MINISTER for Mines Andrew Cripps blames the former Labor government and tight global economic conditions for the resource sector’s bureaucratic red tape and downturn in exploration.
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“The former Labor government took the resources sector for granted and hindered economic development with unnecessary red tape and regulation,” Mr Cripps said.
CuDECO’s logistics manager John Green told The North West Star the current state government was to blame for the 10 to 15 years it took for resource projects to return capital.
But Mr Cripps said the capital returns on investment depended on the commercial decisions of companies.
“The timeliness of projects starting and capital returns on investment largely depends on commercial decisions by companies whether and when to apply for exploration or mine development tenures and if and when to proceed with an exploration or mining project,” he said.
Mr Cripps said the government wanted to make Queensland the best explorer among the Australian jurisdictions.
“The Newman government wants to keep growing exploration despite tight global economic conditions, which are responsible for making it harder for explorers to attract investment for exploration and mining project developments.” Mr Cripps said the government realised Queensland’s resource potential begins with exploration, which will drive future mines and energy projects.
The Newman government has reduced approval processes for exploration work programs to 90 days.
“Under Labor it took an average 22 months to process applications, but today the new streamlined process enables applications to be resolved in around three to six months, depending on Commonwealth native title conditions,” Mr Cripps said.
Mr Cripps said the state government was simplifying the state’s resources sector legislation by reforming the Petroleum and Gas Act 2004.
This would provide exploration work programs and more flexible tenure relinquishment arrangements.