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The Liberals Support Resource IndustriesThe first priority of the new Earth Resources Development Council (ERDC) must be to investigate permit approvals processes and access to public land for our resources industries. By Phillip Davis - 24th October 2006 - Back to News Speaking at the annual meeting of the Prospectors and Miners Association of Victoria held in conjunction with the Gold, Gem and Treasure Expo in the ‘Golden Triangle’ at Dunolly, Shadow Minister for Energy and Resources Philip Davis said the formation of the ERDC was welcome, and the council should give advice as a priority to the Government on these matters.
Mr Davis said the Bracks Labor Government had consistently ignored industry concerns and Resources Minister Theo Theophanous showed his continuing contempt of the small mining sector by pulling out at the last minute from his commitment to speak at today’s AGM.
Mr Davis said the Liberal Party on the other hand has always supported Victoria’s resource industries, which contribute $4 billion each year to the Victorian economy.
"Victoria’s resources drive our state – they power our cars, our homes and our industry and provide the construction materials we need for major projects and roads. Without them, Victoria would come to a stand-still," he said.
"More than 8000 people are employed directly in the resources industry in exploration, mining and production, and taking into account downstream processing activities 90,000 are employed.
"One of our most valuable resources is brown coal, of which Victoria is privileged to have the second largest resource in the world. Brown coal is valuable because it supplies Victoria with cost-efficient electricity to keep our industries, businesses and homes connected and operational.
"Brown coal production for electricity generation increased to 67 million tonnes in 2004/05. This is an increase of one million tonnes during the previous three years. Brown coal provides 97 per cent of Victoria’s electricity needs with a 700 year reserve at present demand.
"Gold mining in Victoria is steeped in tradition and remains an essential part of the resources industry. Production of gold in Victoria is 123,308 ounces. Despite industry expectations that production will rise to one million ounces by 2012, Victoria does not compare well against Australia’s production of 5000 tonnes of gold over the past 22 years compared with only 65 tonnes in this state. Victoria appears to be standing still while gold production elsewhere in Australia has taken off.
"The Iluka Douglas mineral sands mine in the Murray Basin is an exciting development worth $280 million. When complete, the mine is expected to produce 250,000 tonnes of heavy mineral concentrate, 69,999 tonnes of rutile and 130,000 tonnes of zircon. About 150 direct jobs will be created at the mine, along with more than 400 in other industry sectors. Iluka Douglas is expected to generate up to $1.5 billion in export sales.
"Crude oil and condensate production from the Gippsland Basin has declined to 94,000 barrels per day from 450,000 barrels per day in the mid 1980s, while gas extraction increased last financial year. While oil and condensate production in the Otway Basin decreased last financial year, the Otway Basin is an emerging force with strong gas production predicted for the next 12 months and into the future.
"More than 800 quarries are also operational in Victoria. Last financial year, more than 41.7 million tonnes of rock, clay, sand and gravel was extracted. This was an increase of 2.8 million tonnes on the previous year."
Mr Davis said there were also up to 10,000 small scale miners and amateur prospectors trying their luck with metal detectors, hand tools, pans and sluices in search of gold, gemstones and other minerals.
"With such a vast resources industry active in Victoria, it is important that the State Government acknowledges and understands how these industries operate and the valuable contribution they make to our way of life. Only through this understanding will Governments adequately support the resources industry," he said.
"All sectors of Victoria’s resources industry are growing rapidly, adding substantial wealth to the state. However, to sustain the growth a favourable environment for exploration is essential. But too often the Bracks Labor Government has ignored the resource sector, forcing through legislative changes without proper consultation and disregarding the huge input the industry has on Victoria. Since forming Government, Labor has systematically closed more and more Crown Land to public use.
"The Scorecard of Mining Project Approval Processes report prepared for the Minerals Council of Australia identified access to Crown Land as a major issue, rating Victoria well below all other Australian states. The report noted "Areas of concern in Victoria relate to water management and crown land access. Uncertainty about the creation of parks and reserves is one area of concern regarding crown land".[1]
"There should be no further change of classification of Crown land without full socio-economic, resource and environmental assessment. All future alienation proposals should be subject to a rigorous impact assessment before any mineral resources are sterilized from all future potential utilisation. The Victorian Government should undertake an impact assessment of the economic cost of quarantining this state’s earth resources from future development.
"Therefore a Liberal Government is committed to having a proper inventory of earth resources before any more Crown Land is quarantined from the resources industry.
"Excessive red tape is also burdening the resource sector. The unnecessarily bureaucratic application and approval processes of the Bracks Government have discouraged investment
"A Liberal Government will overhaul the current approval processes, in a bid to dump any unnecessary and time consuming red tape and regulation. A Liberal Government will establish a one-stop-shop for approvals to resolve the apparent bureaucratic inertia, with agreed inter-departmental protocols and clear leadership from Ministers and department executives to fast track resource industry investment proposals.
"The Liberal Party recognises the value of our resources in Victoria, and when in Government is committed to developing our valuable resource industries and providing support to enable further growth into the future."
[1] Scorecard of Mining Project Approval Processes, prepared for the Minerals Council of Australia, May 2006, pg 4-5, and also Table 3-9: Results for Crown Land Access Processes.
Source: http://gippsland.com/ Published by: news@gippsland.com
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