The Queensland Resources Council (QRC) has called on the State Government to reconsider the coal royalty tax hike, calling it “investment-destroying”.
The QRC said Federal Treasury analysis found the resources sector is responsible for lifting many Queenslanders born in the 1960s and ’70s out of disadvantage into a prosperous future.
“This report confirms that the biggest beneficiaries of our resources sector are the everyday Queenslanders, who have gained well-paid jobs and careers that have set them and their families on the path to a brighter future,” QRC chief executive Ian Macfarlane said.
“While it’s encouraging to hear the Federal Treasurer talk about the importance of the resources sector to Queensland’s future, he needs to talk to his state counterpart to ensure our industry can continue to grow by reconsidering the coal royalty tax increase.”
More than 450,000 Queenslanders are currently supported by the state’s resource sector.
“We are already seeing companies like BHP and Peabody indicating they will put a hold on future project investment in Queensland as a result of the royalty hike, which was also a factor in Glencore’s decision not to proceed with its Valeria mine,” Macfarlane said.
“The Queensland Government cannot expect companies to carry the enormous capital risks required to provide long-term jobs and business opportunities, when the rules can change without notice.
“This goes beyond just the coal industry but right across the resources sector, including critical minerals projects that are the key to a decarbonised future.
“I would also call on the Federal Treasurer to re-think the Australian Government’s intervention in the coal and gas markets through price caps and price setting mechanisms.
“Stable state and federal policies around the development of Australia’s resources have delivered generations of life-changing opportunities to get ahead.
“If future generations of Queenslanders are to enjoy similar opportunities, governments must reconsider policies that bring a stop to the investment that creates the rewarding jobs they’re looking for.”