Minister sees bright future for coal, gas

Foreign investment needs boosting in order to capitalise on growth in Australia's mining sector, Resources Minister Josh Frydenberg says.

Australia is in the box seat to capitalise on growing demand for mineral and energy exports, says Resources Minister Josh Frydenberg.

But he said workplace laws needed further change, foreign investment encouraged and "unhelpful" restrictions to coal seam gas development should be removed to boost the sector.

Mr Frydenberg, who took over the portfolio in September, laid out his vision for resources in a speech to the National Press Club in Canberra on Tuesday.

He said the government was consulting on changes to workplace laws which would place greater limits on union officials' right of entry to work sites and extend the life of so-called greenfield project agreements.

Previous Labor governments had left a legacy of workplace laws which hurt productivity, he said.

A review into Australia's gas supply is due out soon, which Mr Frydenberg said should spark a debate about the need for more gas suppliers.

"One of the things I have been concerned about is some of these moratoriums at state level around `unconventional gas', otherwise known as coal seam gas," the minister said.

He said Queensland had shown what could be done - with the co-operation of landowners, environmental checks and the use of an independent umpire - to "turn back the tide" of concern about CSG.

Acknowledging the slowness of some mine and gas approvals, the minister said progress was being made on speeding up offshore petroleum project approvals.

But getting a "one-stop shop" for onshore project environmental approvals was still "working its way through the political process".

"Australia is in a box seat to capitalise on (demand) and if we don't have the domestic policies in place, we will lose out to other countries," he warned.

Responding to fears in regional mining communities that the sector will shed more jobs, Mr Frydenberg said the longer-term prospects were "positive".

The resources sector represents about 10 per cent of GDP and employs more than 300,000 Australians.

It's expected resources export earnings will rise from $172 billion today to $235 billion by 2019/20, largely on the back of demand from China and India.

Even as China and India seek to bring more renewable power online, the minister said Australian coal would continue to be in demand.


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Source: AAP



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Minister sees bright future for coal, gas | SBS News