Royalty dodge by Rio Tinto and BHP-Billiton

Western Australia’s hospitals, schools and communities will be $60 million poorer next year because of a royalty dodge by mining giants Rio Tinto and BHP-Billiton.

The royalty racket has been going on for decades with producers taking advantage of concessions allocated to the companies the 1960s, despite a 70% increase in iron ore prices in recent times.

The AMWU has backed calls for the miners to be brought to account and for a tangible benefit for the WA community from the miners through increased use of the state’s manufacturing sector.

"The non-payment of appropriate royalty concessions has provided these companies with yet another way to avoid investing in the long-term future of WA," says AMWU State Secretary, Jock Ferguson. "Whilst these companies have generated millions of dollars from WA resources, the WA community has been repeatedly robbed of job opportunities due to a lack of local content and training strategies."

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