Bob Brown Claims Mining Profits End Up Overseas

By Joel ScanlonJun 29 2011

The Australian Greens leader Bob Brown said that the majority of mining profits are heading out of the country. He based his statement on a report that found that $50 billion will be paid in dividends to foreign owners over the next five years by the mining industry.

Mr Brown said that before he supported the proposed mining tax of the federal government he would like a series of amendments made. The Greens maintain a crucial balance of power in the Upper House and therefore have a major say in government policy.

The Opposition leader Tony Abbott said that he was likely to oppose the mining tax of the Gillard regime no matter what form it took. He said so outright in a speech in Western Australia when he mentioned that they would rescind it if elected to govern.

Minerals Council of Australia spokesman Ben Mitchell accused the Greens of using xenophobia to make a case on the proposed mining tax. Mr Mitchell said that the Greens have stated their position that they want to shut down the coal industry altogether so this isn't really unexpected.

As per him the numbers in the Greens report just did not appear to stack up. It said that just 17 per cent of local mining companies were owned by Australians. Mr Mitchell said that 98% of the cash revenue generated in the mining industry is reinvested in to Australia.