A Climate Council report estimates that burning all the coal in Queensland's untapped Galilee Basin would release more than 700 million tonnes of carbon dioxide per year

The report by the council, an independent crowd-funded organisation set up after the Federal Government abolished the Climate Commission, calls for existing mines to be retired before their coal reserves are fully exploited, and for a halt to building new mines.

The report estimates that if all of the Galilee Basin coal was burned, 705 million tonnes of carbon dioxide would be released each year – more than 1.3 times Australia's current annual emissions.

Council spokesman Professor Tim Flannery said Australia was already responsible for 1.5 per cent of global emissions.

"We're the 15th largest emitter on the planet and the largest per capita emitter," he told The World Today.

"So increasing that exposure, that vulnerability, to a carbon liability is not a good idea."

The scale of the basin is monumental, eight projects are earmarked.

It stretches almost 250,000 square kilometres and contains more than 27,750 million tonnes of coal.

Indian coal giant Adani's Carmichael mine is on track to become one of the biggest coal mines in the world.

However in April, 11 major international lenders said they would not finance the project and The Guardian reported today that engineering work had stopped.

When approached by The World Today, Adani confirmed work had stopped but the situation was temporary.

"As a result of changes to a range of approvals ... it's necessary to synchronise our budget, project timelines and spending to meet those changes," it said.

"We are now into the fifth year of development and approvals and therefore the need to finalise those approvals and timelines is critical.

"Adani has made a long-term commitment to build a long-term future with Queensland."

Coal export demand reducing: report

A map showing the Adani Group's $16 billion Carmichael Coal Mine and Rail Project. ( Sourced: adanimining.com )

Professor Flannery said the potential export markets for the central Queensland basin were rapidly drying up as the world moved away from coal towards renewable energy.

China's coal use dropped by 3 per cent last year, and while India remained a possibility it was wavering in its commitment to importing coal, the report said.

Professor Flannery said the economics for the basin looked increasingly shaky.

The thermal coal price is down around $60 a tonne, whereas the average costs of coal production in the Galilee basin seemed to be close to $100, he said.

"I think that we need to recognise that that shift is underway," he said.

"Those who have invested in coal have lost a lot of money in recent years, and that's because renewables are taking increasing share of the energy pie."

The Queensland Resources Council said the report was nothing more than an environmental beat up, as demand for the Galilee Basin's high-quality coal was still strong.

Chief executive Michael Roche said although the world was moving towards renewable energy, it did not mean demand for coal had evaporated.

"China's use of coal is predicted to peak by the international energy agency around 2030-35," he said.

When asked if he was concerned about the emissions from the basin, Mr Roche said if Australia did not capitalise, other countries would.

"It will be supplied from Indonesia or South Africa or Columbia or Mozambique," he said.

"It'll probably be coal of poorer quality, resulting in more emissions.

"So keeping the Galilee Basin coal in the ground does nothing for global carbon emissions.

"It merely moves the jobs from Queensland, from Australia, to another country."

Editor's note August 21, 2015: This story has been changed to clarify that the report estimates that burning all of the Galilee coal would release carbon dioxide equivalent to 1.3 times Australia's current emissions, and that the report calls for existing mines to be retired and for no new mines to be built..