The positive flow-on effects of the Western Australian resources sector on the broader community has been confirmed and quantified in a new report released by the Chamber of Minerals and Energy of Western Australian (CME).
Western Australian Minister for Mines and Petroleum, the Hon Bill Marmion MLA, launched the Economic Reach of the WA Resources Sector at an industry function last night. Prepared in conjunction with KPMG, the report highlights the benefits of activity in the resources sector which have made Western Australia a stand out economic performer over recent years.
“The resources sector has been a driver of significant income, employment, community and infrastructure development and this report endeavours to quantify some of the broader benefits derived from the sector” said CME Chief Executive Reg Howard-Smith.
“It is clear that the benefits of a strong and expanding resources sector are shared widely and not just enjoyed by those participating directly in the sector,” said Mr Howard-Smith.
The report found that:
- When ‘resources-related manufacturing’ (18,698) and ‘resources-related construction’ (20,546) is added to ‘resources sector’ employment (103,796) this totals 143,040 direct employees in the WA resources rector (figures for May 2013).
- This equates to 11% direct employment in the state, making it the single largest sector employer.
- The WA resources sector alone contributed $89 billion and 41% of the Gross State Product (GSP) in 2011/12. This makes the WA resources sector the single largest contributing sector to the economy.
- 11% of state’s labour is employed in sectors delivering 41% of the state’s net contribution to the economy (additional return on labour, capital and other primary factors)
- The Australian resources sector contributed $169 billion to Australian Gross Domestic Product (GDP), with the WA resources sector accounting for 53% of this effort.
- 56% of Western Australian resources sector employment is in the regional communities of Western Australia.
“Outlining the economic reach of the Western Australian resources sector highlights the importance of a sustainable, strong and growing industry which, with the right policy settings, can continue to deliver benefits for all Australians,” said Mr Howard-Smith.
