Coal's massive contribution to Eastern Australia continues
Coal continues to underpin the economic strength of Eastern Australia, directly injecting over $26 billion into Queensland and NSW last financial year.
Primary data collected across NSW and Queensland has revealed the extent to which coal mining directly contributes to both states - a combined $26.1 billion in direct spending; a total of 37,732 direct jobs; and more than 17,180 local businesses supported across both states.
Despite difficult business conditions, coal royalties continue to beef up the states’ coffers, providing $1.6 billion to Queensland and $1.1 billion to NSW governments, which helps pay for state services such as hospitals, schools and roads.
Coal mining companies directly injected $10.3 billion into the NSW economy by way of wages, salaries, business purchases and community contributions. In Queensland, coal mining companies directly spent $15.8 billion on the same.
In NSW, the $10.3 billion of spending in 2014-15 included $2.3 billion in wages and salaries, only slightly down on the previous year’s figures, to 17,165 full-time employees. $8 billion was spent on purchases of goods and services with 6,085 local businesses, along with community contributions and payments to local government.
“Coal mining is going through tough times, however the sector is resilient and still making a massive contribution to our economy,” NSW Minerals Council CEO, Stephen Galilee, said today.
“Coal provides around 85% of NSW electricity and remains NSW’s most valuable commodity export. With hundreds of new technology low emission coal-fired power generation units being deployed by trading partners across the region, the International Energy Agency has forecast demand for coal to increase across South East Asia and India. We’re already starting to see evidence of this, with exports of NSW coal to India increasing by 110% in the last financial year alone,” Mr Galilee said.
“With the right policy settings from government we can manage the industry’s short term challenges and continue to deliver jobs, investment, and economic opportunities, over the long term.”