BHP CONTRIBUTES AN EXTRA $1BN TO ECONOMY

GLOBAL mining giant BHP contributed an extra $1bn in local government taxes, royalties and other payments in the past financial year.

Total Australian economic contributions totalled $34.1bn for the 12 months to June 30, up 3 per cent from $33.1bn last year.

The mid-pandemic contribution was boosted by a $1.3bn increase in taxes, royalties and other direct payments to governments of $12.4bn. It also included $11.1bn of spending with suppliers, $6bn in dividends and interest, $4.5bn in employee wages and $100m in community investment projects, according to BHP.

Over the past decade, BHP has paid $80.3bn in taxes, royalties and other payments

to Australian governments.

BHP’s adjusted effective tax rate for the past financial year was 41.4 per cent, including royalties.

BHP Minerals Australia president Edgar Basto said the past 18 months had thrown “unprecedented challenges” at all Australians. “We know many in the community are doing it tough,” Mr Basto said.

“It is through the commitment of our people, and the support of governments, communities, suppliers and traditional owners, that we have been able to keep operating safely through the pandemic.”

Mr Basto said BHP would “keep playing our part” in supporting regional communities and the national economy through jobs, skills, supplier opportunities and social investments.

BHP chief financial officer David Lamont said the miner was “proud of the role we play” in the economy through its operations and exports. “We know that will be important to the nation’s ongoing recovery,” he said.

The West Australian government received $3.2bn in royalties and payments, Queensland got $514m, South Australia $136m and NSW about $104m.