The Queensland Resources Council (QRC) has revealed in its quarterly state and sector report, that resources companies are progressing taking action to reduce emissions and waste at their operations.
CEO Janette Hewson says the global energy transition is presenting new opportunities for all Queensland’s resources from metals and critical minerals.
Hewson says 56% of member company CEOs believe the global decarbonisation transition will lead to increased and sustained demand for Queensland commodities, including steelmaking coal which is used for wind turbines, solar panels, and electric vehicles.
Some 50% of CEOs say their companies already use renewable energy to power parts of their operations and 67% plan to make further investments to reduce emissions, she adds.
Hewson notes that companies are looking at new ways to reuse or recycle with 36% saying they will make additional investments on new initiatives.
Despite the growing number of companies taking action to reduce emissions and waste, the QRC has identified government policy and regulatory uncertainty as the “biggest concern” for the state’s resources sector, threatening new investments and jobs.
The QRC says political parties need to listen to industry concerns about the damage being done to Queensland, particularly the introduction of the world’s highest coal royalty tax rates.
“The royalties increase has added to rising operating costs, which have been identified by member companies as another significant concern for the industry,” Hewson says.
QRC says direct quotes from company CEOs include “the new royalty burden killing investment” and that the coal royalty increase has led to a “full capital strike on any expansion activities, sustaining capital only”.
Hewson adds that QRC member companies involved in other commodities say sudden policy changes have increased the risk in making such large investment decisions.
Further, 71% of non-coal company CEOs are concerned over royalties decreasing the likelihood of new projects.
The Queensland Resources Council is a peak industry association for Queensland’s resources sector and advocates for a sustainable regulatory environment and promotes industry leadership in health, safety, diversity, and environmental management.
Write to Aaliyah Rogan at Mining.com.au
Images: The Queensland Resources Council
