Mineral and energy policies*

Abstract

Recent years have seen significant growth in the mineral and energy resource industries globally. In Australia, the mining boom has impacted on the broader economy through appreciation of the Australian dollar resulting from strong resource exports. At the same time, the Australian Government is moving to introduce a mining tax and a price on carbon, both of which will have significant impacts on the resources sector. The environmental and social impacts of mining continue to be an important focus of public debate and academic research. With such momentous changes underway, a special issue of AJARE focusing on these themes is well-timed. Australia is well endowed with a range of mineral and energy resources. Australia has the largest economic demonstrated resources of brown coal, lead, rutile, zircon, nickel, silver, uranium and zinc, as well as significant resources of antimony, bauxite, black coal, copper, gold, industrial diamond, iron ore, ilmenite, lithium, manganese ore, niobium, tantalum, tungsten and vanadium. The resources sector is an important contributor to the Australian economy. In 2010–2011 in industry gross value-added terms, mineral resources accounted for around nine per cent of GDP ($117.7 billion). In 2010–2011, resources and energy sectors exports were valued at $177.4 billion and accounted for a record 83.9 per cent of commodity exports and 59.5 per cent of total goods and services exports. In employment terms, the resources sector is a small part of the Australian economy, accounting for less than two per cent of total employment in 2010–2011. Despite this small number, the relatively high wages paid by this sector present a challenge for other industries competing for labour.