Royalty increases must be across the board to help fix deficit: Greens

Tuesday, 12 September 2017
The WA Greens have said they support measures in the state budget to increase revenue from the mining sector, but that the increase should be across the board and not targeted to individual industries.
“There’s no sugar coating this - the former Liberal National Government left this state in a terrible fiscal mess,” Mr Chapple said.
“The mining sector has to play its part in fixing the state’s finances – especially when they are returning significant profits - but that distribution has to be fair.
“Royalties on large gold miners will go up from 2.5 per cent to 3.75 per cent from January 1 next year; a massive 50% hike. Thankfully the 2,500 ounce exemption, implemented by my colleague Giz Watson, has been kept in place to protect individual prospectors and small miners.
“By contrast Chinese Magnetite producer Citic Pacific continues to get a massive 50% royalty rebate or rate reduction, as do the state's other magnetite miners. How much could be saved simply by removing this one subsidy?
“What I really don’t understand is why there is no royalty increase on other minerals such as Copper, Nickel, Manganese, Lithium, Potash, and in particular Iron Ore.
“Obviously many iron ore miners are sheltered from royalty increases by state agreements – which the WA Greens, for the record, have been the only party to consistently oppose -however these avenues should still be pursued and results achieved through negotiation.
“At the end of the day the former Liberal Government’s is responsible for this fiscal mess, but it must be incumbent upon all of us to help provide the long-term solution; there is no quick fix.”


Media contact Tim Oliver – 0431 9696 25
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