Counts Bhp: Iron Ore and Pilbara Region

counts bhp: The Minerals Council of Australia - which counts BHP and Rio as members - commissioned a report that argues the proposed new tax on iron ore would lead to the loss of 2900 jobs in the Pilbara region, 3400 in WA in total and 7200 nationally, according to Nine News Australia. The researchers Deloitte Access Economics say the lift in production costs would discourage BHP and Rio from further investing and so shrink the economy and cost jobs. The WA Nationals leader has proposed a controversial hike in the rental fee paid by BHP Billiton and Rio Tinto from 25 cents to 5 a tonne, arguing that the state two biggest miners can afford to and should pay a fairer share into the public coffers. Its impact would see the Australian economy eventually shrink by 2.9 billion a year as a result of a tax that raised 2.3 billion, MCA chief executive Brendan Pearson said. Premier Colin Barnett recently argued that WA economy remained the nation strongest, despite declines in the last three years but many economists predict it will continue to decline in the next three years due to less mining investment. Deloitte also argued WA economy would be most affected by the supposed loss in mining activity and after allowing for resultant losses in GST grants the revenue for it would be less than 300 million per year. (news.financializer.com). As reported in the news.