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Mining Tax: WA getting ripped off by Labor and Greens Senators

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Mining Tax: WA getting ripped off by Labor and Greens Senators

March 19, 2012

Labor and Green Senators from Western Australia are betraying their own State in voting for the Mineral Resource Rent Tax today.

In a speech against the mining tax in the Senate today, Liberal Senator David Johnston said Labor and the Greens had no concern about trampling upon the very basis for their presence in the Senate.

“Minerals in Australia belong to and are the property of the states…that is why there is a very distinct different set of mining legislation and administrations throughout Australia, each controlled by the individual state mining Ministers,” Senator Johnston said.

Senator Johnston said he had been extremely surprised by Labor Senator’s comments that the minerals in the ground belong to all Australians.

“Not only does such a statement disclose an alarming degree of gross ignorance as to the specific tenor and terms of the Australian Constitution but, indeed, their own State Constitutions.”

Senator Johnston said it was a bare faced lie to claim the Australian mining industry did not pay its own way in tax. He said currently the total tax take from miners in the last four years averaged 41 per cent with an estimated $23.4 billion paid by miners in 2010/11.

“The mining resource rent tax will lift Australian rates above that of competing countries comprising exploration and development and act as a massive disincentive to investment in this very important economic sector in our economy.”

Senator Johnston said he was also incensed to hear Greens MHR Adam Bandt saying even more revenue had to be raised from the mining tax to fund stimulus packages for south-east Australia.

“I want to hear if WA Senators Siewert and Ludlam supports Mr Bandt’s proposal, which will see a tax-take over and above the Grants Commission current additional take of $600 million from Western Australia this year.”

“WA’s share of GST has already been drastically cut by the Grants Commission to the point where it is now to receive its lowest share since the tax was introduced. This crazy plan will take it to somewhere near to 55 cents in the dollar. I want to hear the two West Australian Greens and the WA Labor Senators justify that.”