‘Massive missed opportunity’: NSW could make $23bn with tiered tax on record coal profit

New South Wales could erase its budget deficit twice over by following Queensland in implementing a tiered mining royalties scheme that taxes resources companies based on windfall profits, according to an expert analysis

File photo of coal stacked at a Whitehaven Coal mine outside Narrabri, NSW. Neither major party says it has any plans to capitalise on record coal prices. Photograph: Rob Griffith/AP

New South Wales could erase its budget deficit twice over by following Queensland in implementing a tiered mining royalties scheme that taxes resources companies based on windfall profits, according to an expert analysis.

But despite the potential for a more than $20bn boost to the state’s economy, neither major party says it has any plans to capitalise on record prices that have seen the value of coal exports more than double in the past year.

In June, the Queensland Labor government announced a dramatic overhaul of mining royalties in the state by introducing three new trigger points based on skyrocketing coal prices.

Read the full article published in The Guardian 21st September 2022