Colin Barnett rejects report WA Treasurer privately backed mining tax
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WA Premier Colin Barnett has rejected a claim from the Nationals leader that the Treasurer may have supported a proposed levy on BHP and Rio Tinto.
According to a media report, Brendon Grylls said Treasurer Mike Nahan privately backed his plan to raise more than $7 billion from iron ore miners.
But Mr Barnett today said when Mr Grylls brought up the idea last year, it was rejected.
"When Brendon had this idea he obviously spoke to Mike, he spoke to myself about it and tried to, if you like, sell the idea to the Liberal Party but we have rejected it," he said.
"I made it very clear to Brendon that we would not be tearing up state agreement acts — that's Grylls claim — it's been the basis of the mining and petroleum industry in this state for the last 60 years.
"There are some anomalies, I guess in some of those old acts, but three years ago I renegotiated all of the iron ore royalties for BHP and Rio Tinto which generates around $200 or $300 million extra for Western Australia, a year, and somewhat coincidentally, funded half the cost of the new Children's Hospital."
Grylls suggests Liberals would support tax post-election
Mr Grylls has said he held talks with the Treasurer about his proposal to increase the 25 cents per tonne lease rental to $5 per tonne on iron ore production, and as a result of those discussions, felt the Liberal Party would agree to the move post-election.
But in a statement to the ABC, the Treasurer flatly denied it.
"The Liberal Party does not support an increase in the iron ore tax … I cannot be clearer on that," Mr Nahan said.
"I have never supported Mr Grylls' proposal and I made that very clear right from the start."
The Labor leader Mark McGowan has taken the opportunity to ramp up his own criticism of Mr Grylls' proposal.
"Brendon Grylls has indicated Mike Nahan supports the job-killing mining tax," he said.
"If you work in the mining industry, if you support mining, you cannot support the Liberals and Nationals because they are a threat to your job.
"They are a threat to the state's economy."
A spokesman for Mr Grylls said he had nothing to add to his reported claims.
Topics: mining-industry, political-parties, elections, wa
