Construction Work in New Resources Projects in Australia Up 31% in 2011
It was still a banner year for the mining sector of Australia in 2011 despite claims by some groups that the boom has waned. Proof of the strength of the mining sector is that while the previous year was marked by economic contraction in many countries, construction work on new resources projects in Australia went up 31 per cent for the year.
In states which have large mining industries such as Western Australia and Queensland, the sector held up the domestic economy.
The figures belie warnings by several groups that mining is on the decline. The Sydney Morning Herald said the mining boom was the biggest economic problem facing Australia, while the Construction, Forestry, Mining and Energy Union warned that the nation's economy is in peril of being torn apart by the resources boom.
While the Treasury opined that the mining growth did not spread its benefits to the general population, a study made by Port Jackson Partners for the ANZ Bank came to a contrary conclusion that benefits of the mining industry flowed much deeper and broader than commonly believed.
"The mining boom involves sophisticated industries, whose discoveries and activities and the buoyancy of export demand for those have greatly increased the buying power of Australian consumers and industries and produced large income flows," Minerals Council of Australia Chief Executive Mitch Hooke quoted Productivity Commission Chairman Gary Banks in The Australian.
Mr Hooke believes what will create a larger negative impact on the Australian economy is the carbon tax which when it comes into effect in July will be about 300 per cent higher than its European counterpart.
Another proof of the continued boom of the mining sector is the roll out on Jan 9 of Sunshine Coast's first fly-in, fly-out charter operation after mining giant Rio Tinto inked a long-term contract with airline Skytrans. The service offers four flights a week from the Sunshine Coast Airport to Clermont, Central Queensland.
Other Australian mining companies such as BHP Billiton is also considering having a similar service that will connect the Sunshine Coast directly to mining companies.
"More and more people are wishing to work in the mines and this gives them the opportunity to do so," Skytrans southeast Queensland Manager Steve Bellamy told the Sunshine Coast Daily.
With the service, mining firms will seek new employees in Sunshine Coast instead of paying for workers to travel of Brisbane, Mr Bellamy explained. He added the two Dash 8 aircraft could ferry up to 50 miners or fly 400 employees to and from Clermont weekly.