Mining Royalties

In reply to Mr VAN HOLST PELLEKAAN (Stuart) (12 November 2014). (First Session)

The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy, Minister for Small Business):

The increase in royalty revenue is due in principle to three factors, the change in the timing of royalty payments for major mineral producers from biannually to monthly has resulted in a one off benefit of $31 million in royalty revenue. Secondly there has been a significant increase in petroleum production from the Cooper and Eromanga Basins.

The third factor contributing to the increase in royalty collected has occurred as a result of the 2010-11 state budget announcement to update the Whyalla Steel Works Act 1958. The amendments have now been implemented and align royalty payable by Onesteel with the royalty provisions of the Mining Act 1971.