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Sidbottom, Green must stand up for Tasmanian mining jobs after grim warning

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Senator Stephen Parry Chief Opposition Whip in the Senate Manager of Opposition Business in the Senate Liberal, Tasmania


Thursday May 20, 2010

Sidebottom, Green must stand up for Tasmanian mining jobs after grim warning

A GRIM warning by the managing director of one of Tasmania ’s largest employers highlights the dangers of the Labor Government’s mining tax-grab, Liberal Senator Stephen Parry said today.

“Grange Resources managing director Russell Clark personally fronted the prime minister and his cabinet in Burnie last night and put the facts on the table: Labor’s tax will directly threaten more than 600 jobs at Savage River and Port Latta,” Senator Parry said.

“To support this massive new tax is to support an economic and social disaster in this region, because that would be the result of Grange shutting down its operations, as it has said it came close to in recent times.

“Mr Clark’s comments demand a response from Braddon Labor MHR Sid Sidebottom and Tasmanian Resources Minister Bryan Green.

“ All I ask is : Will Mr Sidebottom and Mr Green remain silent on this new mining tax or will commonsense prevail and will they support regional jobs?”

Senator Parry said Mr Clark’s comments should have come as no surprise to the Rudd Government as Grange wrote to Treasury on its concerns last week.

In his letter, Mr Clark said: ‘The levying of an RSPT (Resource Super Profits Tax) is just another burden for our business to bear, reducing the viability of the business. (Note that this mine was due to close in 2009, but Grange has instead extended the operations for another 15 years - at least it had on the prevailing economic assumptions at the time).’

“Grange’s warning vindicates the stance of my Coalition colleagues and I , that this tax represents a job-destroying threat to Tasmania,” Senator Parry said.



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