Mark Vaile will not pursue his appointment as the chancellor of the University of Newcastle in response to mounting opposition to his links with the fossil fuel industry.
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A fortnight of growing controversy and discontent came to an end on Monday afternoon when chancellor Paul Jeans advised staff that Mr Vaile had chosen not to proceed with the role.
Mr Vaile, a former Nationals leader and deputy prime minister, was due to take over the role on July 1.
However, his role as chairman of Whitehaven Coal, triggered a widespread and sustained campaign against his appointment both from within and outside the university.
In a statement Mr Vaile said his decision not to pursue the chancellor's position had been difficult but necessary given what he described as an "unjustified campaign against the appointment led by minority groups placing ideology before proper governance and what is in the best interests of the university and the communities it serves."
"Unfortunately, since the public announcement of the council's decision on 4 June, the activist campaign that was launched has resulted in an accumulation of media and social media seeking to overturn the appointment and revisit the council's unanimous decision," he said.
"This action and the action of some in the media and elsewhere demonstrate a contempt for proper process and the principles that underpin how institutions should operate in a respectful and pluralistic society."
Mr Jeans said the university respected Mr Vaile's decision and recognised it was made in the best interests of the institution.
"Mr Vaile said that he commends the university for its ethos as a unifying force, of and for our region and the communities it serves. Based on feedback from some of the university's constituents, he believes that the best course of action is not to proceed with the appointment," he said.
Professor Jennifer Martin's resignation from the university council in protest at Mr Vaile's appointment was the catalyst for the widespread campaign that followed.
Upon hearing of Mr Vaile's decision, she expressed her thanks to the many colleagues and community members who supported her.
"This was never about Mark Vaile the person," she said.
"To be honest, I never expected the level of support that I received; I just knew I had to do it.
"I feel grateful to the people of Newcastle. The city rallied behind the symbolism for the future. This shows that the city and region really values it's university."
Australia Institute chief economist Richard Denniss, a Newcastle alumnus, was among the first to speak out over the appointment.
"I think it is a great decision. I congratulate both the university and Mark Vaile for listening to the community and for putting the interests of the university and the broader university community first," he said on Monday night.
"This is an exciting development for the university. I hope they have a new process that leads to a new appointment that is far more in line with the broad university community's hopes and expectations."
University of Newcastle Students' Association president Luka Harrison described Mr Vaile's decision as awin for students, staff and the wider university community.
"It really is important though that we do make sure that we come up with a new process for appointing a chancellor just to make sure that we hold the university accountable and that we ensure that there's more transparency as well with the process," he said.
"It really shows that when our university community comes together they can do anything really and that without the staff and students there would not be a university and you can't make decisions without them."
Mr Harrison said UNSA hoped the university appreciated the importance of having staff and students at the table ahead of making major decisions.
"The point really needs to be made that if there was greater consultation with staff and students we would not end up in situations like this," he said.
National Tertiary Education Union Newcastle branch acting president Dr Terrence Summers said he was "surprised" by the announcement.
"What Mark Vaile has done is seen that there's been a lot of opposition to his appointment and he's reacted appropriately; he's made the right decision."
"The opposition to his appointment across the community - not just the university - was quite broad and he's made the right decision."
Philanthropist Sue Mckinnon who coordinated the open letter that appeared in last Friday's Herald thanked Mr Vaile and the university for making the right decision.
"This has shown that the university can and does listen to the community and we hope that they will engage deeply with the community - staff, students, the people of the Hunter - in the process to appoint the next chancellor," she said.
The Lock the Gate Alliance issued a statement on Monday afternoon that said the "outrage" that led to Mr Vaile's decision not to accept the chancellor role "demonstrates that the company he chairs - Whitehaven Coal - is too toxic to be associated with public leadership".
Lock the Gate Alliance NSW spokesperson Georgina Woods said the backlash to Mr Vaile's appointment was "particularly severe" because Whitehaven Coal was a "notorious company that regularly broke the law, had failed to respond to the challenge of climate change, and only recently pleaded guilty to stealing one billion litres of water for its Maules Creek mine during one of the worst droughts on record".
"Appointing the boss of Whitehaven Coal really would have hampered the university in playing a meaningful part in leading us through structural change facing Newcastle and the Hunter region as the world shifts away from coal," Ms Woods said.
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