Minister for Resources, Water and Northern Australia, Keith Pitt, says new figures released by the Minerals Council of Australia on royalties and taxes paid by the minerals industry confirm just how crucial the sector is for the national economy.
Minister Pitt said the report, compiled by Deloitte, shows the phenomenal contribution of the industry over the past decade.
“From the 2010-11 financial year to 2019-20, the minerals sector contributed a total of $238.8 billion in taxes and royalties to state, territory and federal governments,” Minister Pitt said.
“Their contribution helped place the national economy in a strong position leading into the COVID pandemic, and is now leading the way to recovery.
“Even as the coronavirus pandemic hit global markets in the last financial year, mining companies paid a record $24.1 billion in federal taxes and $15.2 billion in royalties to state and territory governments.
“In Western Australia, on the back of rising iron ore prices, mining royalties in the 2019-20 financial year jumped by nearly two billion dollars to a staggering $8.44 billion dollars and that figure should increase again this year as prices hit record highs.
“While taxes and royalties from the coal sector fell slightly last year as COVID affected global industrial activity, forecasts indicate demand will rise over the next few years as economies recover.
“I recently announced a $20 million Global Resources Strategy in this year’s Budget to support the industry expand markets around the world, particularly in South East Asia and the Indo Pacific region, for all Australian resources, including coal.
“Despite the challenges of the last 12 months, our resources and energy sector is on track to post record exports this financial year of close to $300 billion as the industry continues its significant contribution to the national economic recovery.”