Michael Ronaldson (Victoria, Liberal Party, Minister for Veterans’ Affairs) Share this | Hansard source

Can I thank Senator Eggleston most sincerely for that question. I note his deep and abiding interest in the mining industry in Western Australia. Indeed, I note the interest of Senators Johnston, Cash, Smith, Cormann and Back. I thank them most sincerely for their interest. As you would be aware, Mr President, at 1.58 today the dagger was put in the heart of the people of Western Australia when the abolition of the mining tax was voted down.

I thought it might be of interest to the chamber to just indicate that the Minerals Council of Australia estimates that the mining tax set-up cost to the mining industry has been well in excess of $30 million and, conservatively estimated, ongoing compliance costs are approximately $10.5 million per annum. With this set-up cost and the compliance cost added together, a tax has been imposed on the industry of at least $40 million to date.

Given the obvious economic trends in relation to the resources sector, Western Australia needs all the confidence it can get. Curiously, the Labor senators in this place have a different attitude to those members in the other place. Out of interest, last week the Labor member for Perth, Alannah MacTiernan, said of the mining tax:

I think it would be fair to say that the mining tax hasn't done the job that it was designed to do …

So what have we heard from Senator Sterle and, more importantly, Senator Pratt in relation to this matter? We have heard nothing but protection of the mining tax. When Alannah MacTiernan says that it has not done what it was designed to do, she is absolutely right, because it was designed to give $4 billion in year 1 and $6 billion in year 2, and it has given a maximum of $400 million. (Time expired)