The Minerals Council of Australia (MCA) Victoria has welcomed the Victorian Government’s decision to establish a Royalties for Regions program, saying the policy aligns with industry calls for mining royalties to be reinvested into regional communities.
MCA Victoria executive director James Sorahan said directing minerals royalties back into regional Victoria would provide greater support for communities that host mining activity.
The program will see minerals royalties returned to regional areas to support investment in community priorities.
“Royalty reinvestment enables the mining sector to support more investment in regional Victorian communities,” Sorahan said.
Victoria’s minerals industry has previously called for royalties paid by mining companies to be returned to regional areas to support infrastructure including roads, schools and hospitals.
Sorahan said mining was a significant regional industry, employing and training regional Victorians, supporting local suppliers through buy local policies and investing $570 million each year in community support.
With about $150 million in royalties currently paid in Victoria, MCA Victoria said reinvesting this funding into regional areas would add to the economic benefits of developing the state’s gold and critical minerals resources.
The organisation said strategic investment in regional infrastructure could help address challenges facing communities and industries, including road needs, shortages of trades skills, and limited access to childcare and healthcare options.
MCA Victoria said the mining industry would work with local communities, councils and government to support consultation and co-design of the program.
Sorahan said ensuring communities had a role in shaping the program would help create stronger outcomes for regional Victoria.
“Victoria’s mining industry will work with local communities and government to ensure community and council consultation and co-design so communities have a say and a stake in the program,” he said.
