GRRG welcomes Barnett Government decision to leave rates unchanged

March 25 2015

GRRG welcomes Barnett Government decision to leave rates unchanged

Western Australia’s gold miners have welcomed news the Barnett Government has ruled out an increase in the gold royalty rate.

Gold Royalties Response Group (GRRG) spokesperson and Doray Minerals Managing Director Allan Kelly praised the announcement by Mines Minister Bill Marmion that there would be no change to current royalty rates.

“We are delighted that Minister Marmion has taken this issue off the table,” Mr Kelly said.

“On behalf of the 20,000 men and women who work in the gold industry we say thank you.

“For more than a year our industry has been speaking up on behalf of our members, our passionate workers and our supporters and we are delighted that the Barnett Government has listened.

“Today’s decision demonstrates the Government understands that the gold industry plays a critical role in keeping our economy and our community strong.

“It is also clear the Government knows that our industry is doing it tough in a highly competitive global market.”

Mr Kelly paid special tribute to Kalgoorlie MP, Wendy Duncan and Eyre MP, Graham Jacobs for their tireless advocacy on behalf of the industry.

He said the decision would restore much needed confidence and certainty to the WA industry.

“Our members are confident that this decision will be a much needed boost and will provide investors and companies with the certainty they need to make investment decisions,” he said.

“It will also be welcomed by our workforces and the suppliers and regional communities which depend on our industry for their livelihoods.”

The Mineral Royalty Rate Analysis has taken three years to complete and this has coincided with particularly tough times for the industry with a volatile gold price and high operating costs.

“We trust the Government will now remove any reference to increased royalty revenues from the forward estimates,” Mr Kelly said.

The GRRG will consider the MRRA and continue to make the case that any increase in the gold royalty will have a negative impact on the industry and result in significant job losses.

“We pay our fair share of taxes and royalties and our industry already contributes more than $8 billion to the state’s economy each and every year,” Mr Kelly said.

Back to News & Video