The federal government's proposed new mining tax will see the cost of roads and houses skyrocket, the opposition says.
The new Resource Super Profits Tax (RSPT), which will see a 40 per cent levy on miners from July 2012, includes the gravel, lime, phosphate and sand mining sector. However there is talk of exempting these industries.
Opposition Leader Tony Abbott said the tax on quarries would push up the cost of housing and basic infrastructure such as roads.
"A very large percentage of housing construction depends on the quarry industry," Mr Abbott told reporters during a visit of a quarry owned by the Karreman Group in Brisbane's southeastern suburb of Mount Cotton on Wednesday.
"If there is a big new tax on the quarry industry like the government proposes that's going to be passed on to Australian home builders.
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"This is not just a tax on energy. It's a tax on buildings and a tax on food because this tax hits quarries, it hits phosphate."
Karreman Group managing director Dick Karreman backed Mr Abbott, saying the tax would hurt his business.
"When you drive home, the roads you're on come out of this quarry," he said.
"The Gateway Arterial comes out of this quarry. When you walk into your house in excess of 70 per cent of that house comes out of one of these quarries.
"And the government wants to go and increase my tax bill by 100 per cent ... You are going to have to pay, the new home buyers are going to have to pay and at the end of the day no one can afford it."
Karreman Group's website says the company is Brisbane's leading supplier of road base products, having played major role in providing material for the Brisbane Port Authority and Queensland Main Roads.
