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Reef 2050 plan charts course for healthy future

THE REEF 2050 Long-Term Sustainability Plan launched today by the Australian and Queensland governments charts the course to progressively restore the health of the Great Barrier Reef over the coming decades. 

Queensland Resources Council Chief Executive Michael Roche said the action plan identifies the vital steps that must be taken in the next five years and beyond to protect the reef for future generations.

‘The Queensland Resources Council has been proud to be representing the resources sector in helping to develop this landmark Reef 2050 plan that will set a new course for turning around the health of our majestic reef,’ Mr Roche said. 

‘Achieving this ambition for the Reef cannot rely on governments alone. It will only be achievable with significant leadership and involvement from industry and all sectors of the community,’ Mr Roche said.

Reef 2050 is a comprehensive action plan that has been put together under the leadership of the Australian and Queensland governments, working with a Partnership Group comprising stakeholder representatives from the resources, ports, tourism, fishing, agriculture, Indigenous, local government, research and conservation sectors, Mr Roche said.

‘The contribution of the resources sector and its partner the ports sector, to the Reef 2050 actions and commitments is a substantial one, encompassing actions involving water quality monitoring and reporting, port development and dredging management strategies and commitments to using ships and ship crews that have been independently vetted for their quality,’ Mr Roche said.

‘In addition to these Reef 2050 actions, the resources industry expects to spend $250 million over the next 5 years on Reef-related environmental programs. 

‘We are part of a team that is working together to help turn around the health of the reef and I am pleased to say that many of the activities to improve the reef’s resilience are already well underway and achieving measurable gains,’ Mr Roche said.

www.qrc.org.au

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CSIRO to uncover insights into mining future at IMARC 2014

KEY insights into the future of mining at a national and global level will be presented by Australia’s national science agency – CSIRO –  at the International Mining and Resources Conference (IMARC 2014) in Melbourne next week (September 22-26).

CSIRO Chief Executive Megan Clark will provide IMARC delegates with a glimpse of mining in 2025 by describing the innovations, megatrends and technologies that will reshape the mining sector as part of an ‘incoming revolution’ (Tues 23 September).

The future of mining in Chile in the context of these global megatrends will be discussed at IMARC (Thursday 25 Sept) by Executive Director of CSIRO Chile Dr Orlando Jimenez.

CSIRO will release national citizen survey reports and data portals for Australia and Chile which will provide new insights into how the mining industry is perceived in each nation and what steps may be needed to sustain community support, acceptance and the ‘social licence to operate’ into the future (Tuesday 26 September).

IMARC participants will have the opportunity to hear from CSIRO’s Mineral Resources Flagship Director Jonathan Law about the key role of innovation in driving much-needed improvements in mining, mineral exploration and processing productivity.

Proving the point that ‘money does grow on trees’, CSIRO research geochemist Dr Mel Lintern will showcase the scientific method used to find gold in gum trees and now being applied for prospecting  in an area of Western Australian Mulga country the size of Greece. (Monday 22 September).

The trade exhibition at IMARC will include further information about a wide range of CSIRO productivity innovations and solutions across the value chain.

Highlights:

Gold in gum leaves and Mulga country – Dr Mel Lintern – Monday 22 September.
Attitudes to mining report release – Dr Kieren Moffat – Tuesday 23 September.
Innovation to drive productivity – Jonathan Law - Wednesday 24-Thursday 25 September.
Future of mining in Chile – Dr Orlando Jimenez - Thursday 25 September.

www.csiro.au

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Mining subsidies exposed as a sham - QRC

A REPORT by an anti-mining 'think tank' claiming that the Australian resources sector was ripping money from state and territory government coffers has been exposed as nothing more than sham.

The Australia Institute, a founding member of the anti-coal and gas movement, released a report in June claiming that state and Territory governments across Australia were subsidising the Australian resources sector to the tune of $17.6 billion over a six year period between 2008/09 and 2013/14 .

An independent analysis by a former head of the New South Wales Treasury, Michael Schur, has revealed fundamental errors in a report that was designed to deceive the public into thinking state governments were funding the Australia's resources sector instead of vital public services.

Queensland Resources Council Chief Executive Michael Roche said it was no surprise the report by The Australia Institute, called Mining the Age of Entitlement, was deeply flawed.

‘The litany of errors that peppers the report are obvious,’ Mr Roche said.

‘The bulk of the expenditure claimed as a subsidy, $10.3 billion, is associated with the commercial provision of rail, port, water and electricity services and infrastructure from which the government generates significant income.

‘In addition, $3.7 billion in capital expenditure claimed as a ‘subsidy’ was spent by the government on items such as roads.

‘The TAI incorrectly asserts that capital expenditure on road projects associated with the resources sector constitutes a subsidy. Roads are funded largely through general taxation and are available to all vehicles whether private or business.

‘The remaining investments—comprising about 20 percent or $3.6 billion—aren’t associated with the mining and resources sector at all and appear to have been incorrectly categorised.’

‘There are a lot of very effective campaigns from anti-mining activists who want to shut down the fossil fuel industry in Australia, but this effort by the TAI takes the cake.’

Mr Schur, Managing director of Castalia Strategic Advisors, who undertook the report, said TAI's claims in its report were based on a flawed analytical framework and were, in the main, unfounded. 

‘Behaving commercially is mandatory for government-owned businesses - or public trading enterprises - it is embedded in the legal, policy and institutional frameworks by which they are governed,’ Mr Schur said.

‘All their expenditure is by definition therefore commercial, and cannot be a subsidy to the mining and resources sector.

‘Inexplicably, The Australia Institute claims that about $1 billion in Queensland passenger rail concessions are somehow a subsidy to the mining and resources sector and no logical reason is provided as to why this may be so,’ he said.

Mr Roche said TAI report was remarkable for turning out an instant collection of howlers asserting so-called subsidies such as:

A barge landing at Aurukun (there is no mine at Aurukun)
The capital cost of expanding the Meandu coal mine (supplying Tarong Power Station) is being recovered through electricity charges. The government owns the mine and the power station.
Rail infrastructure concessions totalling more than $1 billion over 2012-13 and 2013-14 were not for the benefit of resources companies (who pay full commercial rates for track use and freight services) but essentially a budget subsidy for passenger transport and unprofitable regional freight services.

‘Last financial year, resources sector companies spent almost $38 billion in Queensland on wages, goods and services and communities.

‘That direct spending injection is calculated to have generated total spending of $76 billion – one quarter of the state’s economy.’

A copy of the Castalia report can be found on the QRC website. 


Watch on Vimeo - Michael Roche in response to The Australia Institute’s report that has been exposed as a sham:  

QRCMichaelRocheTAIreport from QRC on Vimeo.



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Tourism investment needed to capitalise on strong visitor growth - VTIC

 

VICTORIA's peak tourism body is calling on both major parties to commit to recommendations to grow tourism jobs in the state, as Melbourne Airport reports significant passenger growth for the past year.

Victoria Tourism Industry Council (VTIC) chief executive Dianne Smith said that with the appropriate policy, the tourism industry could create nearly 9,000 additional jobs for Victoria over the next two years.

Ms Smith’s comments come in the wake of Melbourne Airport reporting its total passenger numbers grew by 4 per cent during 2013/14 to 31 million passengers. International passengers increased by 9 per cent to 7.75 million; while domestic passengers grew by 2 per cent to 23.3 million.

"Both major parties must commit to our priorities if Victoria is to maximise the benefits of increased visitor numbers and drive further growth,” said Ms Smith.

VTIC recommendations include:

- Increase marketing efforts to attract more Asian visitors: targeted communications campaigns and funding to make Victoria’s key tourist attractions more appealing to this group are needed. 

- Commit funding to the expansion of the Melbourne Convention and Exhibition Centre: the centre is currently turning away around 17% of booking requests due to lack of capacity, so this is vital to ensuring Melbourne retains the significant economic benefit from being Australia’s business events capital. 

"VTIC strongly supports the Airport Rail Link project for the benefit it will bring to guests coming to Victoria for both recreational and business purposes and we hope this project progresses as a priority,” said Ms Smith.

“We echo Melbourne Airport CEO Chris Woodruff’s sentiments on the need to secure better outcomes for international air service agreements for Melbourne. We must also remember that Melbourne Airport’s curfew-free status gives Victoria a distinct advantage over other states and we must ensure that this is preserved well into the future.

“The airport experience is often an international visitor’s first impression of Melbourne, if not Australia, so the major works and improvements that Melbourne Airport outlined in their Annual Stakeholder Report are a great investment for Victorian tourism and the visitor experience.”

For more information on VTIC’s recommendations please visit www.vtic.com.au.

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Timely and decisive policy responses needed to stem rising youth unemployment

VECCI Chief Executive Mark Stone writes > OFFICIAL estimates suggest the national unemployment rate among 15-24 year olds is now 13.8 per cent and around 288,000 young people are now looking for work across Australia.

In Victoria, the youth unemployment rate is similar to the national average, although rates are higher in some regional areas.

The true picture of youth unemployment is likely to be much worse, when we consider that the official unemployment data excludes many youngsters who do not participate in the labour market at all.  A lack of employment opportunities and success in applying for positions can leave many job hunters demotivated to the point where they drop out of the job search market altogether. 

Once lower participation rates are taken into account, the real level of youth unemployment is likely to be at least one to two percentage points higher than the official estimates.

These are not just figures, they are real people.  As we know, there are major economic and social costs associated with having so many young people idle. 

Making matters worse is the fact that the consequences of youth unemployment can last for years.  Those who begin their careers without work are more likely to have lower wages and suffer joblessness again in later life. 

While undoubtedly a strong influence, not all youth unemployment can be explained by the current economic environment where consumer spending levels are well below what many employers require in order to justify taking on new workers.

Lack of qualifications can be a major barrier to youth employment.  In this case the candidate may be missing not only specialised skills and core competencies like literacy and numeracy, but more rudimentary ‘employability’ skills such as the ability to problem solve, initiative, self management and team work.

The tendency for young people to change jobs more frequently than their older counterparts also explains some youth unemployment, as they are classified as unemployed while searching for their next job.

High wages can also mute job prospects.  In Australia, the 3 per cent increase in the national minimum wage this year and the Fair Work Commission decision to increase award rates of pay for 20 year old retail workers may have been good news for existing job holders. However, as employers have to bear these higher costs, these decisions were arguably detrimental to new job seekers.

Realising that there are many influences on youth unemployment provides a guide as to where policy makers should focus their efforts.  VECCI’s Taking Care of Business 2014 State Election business agenda calls on both major parties to commit to a series of reforms that will help address youth unemployment in Victoria.

Among these is our recommendation to raise the payroll tax free threshold from $550,000 to $850,000.  This will lower business costs and create an incentive for employers to hire new staff, including youth.

We also want to see both sides of politics deliver the priority infrastructure projects Victoria needs to keep growing; maximising opportunities for apprentices and trainees.

Importantly, VECCI is calling for further reform of the education and training system. Reform is needed to support not only industries and workforces undergoing structural change, but the continued internationalisation and innovation characteristic of our high growth advanced manufacturing and service industries.

Recent State Government reforms to vocational education and training have sensibly sought to shift training funding towards specialised or skill shortage occupations. However as a consequence, funding for lower level qualifications that provide literacy, numeracy and work preparation skills for many young people has been reduced and both the workforce and employers have suffered.

VECCI’s recommended reforms alone will not solve youth unemployment, but they are needed as part of a coordinated response by state and federal governments to curb the prospect of a jobless generation.

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The Victorian Employers' Chamber of Commerce and Industry (VECCI) is the peak body for employers in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

vecci.org.au  

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