Why do we subsidize the mining industry

[colic2bullsgirlore]

to the tune of 4.5 billion dollars a year??

Why does the same "excuse" for not subsidizing the vehicle manufacturing industry not also apply to the mining

industry

It appears to me that any infrastructure the mining industry develops ie roads or railways..... have a mine at one end and a Port or refinery at the other

...... and are built for the express purpose of profit and expediency that ultimately benefits... the miners themselves.

.....especially the Uranium mining industry given Australia's unique position of holding more than 90% of the worlds Uranium raw product reserves... it's not like they can mine Australian ore anywhere else??

.... Just like mining towns are developed to lure miners and their families closer to the mines...that really only

maximises profit under the guise of "good citizenship"

http://thehoopla.com.au/mining-profits-facts/

The paper emphasizes that a large percentage of profits will be reinvested in Australia.

But a lot still makes its way overseas. Of the $37 billion profit to foreign equity owners in the 12 months to 31 March 2011, $7 billion was paid overseas as dividends or income withdrawals. Seven billion!

Some think this is state-sponsored theft. Others understand that without heavy overseas investment, the mining industry with the employment it provides and the taxes it pays, would be under-resourced at best and non-existent at worst.

Perhaps Australia would find a more acceptable middle ground if some of the handouts to the miners were subjected to some soul searching. 

Since 2009, the WA Government for example, has given miners $9.2 million under an “Exploration Incentive Scheme”.  

Gina Rinehart pocketed nearly $39,000. Andrew “Twiggy” Forrest took nearly $62,000.

Last year Ms. Rinehart grew nearly $1.9 billion richer. If would take her just over a minute to earn the $39,000 she took from the West Australian taxpayers.

http://greens.org.au/sites/greens.org.au/files/ending_fossil_fuel_subsidies.pdf

http://en.wikipedia.org/wiki/Rail_transport_in_Western_Australia

http://www.railpage.com.au/news/article-5777/

http://greens.org.au/sites/greens.org.au/files/ending_fossil_fuel_subsidies.pdf

The fact is that the Latrobe Valley now disused Coal mine fires is a shining example of how miners  dump us once

the profitability is gone from the big hole in the ground....

[boris1gary]

[boris1gary]

colic2, well after reading the SMH and the Tele - it's because there are way too many poor people and they are unsustainable, where as there aren't that many  billionaire mine owners so we can afford to subsidize them. We even subsidize their fuel, how nice is that.

The Guardian

The billions of dollars in diesel fuel rebates paid to mining companies is environmentally unsustainable and financially irresponsible. This money could be diverted to research and development of environmentally responsible renewable energy sources, creating jobs as well as making a positive contribution towards addressing climate change.

[monman12]

"....especially the Uranium mining industry given Australia's unique position of holding more than 90% of the worlds Uranium raw product reserves.". 90%?????

Actually C2BG,  according to the World Nuclear Association, over 60% of the World’s uranium reserves are located in four nations, Australia (31%), Kazakhstan (12%), Russia (9%), and Canada (9%). The U.S. has approximately 4% of the World’s known reserves. Kazakhstan is the World’s leading producer of uranium.

"The mining industry's contribution to the Australian economy is now $121 billion a year. In terms of export income, it generates $138 billion per annum, which represents over half (54 per cent) of total goods and services. Across the nation mining employs 187,400 people directly, and a further 599,680 in support industries. In wages and salaries that amounts to $18 billion; an additional $21 billion is contributed through company tax and royalty payments. Not least, the industry spends $35.2 billion on new capital investment, $5.7 billion on exploration, and $4.2 billion on research and development"

Yes some profit goes overseas because that is where major capital investment comes from, and a lot of shareholders.

"The fact is that the Latrobe Valley now disused Coal mine fires is a shining example of how miners  dump us once the profitability is gone from the big hole in the ground...."

How did that come into the debate? As for relevance/facts  I would like a few apropos the Morwell open-cut brown coal mine and the small section that  is burning because I fail to see any here.

"Why does the same "excuse" for not subsidizing the vehicle manufacturing industry not also apply to the mining  industry"

The fact that the mining industry is very profitable might be a clue!.

nɥºɾ

[lakeland27]

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@boris1gary wrote:

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the 'epitome'  of greed  .

[silverfaun]

What an odd thread, attacking an industry that got Australia through the GFC, employed thousands & saw the greated money train in Australia's history.

Today it still employes thousands of young people who are willing to go west to assure their future with the high wages they earn

Let's destroy the mining industry, lets adhere to the Greens policy of destruction, will all the opponents be  be happy living in the dark, homeless & starving like the 3rd world countries the Greens want whilst our energy prices soar, lets leave it in the ground shall we.

[boris1gary]

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@lakeland27 wrote:

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@boris1gary wrote:

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the 'epitome'  of greed  .

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yes she really is the "poster child" of the idle rich and a great mate of the Prime Minister for Unemployment.

[lakeland27]

mining is the industry which destroyed all of our others. they need to compensate the rest of the country.

[icyfroth]

"Epidemy" should be epitome lol. But doesn't matter.

 Why do we subsidize the  mining industry?

Because Australian governments are like that. They're bought and sold like any other commodity on the market. Look at the Union Carbide Hombush plant here in Sydney. They were dumping heavy metals and toxins into beautiful Parramatta River for years without a peep of enquiry from the government. They didn't stop til after the Bhopal explosion after which they pulled out of the Pacrim around 1987. They were let leave Australia without any contribution or compensation to the clean up of their site, leaving a huge pollution mess which to this day is still not fixed and is unlikely to ever be.

[silverfaun]

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@lakeland27 wrote:

mining is the industry which destroyed all of our others. they need to compensate the rest of the country.

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huh?

[*mrgrizz*]

Gina doesn't want anyone to have money.......her own children included.

i meet her many years ago she is a horrible woman........she is more man with a lot less wo