9 May 2010

Mining super tax worries Queensland Premier

12:11 pm on 9 May 2010

Queensland Premier Anna Bligh has expressed concern about the federal government's proposed super tax on mining companies, saying she wants changes to protect the liquefied natural gas sector.

The federal government has condemned the mining sector for being hysterical about its new mining tax.

Under the proposal, mining companies will pay 40% on all profits above a threshold of 6% profits.

The tax is expected to raise about $A9 billion per year for the federal government. It would apply from 2012.

The ABC reports Ms Bligh is the first state Labor leader to publicly question the proposed super tax.

Back from a trip overseas, Ms Bligh on Saturday expressed deep concern with the tax and said she will need changes to support it.

She said LNG projects in Queensland must be protected.

Gas producer Santos this week announced it would defer a decision on whether to build a $A15 billion LNG export terminal at Gladstone in Queensland.

The ABC reports the Liberal Party State Council in Western Australia has unanimously opposed the super profits tax, saying it will harm the mining industry.