Editorial by WAN Editor-in-Chief Anthony De Ceglie courtesy of the West Australian.
That this State has been blessed with a great bounty of natural resources is a wonderful gift.
Through flukes of geology and the hard yakka of generations of miners, WA has established itself as one of the world’s strongest economies.
The resources industry has provided jobs for thousands of those willing to put in the work.
And it pumps royalties into government coffers, which are then used to fund essential services, schools, health care, law and order and the like.
It was the strength of our resources industry that meant WA was able to emerge from the COVID-19 period even stronger than before.
Now it looks like it will help us dodge the turmoil wreaking havoc in other major economies around the world. However, one of the shortcomings of a resources-dependent economy such as ours is its boombust nature. When times are good, money flows and everyone benefits.
But when the good times come to and end, as they invariably do, that slows to a trickle.
A new initiative looks like going some way to making the good times last. Premier Mark McGowan will today launch a new Resources Community Investment Initiative to channel money from the State’s biggest miners into big ticket infrastructure projects as well as community and social initiatives. Already, $750 million has been committed by the resources giants, including $250m each from Rio Tinto and BHP.
Hancock Prospecting has committed $100m while Woodside, Chevron and Mineral Resources have chipped in $50m apiece.
We are talking big numbers, and projects which could transform WA and make it an even better place to live, work and raise families.
Some of the projects already on the agenda include the Aboriginal Cultural Centre, Perth Zoo Master Plan, the Remote Aboriginal Communities Fund, Perth Concert Hall redevelopment and helping to set up a Telethon capital fund.
These are transformational projects which will benefit all West Australians, regardless of their exposure to the mining industry. It’s a remarkable achievement by this Government to have convinced these miners to come to the table with chequebooks opened.
It’s important to note that these contributions are entirely separate to any taxes or royalty contributions.
In recent months, it’s become sadly fashionable for certain circles to turn their noses up at money offered by the resources industry — think Pat Cummins’ decision not to appear in promotional material for Cricket Australia’s biggest financial backer Alinta Energy, or the furore over Hancock Prospecting’s sponsorship of the Diamonds.
Yet these companies still want to generate goodwill within the community and have the money to spend to do so. It is good, long-term planning by Mr McGowan and his Government to seize this opportunity for the future of this State and its residents.
These iconic projects will also provide a legacy for the Premier’s pragmatic and forward-thinking leadership.
Responsibility for the editorial comment is taken by WAN Editor-in-Chief Anthony De Ceglie.
