PERTH (miningweekly.com) – The Association of Mining and Exploration Companies (Amec) has welcomed a decision by Western Australian Mines Minister Bill Johnston to reduce the Mine Safety Levy by 20%, from July 1.
Johnston said that the reduction would provide relief to mining companies, with the rates reducing from 21c per billable hour to 17c.
Billable hours reflect the number of hours worked at a mine site over the financial year, and is used as the basis for calculating the levy charged to the mining company. The levy funds safety and health regulatory services for Western Australia's mining industry.
"The reduction in the mine safety levy will help support mining companies during this difficult time,” the Minister said on Thursday.
"Western Australia's resources sector is playing an important part in ensuring our state, and the rest of the country, can recover after Covid-19.
"We will continue to work with industry to identify opportunities that may further assist the mining industry, which has a key role in the growth and development of our state."
Amec CEO Warren Pearce said the reduction in the Mine Safety Levy was welcome news for the mining and exploration industry and would provide a small cost reduction for companies when it is most needed.
“This change will not impact the ability of the department to carry out its critical role as a safety regulator, and our industry remains 100% committed to ensuring that all our operations maintain the highest safety standards.”
“Since its introduction in 2010 the levy has fluctuated considerably, but today’s announcement draws it back down below the 2017/18 rate.”
The Mines Safety and Inspection Levy Regulations 2010 were introduced to recover the costs of administering the Mines Safety and Inspection Act 1994 and the levy rate has fluctuated considerably over the last ten years.