The Queensland Government has signed a new blueprint for the state’s resources future, focusing on global competitiveness.
The agreement, dubbed ResourcesQ, is a “30 year vision for the sector”, according to the Queensland Resources Council.
The statement of intent was signed between the government, the Association of Mining and Exploration Companies (AMEC), the Australia Petroleum Production and Exploration Association (APPEA), and the QRC.
“The QRC acknowledges the work already under way by the Newman and Commonwealth governments to streamline the approvals process and cut red and green tape, but this agreement recognises the need for long-term and stable policy and legislation to attract investment in the sector,” QRC head Michael Roche said.
However he went on to state “what the resources sector doesn’t need is unexpected cost increases, such as increased royalties. Investment in the sector is by its nature long term, and changes to royalties affect the global competitiveness of resources operations, and reduce our attractiveness as a destination for resource investment”.
These last comments come on the back of the Queensland Government’s approach to fixing the state’s $80 billion budget black hole and its ‘Strong Choice’ campaign.
The $6 million campaign, launched earlier this year has been dubbed “The Peoples’ Budget” and is designed to give people both a greater insight into the budget process and allowing people a greater say in its outcomes.
It states that peoples’ “responses here will be a fundamental part of an unprecedented consultation process that is already going on across Queensland”.
According to the State Government, increasing royalty rates on all mining and gas projects will provide $8.812 billion in funding, although it does go on to provide an option to increase all royalties except for coal – adding $1.845 billion to the budget and keeping to its promise from last year not to changing the rates of coal for a decade.
Roche previously described the sentiment as “instinctive but misinformed reaction given the tough economic conditions and outlook confronting the sector”.
Roche also went on to attack the Federal Government’s proposed changes to the diesel fuel tax credit scheme, which will be announced tonight.