Budget a missed opportunity to open Queensland for business

Click here for photo of QRC Chief Executive Officer Janette Hewson

The Queensland Resources Council (QRC) says today’s budget confirms the need for investment in our state’s most important industry to deliver ongoing benefits to all Queenslanders.

QRC Chief Executive Officer, Janette Hewson, said the budget revealed the extent of the economic challenges facing Queensland and an urgent need for a long-term economic plan.

“The resources sector has underpinned Queensland’s economic prosperity and could continue to do so for decades to come,” said Ms Hewson.

“Global demand for our resources remains strong, but only if the government can deliver a long-term plan for the state that encourages capital investment rather than simply using the sector to fund its debt short term.

“Resources sector royalties allowed the governments to support Queenslanders through measures like 50 cent bus fares and energy rebates as well as helping fund the hospitals, roads, police and public services we all rely on.”

Royalties generated by Queensland resources fell from $12.8 billion last year to $7.9b billion this financial year, along with investor sentiment which the sector suggests is at an all-time low.

Lower coal prices have reduced mining revenue to the State. When combined with rising operational costs and the World’s highest coal royalties, Queensland miners are under threat.

“It’s concerning to see the Government extend current royalty rates in the forward estimates to 2028-29,” Ms Hewson said.

“This is a continuation of a bad policy that started with the previous Labor Government and is being adopted by the new LNP Government to the detriment of all Queenslanders.

“Moves to streamline approvals and recent comments from the Queensland Government about opening our state up for business have been welcomed by industry but the groundwork must be laid with supporting policies and fairer taxation to regain investor confidence.”

The Budget provides confirmation of previous government commitments, including investment in a skills pipeline for the resources sector through the Queensland Minerals and Energy Academy.

Other positive resources initiatives outlined in the Budget include accelerating minerals exploration, Queensland’s Common User Facility, CopperString, the Electricity Maintenance Guarantee and Transforming Queensland Manufacturing Program.
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