Mines Super Profit Tax

I think that it is essential that we take an interest in the mines super-profit tax legislation. We should consider what this tax is intended to do and how it is to be applied and for whose profit.

Firstly the tax is the brain child of Mr Ken Henry who is a Senior Public Servant commissioned by the Howard/ Costello government, and that was a government that couldn’t see how they, together with the other governments of the same ilk, by removing all restrictions from control of banks and the like, was heading for a failure of the world system of economics.

Further more, Ken Henry has a personal interest in that he has to protect his not insignificant, annual income, possibly as much as a million dollars a year.

Obviously, Mr Ken Henry has a barrow to push, whereas in the opposite corner we have the genuine Australian interests represented, these are the mining magnates, the mine companies and the Coalition Parties.

Mine magnates have only their annual salary to protect and, since it is only a mere ten million dollars or so a year, it is easy to understand why they have to so strongly resist any erosion of their income. How could they advertise the advantages of this country to their friends overseas on less?

The mining companies have the problem of having to either pay a fair return for the super profits or move their operations off shore where their profits will be reduced because they will not get the same stable political conditions, climatic conditions or, in the case of Asia, transport availability. We know that the companies will do what is best for Australia because we have the examples of other international companies in similar cases. For example we have James Hardy that continued to fight for the right of their workers to keep their jobs at the mines and asbestos works as long as they could. Similarly, we have had the tobacco companies fighting to keep our right to smoke without being pestered by anti smoking agitators. The tobacco companies are still working to try to ensure that the peoples of Indonesia and Malaysia, etc are not worried by the anti smoking fanatics. We are well aware that these international companies are fully aware of their obligations and wouldn’t think of doing anything that would not be in this countries best interest.

With regard to the Coalition Parties sound objections to the supertax laws, we have only to look at their representatives.  We have Mr Ian McFarlane, previously trusted to negotiate in good faith with the opposition’s Penny Wong to obtain a bill relating to the global warming control problems that would be acceptable to the Government and Opposition and good for the country. When Mr McFarlane successfully accomplished this task, he still had the courage to oppose the bill when it was presented to the Parliament for consideration. This together with Mr Abbott’s promise to cut wasteful expenditure on schools, hospitals and the like but will give 12 months maternity leave on full pay, makes one realize just how well Mr Abbott will manage the economy and not waste money on improving the nation’s infrastructure and services.

We must make sure that we don’t have this super profit tax enacted; it will destroy the profitability of the mines and all we would get is the possible improvement in our hospital, universities, schools, superannuation and pensions etc. The miners and other workers can be sure that the mines will always look after their interests as exhibited in the recent recession when they made sure that they didn’t carry any redundant staff!

Come on Australians, give the mines a free hand, we did the banks and look how well they have served us!