Give royalties to regions: report
REGIONS that support mining should be supported in return, according to a parliamentary committee report.
The report, which recommends regions get a greater share of the benefits from local mines, was tabled on the same day as BHP Billiton Mitsubishi Alliance ( BMA) announced it would recruit 350 permanent local staff at two mines in the Bowen Basin.
Dawson MP George Christensen said he believed the parliamentary inquiry had prompted the FIFO announcement from BMA and a recent commitment from three other mining companies to introduce 30- day payment terms for local businesses.
“There’s been a concerted effort to ensure the regions which support the mining companies are supported in turn,” he said.
TOWNSVILLE would get a greater share of jobs, work contracts and royalties from multibillion- dollar mining projects under a new proposal to boost regional economies.
Setting a minimum rate of “true local” procurement, local workforce participation, training and apprenticeships on mines were among 21 recommendations in a parliamentary committee report following an inquiry into how the mining sector can support businesses in regional economies.
The report came as BHP Billiton Mitsubishi Alliance ( BMA) yesterday announced it would recruit 350 permanent local workers at two of its mines in the Bowen Basin.
The Caval Ridge and Daunia coal mines previously used 100 per cent fly- in, fly- out workers from Brisbane and Cairns.
The committee also recommended that the Federal Government push states and territories to adopt “Royalties for Regions” programs, which would guarantee a share of mining royalties are reinvested into communities directly affected.
A portion of these funds would be set aside to create an infrastructure fund to be made available to councils in min- ing- affected regions to address the impact of the resources sector on local infrastructure.
The committee recommended all levels of government partner to provide incentives to mining and resources companies to develop remote operating centres in regional towns close to mining operations, rather than in capital cities.
There were also a number of recommendations designed to make it easier for small local companies to win subcontracts, including requiring mining companies to ensure their higher- tier contractors commit to local procurement, the creation of guidelines to help small businesses bid for tenders and to legislate shorter payment terms for these businesses.
Dawson MP George Christensen said he believed the inquiry had prompted the FIFO announcement from BMA and a recent commitment from three other mining companies to introduce 30- day payment terms for the local businesses they use.
“There’s been a concerted effort to ensure the regions which support the mining companies are supported in turn,” he said.
“We would not be seeing these results without the pressure which has been brought to bear as a result of this inquiry.”
LNP candidate for Herbert Phillip Thompson said he strongly backed a number of the recommendations, including a review of the use of casualised workforces and labourhire companies in the mining sector.
“It is clear to me that a priority is to make sure our mining sector employees who call Townsville home feel secure in their jobs,” he said.
“Action on these issues will deliver more opportunities for workers and businesses working within the mining sector, which will obviously strengthen community and job security throughout Townsville.”