofoed

Chief Operating Officer

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Further response from Mrs. Kim Bax (to the letter from Q Super), emailed to them on the 18th May 2006                                        (Back to top)

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Dear Don,                                                                                                                                                                                                                                         

Thankyou very much for your letter to me dated 11th May 2006, in relation to my concerns over potential investments in the proposed Brisbane North South Bypass Tunnel.

I'm very relieved to hear that - to date - no member monies have been invested in this doomed project.  Also, thankyou for your comments about the socially responsible option - it's a very worthwhile choice.  However, my concerns (at least, the ones I was writing to you about), re the viability of investment in the proposed Brisbane Tunnel project, were wholly and solely based on its' core financial credentials - something any member (whether socially concerned or not), would be acutely interested in.

Also, if as you say:-

"The QSuper Board of Trustees has a responsibility to ensure member's retirement savings are well managed.  QSuper employs QIC as its investment manager.  Before a new investment is made by QIC, rigorous research and analysis is undertaken to ensure the investment aligns with the QSuper Board's invetment mandate, and is likely to achieve the desired level of return."

Then it's inconceivable that QSuper (or the QIC), could ignore "The Hirsch Report," or severe warnings from some of the most eminent and experienced oil geologists/scientists on the planet - both of which I have referred to you.

Also, thankyou for your information about QIC.  I will be in contact with them about my concerns - and you can access my missive to them here:-

http://www.kimspages.org/qsuperletter.htm

Best wishes, Kim

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From:-                                                                                                                                                                                                                                                              

Mrs. Kim Bax,
(Address supplied)

To:-

The Board:-

Trevor Rowe | Ken MacDonald | John Allpass | Ian Brusasco AM | David Harrison | Marian Micalizzi | Maurice Newman

And Executive Management:-

Doug McTaggart | Laurie Brindle | Susan Buckley | Michael Cottier | John Gethin-Jones | Brad Holzberger

Goodmorning,

Re:- Potential investments in the Brisbane North South Bypass Tunnel, in relation to QSuper

I am a member of QSuper, and on the 3rd May 2006 I sent them a fax about serious problems associated with any potential investments in the proposed Brisbane North South Bypass Tunnel - and on the 11th May 2006, they responded. Record of this correspondence can be found here:-

http://www.kimspages.org/qsuperletter.htm

As you will see, I direct QSuper to very serious concerns from ASPO - and to the very recent USA Government "Hirsch Report."

I have some questions for you:-

1. What is your response to the concerns from ASPO?

2. What is your response to "The Hirsch Report"?

3. Could you please direct me to your internal policy documents, that currently factor in the effects of "Peak Oil" into your investment decisions?

4. Have you, as yet, been asked by QSuper to assess the viability of investing in the Brisbane North South Bypass Tunnel?

5. If and when this request is received, will your responses be factoring in an opinion from ASPO, and also taking into account "The Hirsch Report"?

I look forward to hearing from you.

Best wishes, Kim

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(cc list, "from" & correspondence/Hirsch Report links below) 

Dear Campbell & Peter, 

Two very direct questions for you, about the ultimate profitability (or otherwise), of the Brisbane North South Bypass Tunnel. 

1. What's your direct response to "The Hirsch Report"? 

2. What's your direct response to millionaire energy banker Matt Simmons assertion that:- 

"Oil use will always equal supply plus stock liquidation." 

I remind both of you that in this case, the usual political avoidance and weasel words wont't "Fly," so to speak. Why? Because I've asked both Q Super and QIC to respond to "The Hirsch Report" too. That's serious, that involves cold, hard cash - mine. And I'm not going away with that question. They WILL respond. 

I guess bankers and money men are a bit too hard nosed to believe that cars/trucks will be powered "by wind, water, hydrogen or woodchips" any time in the next 10 years (the MOST optimistic date of "Peak oil") - as Campbell asserts in his letter to me of the 19th May 2006. So I guess you'll have to come up with something better than that. Something that gives real confidence to the cash holders. However, in my view, the planet has other plans. And she always has the last word. 

Regards, Kim 

From Mrs. Kim Bax, 

(Address supplied)

cc - Brisbane City Councillors 

cc - State politicians (Qld) 

cc - Federal politicians (Qld) 

cc - Q Super 

cc - QIC 

"The Hirsch Report":-

 “Wikpedia” entry for the document 

http://en.wikipedia.org/wiki/Hirsch_report 

Robert Hirsch’s own summary of the report 

http://acus.org/docs/051007-Hirsch_World_Oil_Production.pdf 

The full report itself 

http://www.netl.doe.gov/publications/others/pdf/Oil_Peaking_NETL.pdf 

This correspondence:- 

www.kimspages.org/qsuperletter.htm                                                                                                                                                                                  (Back to top)                    (Back to section)

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To:- Queensland Investment Corporation (advisors to Q Super superannuation fund), board & management. 

From:- Mrs. Kim Bax (Q Super member), contact details below 

cc - List below 

Re:- Risks associated with investing pension money in the planned "Brisbane North South Bypass Tunnel," in the light of widely acknowledged global oil depletion. 

Goodmorning, 

Over one calendar month ago (May 2006), I sent the board and management of QIC some questions about the risks associated with investing pension money in the planned "Brisbane North South Bypass Tunnel," in the light of widely acknowledged global oil depletion. As of todays date, 5th of July 2006, these questions have neither been acknowledged, or answered. Hence this reminder. I look forward to hearing from you in due course. For your convenience, here they are again:- 

http://www.kimspages.org/qsuperletter.htm#six 

http://www.kimspages.org/qsuperletter.htm#eight 

http://www.kimspages.org/qsuperletter.htm#nine 

I would also remind you that the correspondence I refer to in this email has been officially submitted to a current Senate Committee, e.g. "Inquiry into Australia's future oil supply and alternative transport fuels." For your convenience again, here it is:- 

http://www.aph.gov.au/SENATE/committee/rrat_ctte/oil_supply/submissions/sub175a.pdf 

I look forward to hearing from you. 

Regards, Kim 

cc - Federal politicians (Qld) 

cc - State politicians (Qld) 

cc - Lord Mayor Campbell Newman & Brisbane City Councillors 

cc - Courier Mail (editor & journalists) 

cc - Trade Unions (Qld) 

cc - Communities Against the Tunnel (Tristan Peach) 

cc - Q Super, Don Kofoed

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From:- Mrs. Kim Bax (contact details below)

To:-  The Management & Board of The Queensland Investment Corporation

cc:- List below

Re:- 3 month old unanswered questions about investing my pension fund in
the The Brisbane North South Bypass Tunnel, in relation to global oil
depletion

Goodmorning,

Almost 3 months ago, on the 19th May 2006, I sent you these questions
about investing my money in the North South Brisbane Bypass Tunnel, taking
into account global oil depletion:-

http://www.kimspages.org/qsuperletter.htm#six

With two further questions on the 24th May 2006, here:-

http://www.kimspages.org/qsuperletter.htm#eight

And here:-

http://www.kimspages.org/qsuperletter.htm#nine

And over a month ago, I sent you a first reminder about these unanswered
and even unacknowledged questions, on the 5th July 2006:-

http://www.kimspages.org/qsuperletter.htm#q11

Despite this, as of to-day's date - 11th August 2006 - these questions
remain unanswered and unackowldeged.  To my mind, considering I am asking
you key questions about how you plan to invest MY money, this is gross and
unacceptable arrogance.

I would also remind you that this growing correspondence has been
submitted to a Senate Committee, e.g the inquiry into "Australia's Future
Oil Supply and Alternative Transport Fuels."  Here's a link to my
submission:-

http://www.aph.gov.au/SENATE/committee/rrat_ctte/oil_supply/submissions/sub175a.pdf

And here's a link to the inquiry:-

http://www.aph.gov.au/SENATE/committee/rrat_ctte/oil_supply/index.htm

And here's a quote from a web page I administer, "Queensland After Oil" (a
local initiative of "The Post Carbon Institute"):-


"And here's my further public questions to The Queensland Investment
Corporation, re NOT investing MY super fund savings in planned "Brisbane
North South Bypass Tunnel" http://www.kimspages.org/qsuperletter.htm
Again, NO answer - BUT they'll get a circulated & publically posted
email/rerminder from me (re my questions), every calendar month ad
infinitum (they've already had one at the time of writing). Looks like the
above link might turn into one very LONG web page. A public testament to
deliberate corporate blindness - and I've also submitted my correspondence
to the Senate's 'Inquiry Into Australia's Future Oil Supply and
Alternative Transport Fuels.' "


And I would also remind you that AFTER my original questions to you (which
contain reference to "The Hirsch Report"), ABC 4 Corners featured this
crucial issue - and interviewed Robert L. Hirsch, author of this USA
Government report (July 10th 2006).  Here's a link:-

http://abc.net.au/4corners/special_eds/20060710/

I look forward to hearing from you in a reasonable time frame, considering
the seriousness of my questions.

Regards, Kim

From Mrs. Kim Bax, (address supplied)

cc - Federal politicians (Qld)
cc - State politicians (Qld)
cc - Communities Against the Tunnel (Tristan Peach)
cc - Trade Unions (Qld)
cc - Brisbane City Councillors & Mayor
cc - Courier Mail (Editor & journalists)

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Response from the QIC  - 11th August 2006           (Back to top)             (Back to section)  

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Re: Your various correspondence

Dear Mrs Bax,

 I have been requested to respond to you and indicate that the appropriate course of action is for you to deal with Q Super on this matter (via Mr Don Kofoed) and that it would be inappropriate for QIC to respond to you directly on the matters that you have raised. 

Regards Andrew Arkell Head of Corporate & Advisory Services 

QIC Level 6 Central Plaza Two,

 66 Eagle Street 

GPO Box 2242 Brisbane, Qld 4001 

Australia 

Tel 61 7 3360 3856 

Fax 61 7 3360 3979 

Mobile 0419 735 791 

Email a.arkell@qic.com 

Web     www.qic.com

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         A Further response from Kim Bax to QIC                  (Back to top)             (Back to section)  

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To Andrew Arkell & the Board & Management of Q Super & QIC

Dear Andrew, 

If you check out this web page of mine:- 

http://www.kimspages.org/qsuperletter.htm 

You'll see that I have (very obviously), already written to Q Super on these matters, on the 3rd May 2006. Here's my correspondence of that date:- 

http://www.kimspages.org/qsuperletter.htm#one 

And here's their reply of the 11th May 2006:- 

http://www.kimspages.org/qsuperletter.htm#two 

Q Super referred my questions to your organisation. Here's a couple of key quotes from them to illustrate this:- "Q Super employs QIC as its investment manager."   And:- "I understand that the Bypass Tunnel may be listed on the Australian Stock Exchange in the future. If this occurs, it will be assessed on its investment merits by QIC, and other investment managers employed by QIC, to decide whether the shares constitute a good investment." 

Thus Q Super has clearly indicated to me that your organisation - QIC - bears key responsibility for assessing "Investment merits," and thus it appears you have the ultimate say on where MY money does (and doesn't), go. 

Andrew, my crucial questions will NOT be side-lined by some weasily game of corporate "Ping pong." What an earth do you think you're playing at? It's obvious to anyone who has the eyes to look that I have already taken my questions to Q Super, and that they have quite clearly refereed me to you - QIC. 

Let's face it Andrew, can you think of any MORE important questions than those I have asked? The Australian public has every right to hear your public responses on these core issues. Or is this the real problem that it's too embarrassing for QIC to give a public response? Is the real problem that "The emperor has no clothes"? 

So AGAIN Andrew, I'm putting my public questions directly to QIC - as I have every right to do - and I look forward to your direct and non-avoidant response in a reasonable time frame. Here they are again for you convenience:-

 http://www.kimspages.org/qsuperletter.htm#six 

And:- http://www.kimspages.org/qsuperletter.htm#eight 

And:- http://www.kimspages.org/qsuperletter.htm#nine 

Regards, Kim

cc - Federal politicians (Qld)
cc - State politicians (Qld)
cc - Communities Against the Tunnel (Tristan Peach)
cc - Trade Unions (Qld)
cc - Brisbane City Councillors & Mayor
cc - Courier Mail (Editor & journalists)

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