Liberal Party of WA leader Libby Mettam has defended the state’s resources industry, after federal opposition treasury spokesperson Angus Taylor lashed critical minerals production tax subsidies.
Production tax incentives in the style of those offered under the US Inflation Reduction Act were a core measure outlined in last night’s federal budget, with $7 billion assigned over 11 years for critical minerals processing and $6.7 billion over 10 years for green hydrogen.
They will provide a 10 per cent credit for value-adding critical minerals projects and a $2 per kilogram subsidy for green hydrogen production, with each kicking in during 2027.
The credits were welcomed by industry but criticised by the federal opposition, with Mr Taylor telling ABC radio the credits would deliver “billions in handouts for billionaires”.
Mr Taylor said the critical minerals sector was among the nation’s most competitive and didn’t need the support of subsidies to survive.
Mr Taylor’s position places the federal opposition at odds with the Liberal Party of WA, with Ms Mettam telling media today the local branch of the party supported the credit.
“We will support this measure,” she said.
“It’s something that I will raise with my federal colleagues. We are committed to jobs and industry and new industries in Western Australia, and that is my position.”
Ms Mettam went as far as to say the federal Labor Party had taken too long to introduce incentive measures.
“We unashamedly support WA industry, and we know this will be of benefit to WA,” she said.
The difference of opinion comes as the WA Liberals hit out at federal and WA Labor over the live export trade.
Reports emerged today that state Agriculture Minister Jackie Jarvis had written a scathing letter to federal counterpart Murray Watt over the ongoing live sheep export ban.
The federal government has committed to phasing out live sheep exports by 2028; a decision at odds with the desire of a WA government that wants to keep the industry running.
WA is the only state that exports live sheep by sea.
“The agriculture minister [Ms Jarvis] should have been on the plane to Canberra, knocking on the PM’s door and demanding that our federal agriculture minister overturn this ban,” Ms Mettam said.
Ms Mettam dismissed suggestions her stance on the WA government’s response to the live export ban was hypocritical.
“From time to time there may be differences of opinion, but we have set out our priorities,” she said.
“My commitment has been consistent in relation to this matter.”
