Who’s got a backbone? More mining malarkey | Between the Lines
The Wrap with Ebony Bennett
Mining lobbyists descended on Canberra for the annual Minerals Week. On Thursday morning, the Minerals Council CEO Tania Constable described on Radio National what she sees to be the problem – policy interventions and the looming ‘threat’ of onerous environmental approvals:
We’re seeing major changes in royalties at a state level…That’s a huge impost on the industry.
Let’s be clear, royalties are the price mining companies pay to mine and sell the resources like iron ore, gas and coal that Australians collectively own. Complaining about paying royalties as an ‘impost’ on the mining industry is like a baker complaining he doesn’t get his flour for free.
It’s obvious the mining industry is trying to cow the federal government into ruling out any policy changes before the election. And they are smart enough to make the Minerals Council and BHP front their campaign. Much harder for the gas industry to argue to cut taxes and royalties when the Tax Office has labelled your entire industry “systemic non-payers” of tax and over the half of LNG exports attract zero royalties.
The Australia Institute has a long history of challenging the mining industry’s spin and this year we have been taking the gas industry head on. But it’s important that the public, the media and policymakers feel confident calling rent-seeking industry on its bullshit. Too often, claims from the gas industry, or the gambling industry, or the Business Council are taken as gospel instead of properly scrutinised and understood, which leads to bad public policy.
That’s why, in the lead up the federal election, we are delighted to announce The Australia Institute Policy School. It’s our new webinar series where Australia Institute experts will equip you with the tools to successfully advocate for policy change.
— Ebony Bennett, Deputy Director of the Australia Institute
Introducing The Australia Institute Policy School
The Australia Institute has a 30-year history of successfully changing public policy—like making the Stage 3 tax cuts better and fairer, and establishing the national corruption watchdog—using independent research combined with high-impact public advocacy. We change minds.
The Australia Institute Policy School, is a new webinar series designed to equip policymakers, campaigners, NGOs and charities, community groups and public servants with the tools to advocate for change.
Each fortnight, you will hear from policy experts from the Australia Institute, who will take you through the key things you need to create change on critical public policy issues – like fair tax reform, electoral reform, the Australia/USA relationship, the housing crisis, or reducing greenhouse gas emissions.
The first class is about Tax policy, with our Chief Economist Greg Jericho and hosted by Alice Grundy, Anne Kantor Fellow Research Manager, The Australia Institute
The Big Stories
Now the Australian economy is on its knees, will the RBA finally start cutting interest rates?
The latest GDP growth figures show the economy almost grinding to a halt. The economy grew by only 0.2% for the quarter and just 1% over the last year.
These figures reveal just how badly the Reserve Bank has misread the economy. Its decision to sharply raise interest rates has not only failed to reduce inflation but delivered an economy reliant on population growth and government spending to stop it from going into a recession, writes Greg Jericho.
Worth a punt: 2% levy on gambling revenue could replace advertising spend
There is widespread public support for banning gambling advertisements on free-to-air media because of the harm caused by gambling. The main objection is that Australia’s free-to-air networks, hit by declining revenues and fragmenting audiences, can’t afford to lose the money.
But there’s a simple solution, writes Stephen Long.
A small levy on the billions of dollars gambling companies extract from Australians could compensate the media for the lost revenue – with enough left over to increase funding for the ABC.
Such a levy would cost the gambling industry less than a quarter of a billion dollars a year, a fraction of the $25 billion that losing bets cost Australians each year.
Wealth inequality is soaring. What can we do?
New research shows that the wealth of the richest 200 people in Australia has grown to an equivalent of nearly a quarter (23.7%) of Australia’s GDP in 2024, up from 8.4% of the nation’s GDP in 2004.
As inequality hits record levels, Australia needs new ideas and new policies to fix it. We’re not without ideas, and David Richardson, Senior Research Fellow at the Australia Institute, suggests three options for tax reform that would make a big difference towards making Australia a fairer country.
Number one: properly taxing capital gains. The revenue forgone through failing to properly tax realised capital gains is estimated to be $19 billion in 2023-24.
The Capital Gains Tax Discount has been linked with soaring house prices, and when you break down the benefits by income, you can see who benefits.
Reducing this discount is a simple change that would raise revenue for services that benefit all and help reduce inequality in Australia. The report Wealth and Inequality in Australia explains
Greenwashing: How do we fix it?
When a business makes a claim about its products, it’s reasonable to expect it to be at least mostly correct. When the stakes are high, we trust that our Government will stop harmful or misleading products from being sold to people.
But when it comes to products that claim to be ‘green’ or ‘carbon-neutral’, customers have no way of verifying what these phrases actually mean, or whether they are true. Misleading or untruthful claims are so widespread that it’s got its own name: greenwashing.
In Australia, a huge part of the problem is that our Government is actively certifying and promoting companies making dubious claims, including ‘carbon neutral’ gas companies, and petrol.
Taking it back a step, causing harm to the environment was illegal, then we wouldn’t be so reliant on trying laws to protect us from greenwashing.
Senator Hanson-Young and Professor Joseph Stiglitz, Nobel Prize-winning economist reflect on the role of government in sponsoring greenwashing through its own policies, how environmental laws could stop greenwashing from being a challenge in the first place and importance of democratic integrity.
Watch all recordings from Professor Joseph Stiglitz’s tour of Australia here.
Win
National cabinet promises $4.7 billion plan for frontline family violence services
A $4.7 billion over five years national funding package for frontline services will help deliver much-needed resources to address family and sexual violence.
While it falls short of the $1 billion the sector has estimated it needs to meet the needs of Australians experiencing family and sexual violence, it is a welcome step in the right direction.
Bin
With friends like these…
“A Dutton Coalition government will be the best friend that the mining and resources sector in Australia will ever have.”
Speaking at the Minerals Council of Australia conference in Canberra, opposition leader Peter Dutton declared his intentions to fast-track environmental approvals and limit the ability of Indigenous and environmental groups to challenge approvals.
The ABC reports that he plans on “turbocharging” more than 420 mining and energy projects – many being gas and coal projects.
The approval of these projects would threaten Australia’s emissions targets of 43% by 2030
Quote
I will be casting my vote for Kamala Harris and Tim Walz in the 2024 Presidential Election. I’m voting for Kamala Harris because she fights for the rights and causes I believe need a warrior to champion them—Taylor Swift, Childless Cat Lady
Taylor Swift endorsed Kamala Harris for president moments after the end of Tuesday night’s presidential debate against Donald Trump, with a signoff referencing comments by Trump’s running mate JD Vance. Within 24 hours, a reported 338,000 people had visited the site vote.gov where people can register to vote.
Podcasts
Nothing in reserve: households “smashed” by rate hikes | Follow the Money
The Reserve Bank is home to the experts on monetary policy – but what happens when they get it wrong?
Greg Jericho and Matt Grudnoff join Ebony Bennett to discuss the latest GDP figures, the real drivers of inflation and how the Reserve Bank misread the state of the economy.
Listen now:
Jobs for the boys | After America
Dr Emma Shortis and Alice Grundy discuss Trump’s pinky promise to Elon and RFK Jr, the Prime Minister’s ‘hot mic moment’ in Tonga, and the Australia-United States relationship ahead of the third anniversary of the AUKUS deal.
Listen now:
House prices aren’t just cooked, they’re deep fried | Dollars & Sense
Australia’s housing market is cooked and capping international student numbers isn’t going to fix it.
On this episode, Greg Jericho and Elinor Johnston-Leek talk about the government’s new international university student caps and the latest house price data.
Listen now:
What’s On
Webinar: George Monbiot: Neoliberalism, Nature and Negative Consequences
It is clear that neoliberal thinking has failed Australians, and that privatisation of essential services has overwhelmingly benefitted shareholders, not the public.
Yet with extinctions increasing and the climate and biodiversity crisis escalating, Australian governments continue to promote economic pragmatism and markets as the only policy solution to protect and restore the environment despite its failure to fix our biggest problems elsewhere.
Join George Monbiot, renowned journalist and author, in conversation with Polly Hemming, Director of the Australia Institute’s Climate and Energy program, on how incrementalism and neoliberal thinking are the cause, not the cure for, global ecosystem collapse.
Announcing: Policy School!
Our new webinar series will allows policymakers to learn about key issues from the Australia Institute’s experts, and get important questions answered.
Covering the economy, climate and energy, democracy and accountability, international and security affairs, and more, join us for the first episode.
Free, register >
Webinar: Unparliamentary with Paul Karp
Unpack the big political and policy issues at Unparliamentary with Paul Karp, chief political correspondent for Guardian Australia.
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