Resource and energy export earnings hit record $425 billion
Australia’s resource and energy export earnings are forecast to hit a record high of $425 billion for 2021-22.
Resources and Water Minister Keith Pitt said the latest forecast, from the Department of Industry, Science, Energy and Resources’ March 2022 edition of the Resources and Energy Quarterly ( REQ), are up 12% from the December 2021 REQ projection of $379 billion.
“The March 2022 REQ revealed that rising demand and high prices for Australian gas, coal and oil are a key driver of our record export earnings. In short, our resource sector knocks it out of the park and supports our economic growth, our energy security and our national security,” said Minister Pitt.
“Critical global shortages of energy and raw materials have resulted in record prices for many of our raw materials.
“REQ notes that with international coal prices at record highs – as the war in Ukraine and ongoing La Niña weather conditions affect supply and demand – the combined coal export earnings of the Australia are expected to reach around $110 billion in 2021-22.
“Coal becomes only the second Australian product after iron ore to cross the $100 billion annual export mark.
“Combined lithium, nickel and copper export revenues will likely exceed $23 billion in 2021-22, which would represent a 38% increase over 2020-21 revenues.
“These forecasts further confirm how important Australia’s resource and energy sector is to the country’s economic and energy security.
“These record earnings will continue to benefit all Australians, including through corporate taxes, the taxes paid by the more than 270,000 people in well-paying jobs, the more than one million indirect jobs generated By sector and charges the States and Northern Territory use to pay for services such as hospitals, roads and schools across regional Australia.
“Our resource and energy sector is too important to risk at the hands of a government that does not fully support it.
“The Greens plan to form a government with Labor and cut hundreds of projects and thousands of jobs. Make no mistake, a Labour/Green alliance would spell disaster for our country,” said Minister Pitt.
The REQ also indicates that the future outlook, for 2022-2023, could see resource and energy export revenues decline to record lows at $370 billion as bulk commodity prices return to low levels. more familiar. However, global uncertainty and strong global demand see a lot to the upside in this forecast.
The latest Resources and Energy Quarterly Report is available on the Department of Industry, Science, Energy and Resources website.