A new report has emphasised the significance of the resources sector to the Queensland economy, with coal, gas, and minerals producers contributing a record $94.6 billion in the fiscal year 2021/22.
Queensland Resources Council (QRC) Chief Executive Ian Macfarlane announced that the result was a new record, rising an amazing $10 billion or 12 per cent from the previous year.
“This year’s annual Economic Contribution report shows how integral the resources sector is to the Queensland economy, with the figures telling the full story,” Macfarlane said.
According to Macfarlane, the international demand for Queensland commodities, especially coal and gas, has driven record prices, which has resulted in record royalties for the Queensland budget, bringing its total to $94.6 billion, including a record $9 billion in resources royalties.
Macfarlane stated that Resources royalties are directly deposited into the state budget to assist cover the costs of hospitals, nurses, schools, police officers, and other critical public services.
“On top of this, the resources sector also supports the jobs of almost 451,000 Queenslanders and supports one in every four dollars spent in this state, which is up from one in five last year,” he added.
Macfarlane said the resources sector’s contribution to regional economies and employment has grown during the last five years.
“Towns and communities from the state’s north-west down to the south-east corner all benefit from the prosperity of the resources sector and our associated supply chain,” Macfarlane stated.
According to Macfarlane, resources corporations also spent $27 billion in the previous fiscal year to support local businesses, sporting clubs, and charities, providing huge social and economic advantages to mining areas. He added that over half of that is spent outside the Brisbane region.
Macfarlane said that coal producers accounted for 69 per cent of all resources industry spending in the state.
“Looking forward, as our trading partners look to Queensland to meet their energy, metals and steelmaking needs, along with a growing critical minerals market, it’s more important than ever to have the right government policy settings in place to maximise this opportunity,” he stated.
He added that, sadly, the Queensland Government’s decision to raise coal royalty taxes earlier this year has decreased the appeal of investment in Queensland and endangers these chances.
“Looking forward, as our trading partners look to Queensland to meet their energy, metals and steelmaking needs, along with a growing critical minerals market, it’s more important than ever to have the right government policy settings in place to maximise this opportunity,” Macfarlane said.
