THE PEAK representative body for Queensland minerals and energy sector has congratulated Adani Mining on winning federal approval for its $16.5 billion Carmichael mine and rail project in central Queensland’s Galilee Basin.

Queensland Resources Council Chief Executive Michael Roche said the announcement was confirmation of the resources sector’s continuing key role as one of the state and the nation’s economic pillars.

‘Importantly, this is being done without compromising the world-leading environmental standards, for which Australia is rightly recognised,’ Mr Roche said.

‘Adani’s Carmichael mine, rail and port infrastructure will drive thousands of new jobs and opportunities for Queenslanders in construction and permanent operational jobs for decades to come.

‘Regional communities including Alpha, Clermont, Emerald, Bowen, Moranbah, Mackay, Rockhampton and Townsville are all expected to benefit from the development of the so-far untapped resources in the Galilee Basin.’

Mr Roche said that despite the hard work and scientific rigour that had gone into the Carmichael project’s federal approval, he expected environmental activists would continue their campaign to ‘disrupt and delay’ major job-creating and revenue raising projects in Queensland.

‘We have seen activist groups commence litigation as part of their strategy to delay projects from starting, thus preventing local communities across regional Queensland seeing the benefits flow sooner,’ Mr Roche said. 

‘Regional communities are anxious for good economic news, an injection of confidence and most importantly, new job creation.

‘Every day that projects like these are delayed is another day project benefits are denied to local communities and Queenslanders.’

www.qrc.org.au

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PEAK retail industry body the Australian Retailers Association (ARA) has responded to a so-called report prepared by a conga line of ex and current trade union officials (suggesting local economies across rural NSW would be up to $111 million worse off each year if penalty rates for retail workers were cut) as having completely missed the point about penalty rates.

Seeking to be the voice of reason, the ARA is not calling for penalty rates to be abolished but there is a strong need to get the balance right so that retailers can operate competitively on weekends and offer increased employment opportunities.

ARA Executive Director Russell Zimmerman said retail staff in regional areas do not usually have the opportunity to work on Sundays.
 
“A lower penalty rate would mean these retail employees would have the opportunity to work extra hours. We cannot ignore the major benefits for all involved, including additional hours retailers will be able operate, if penalties are reduced.

“The ARA is aware that many large retail chains have been closing as many stores as possible on Sundays and public holidays to avoid paying penalty rates. If these stores could afford to be open, they would in turn employ a number of staff on a Sunday and this would not only improve business in country and regional stores but increase employees discretionary spending,” Mr Zimmerman said.
 
Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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QUEENSLAND is just a few years away from using up its existing coal export capacity, according to latest port data.

Addressing a Central Highlands Development Committee breakfast in Emerald today, Queensland Resources Council Chief Executive Michael Roche said data from Queensland’s coal port operators show that exports totalled a record 209 million tonnes in 2013-14.

‘This is 25 million tonnes above the record set in 2009-10 and almost 30 million tonnes more than what passed through Queensland export coal terminals in 2012-13,’ he said.

‘This is clear evidence of the coal industry’s transition to an export production phase after an unprecedented period of new investment.’

The value of coal exports from Queensland this financial year is forecast by independent analysts to be more than $24 billion despite poor prices.

‘As predicted, volume is replacing price and keeping mines open in the toughest operating environment the industry has faced since the turn of the century.’

Mr Roche said that while uninformed speculation about the future of the coal industry was being promoted randomly by environmental activists, statistics reveal another story.

‘Take for example the claim by activists that only 65 percent of Queensland’s port capacity is being used – so why the need for more?’ he said.

‘The answer is that in 2013-14, 84 percent of available port capacity was used and all signs are that it will close in on 100 percent over the next few years.

‘What are these signs? According to the International Energy Agency, coal will account for almost 60 percent of Asia’s electricity demand growth over the next 25 years. 

‘That’s not to mention that 1.3 billion people still can’t access electricity and 2.7 billion don’t have clean cooking facilities.

‘Queensland also has the best coking coal in the world, and every tonne of blast furnace steel produced in Asia requires 800kg of coking coal.

‘Commercial television viewers are being told by anti-coal activists that there will be 7,000 coal ships ‘criss-crossing’ the Great Barrier Reef by 2020. But according to the Australian Maritime Safety Authority, by 2020 there could be 2,450 coal and 500 LNG ships using ports adjacent to the reef. 

‘That is eight ships per day while another 3,000 vessels will be carrying sugar, grain, cattle, other minerals and essential imports.

‘The Queensland coal industry has a strong and assured future, but if I can borrow a line – we’re going to have to fight for it,’ Mr Roche said.

Note: By 2015 new capacity at Gladstone via 27MT Stage One of Wiggins Island Coal Export Terminal; completion of the expansion from 44-55MT at BHP Billiton’s Hay Point Coal Terminal. At Abbot Point, an additional ship loader boosts capacity of T1 from current 33MT to 50MT. All of this capacity is fully contracted.

www.qrc.org.au

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THE Council of Small Business Australia (COSBOA) has praised the recent B20 summit held in Sydney last week, as the world’s business leaders put aside their own agendas to discuss global economic growth, ahead of the 2014 National Small Business Summit (NSBS) in Melbourne next month and the G20 to be held in Brisbane on 15 -16 November.

Peter Strong, Executive Director of COSBOA attended the B20 and shares his experience saying, “The B20 summit was the most successful international event I have attended and most of that success can be attributed to the leadership provided by this country’s heads of industry and the high quality support from the Australian government.

“The small business community was mentioned in all the sessions, and not just given lip service. We are seen as the way forward and THE key to a healthy world economy, this is the same for developed economies, emerging economies and those economies that are in crisis. 

“Small business people are in focus. COSBOA was there to inform the debate and help those in big business understand the best way to engage and support the hundreds of millions of small business people across the planet.

“We expect industry people to always focus on their own particular woes, and make demands for their own sector and often that is true as that is their job.  This B20 summit however was an event that focused on very real issues for businesses, large and small, issues that are important not just for Australia but for the world’s economy.

“While the heads of banks and our biggest companies, along with leaders of key industry associations rarely come together as a group, in this case they met and focused on developing and maintaining a global economy that works for everyone.

“There was general agreement on issues that affect both small and large businesses including: workforce skills development, the importance of infrastructure projects for all businesses not just the ones who win the big contracts; access to finance; and access to new markets. 

“Now that the B20 is finished these industry leaders will of course focus solely on their own companies and industries. COSBOA will continue to focus on domestic issues for small business, particularly around competition, B2B contract issues, compliance, access to finance, workplace relations and personal health.

“In August, we will hold our annual Small Business Summit, and will focus on workplace relations, competition policy, deregulation and tax.

"We hold our summit with confidence knowing that the international economy is under scrutiny, and while nobody can guarantee that we won’t have another global financial crisis; it is less likely due to the input of Australian business leaders and government. COSBOA will also keep a close eye on their behaviour, just to make sure.

“What the B20, NSBS and G20 summit all provide is an opportunity for industry leaders to meet more often and discuss issues and areas of concern in a boardroom and not just in the media.  In the end governments can only do so much and it is up to industry to come together and try to resolve issues between ourselves,” Mr Strong concluded.

The key themes of the B20 summit were:  financing growth; human capital; infrastructure and investments; trade; and ending corruption. 

Recommendations can be found on the B20 website HERE.

Visit www.nationalsmallbusinesssummit.com.au to see the full program and register for the 2014 National Small Business Summit.

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PEAK retail industry body the Australian Retailers Association (ARA) lead the fight on behalf of the retail sector in opposition of the Carbon Tax and now can celebrate with the Government at long last getting its way in the Senate with the abolition of the tax.

ARA Executive Director Russell Zimmerman said the cost impact was not only felt by business but also consumers who were hit with less disposable income as a result of the tax.

“We have given direct evidence to both the former and new Governments over how much this tax impacted retailers.

“Bakeries reported additional costs at over $20,000 per annum, and these are small independent businesses, let alone the costs to supermarkets and even the roll-on effect and general energy costs hitting specialty retail such as clothing and fashion stores.
 
“There is no doubt this boost to retailer’s bottom lines and the pockets of consumers will assist the sector to overcome pressures from excessive costs and be a boost to current low consumer confidence.
 
“On behalf of the ARA I would like to thank our fellow industry groups who have fought this tax from day one, and also thank the new Government for removing a measure which undoubtedly damaged the retail sector,” Mr Zimmerman said.
 
Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia. Visit www.retail.org.au or call 1300 368 041.

THE Council of Small Business Australia (COSBOA) has announced today that Gerardine Kearney, President, Australian Council of Trade Unions (ACTU) and Chris Jordan, Australian Taxation Office (ATO) Commissioner will deliver key plenaries at the National Small Business Summit (NSBS) to be held in Melbourne on 7 – 8 August 2014.

Peter Strong, Executive Director of COSBOA says the calibre and number of keynote speakers and attendees at this year’s NSBS reinforces the importance and impact of small businesses on the Australian economy and culture.

“We’re pleased to see so many quality speakers and attendees already confirmed for this year’s event, ensuring that small business issues remain at the top of the public and political agenda,” Mr Strong said.

The annual two-day summit will also feature presentations from industry leaders including:

• Mark Brennan, Australian Small Business Commissioner;
• Geoff Browne, Victorian Small Business Commissioner;
• Natalie James, Fair Work Ombudsman;
• Dr Michael Schaper, Competition & Consumer Commission (ACCC)
• Warren Day, Australian Securities & Investments Commission (ASIC)
• Plus many others.

Industrial relations, workplace relations, productivity for Gen-Y and Baby Boomers, and women in business are just some of the hot topics that will be discussed and debated as part of this year’s event, bringing together the country’s most influential small and big business delegates, senior politicians and bureaucrats.

Visit: www.nationalsmallbusinesssummit.com.au to see the program and register for the 2014 National Small Business Summit.

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ONE of Australia’s biggest public policy mistakes in decades has been fittingly consigned to the dustbin with today’s repeal of the carbon tax legislation.

Queensland Resources Council Chief Executive Michael Roche said that with the net cost of the carbon tax to the Queensland resources sector approaching $700 million this financial year, its axing would come as welcome relief for mineral and energy exporters. 

"Repeal of the carbon tax is good news for the Queensland economy," Mr Roche said.

"The carbon tax was a massive double-fail.

"It failed to achieve its environmental objective of reducing greenhouse gas emissions while loading the Australian economy with costs over and above anything imposed on minerals and energy export competitors.

"Report after report found that energy-intensive industries were likely to shift out of Australia to countries without an onerous tax on carbon."

A Griffith University study for the US-based Institute for Energy Research released last September concluded that carbon leakage was one of the most important lessons learned from the introduction of Australia's carbon tax.

The report said: "The effect of a carbon tax on emissions-intensive, trade-exposed industries is similar to a tax on exports or a tax on import-competing industries. Domestic emissions in these industries may fall after a carbon tax is imposed, but that cannot be counted as an environmental gain if the ultimate effect is that emissions simply rise overseas. The net effect is a pure deadweight cost to the economy." (link to report below) 

Mr Roche said the resources sector had argued consistently that without global alignment in emissions management, the imposition of a broad and expensive domestic carbon price would damage the Australian economy without benefit to the environment.

"Fixing the carbon tax – as advocated by the federal opposition – is not just a question of the price. 

"Dropping the carbon tax and adopting Europe’s emissions trading system would require a massive design overhaul as the European scheme provides genuine protection for the international competitiveness of its trade-exposed industries. 

"Furthermore, and crucially for Queensland, it excludes fugitive emissions from coal mining. Australia’s carbon tax regime afforded no such protections."

Mr Roche said the Queensland resources sector supported a measured transition to a low-emissions economy, subject to major global emitters and Australia’s resource competitors moving in the same direction.

"An effective policy response to managing climate change requires a global agreement on greenhouse gas abatement including comparable emissions-reduction commitments from all major emitting nations, substantial global investment in low emissions technologies and mechanisms to encourage the lowest-cost abatement.

"The Abbott Government’s Direct Action model correctly targets abatement where it is achievable through the provision of direct incentives.

"This contrasts with the approach of the former carbon pricing scheme which was characterised by a blunt and punitive tax on a firm’s entire CO2 emissions footprint, irrespective of whether the firm had the capacity to reduce those emissions," he said.

www.qrc.org.au

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Resource industry employer group AMMA (Australian Mines and Metals Association), statement by Steve Knott, Chief Executive.

TODAY’S passing of the carbon tax repeal legislation is welcomed as the first of several critical measures required to put Australia back on a level playing field with our international competitors.

Australia has a strong track record as a leader on important social and environmental issues, however any program to reduce our emissions must be closely calibrated with international efforts to avoid damaging our globally exposed industries and living standards.

Repealing the carbon tax removes one of two ideologically driven, flawed taxes imposed by the former government that have added unnecessary costs and risk to investing and doing business in Australia.

The next step in restoring Australia’s global competitiveness should be repealing the Minerals Resources Rent Tax (MRRT).

We need to remove the impediments that stand in the way of further development of our resources sector and secured the associated employment opportunities and economic growth.

Following that, as a nation we need to get back in the business of long-term, sustainable workplace relations reform that will address deeper issues of productivity and competitiveness and bolster our reputation in the international marketplace.

www.amma.org.au

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