The economic contribution of Queensland’s minerals and energy sector is highlighted in a report released today by the Queensland Resources Council (QRC).
Treasurer Curtis Pitt said the QRC’s Economic Impact of Minerals and Energy Sector on the Queensland Economy 2014/15 report was a timely reminder of the sector’s importance to the state economy.
“Queensland’s minerals and energy sector makes a significant contribution to the State economy and it’s also a major source of jobs,” he said.
“It earns the State billions of dollars in export income and the royalties it generates help to pay for frontline services that benefit all Queenslanders.”
According to the QRC report, direct spending in Queensland from the minerals and energy sector totals $32.9 billion, including:
– $5.2 billion in wages and salaries to approximately 38,461 fulltime residents;
– $24.7 billion in purchases of goods and services from local businesses, community contributions and payments to local government; and
– $2 billion in State Government payments, including royalties, stamp duty, payroll tax and land tax.
Mr Pitt said the resources sector was currently facing its share of challenges.
“This is a result of the fall in global commodity prices and the completion of capital investment we’re seeing in the LNG industry,” he said.
“Construction activity in the resources sector was particularly strong in 2014/15 as work on Curtis Island’s LNG export facilities neared completion.
“The transition from the construction to production phase is still occurring, but we’re already seeing real benefits in the form of extra export income.”
Mr Pitt said recent events in the resources sector highlighted the need for strong policy responses from government when required.
“The minerals and energy sector is crucial to Queensland’s economic future, and the Palaszczuk Government recognises its contribution to State growth,” he said.
“The sector bring jobs, investment and economic development to communities throughout the State.
“We’ll continue to champion the resources sector because of the jobs and economic uplift it creates.”
The QRC surveyed its full member companies to compile the report, identifying the economic contribution of the minerals and energy sector to the Queensland economy in 2014/15.
The spending data collected in the survey includes employee salaries and wages, business purchases, community contributions and local, state and federal government payments.