Australia’s mining industry has issued an urgent call to the newly re-elected Albanese government to overhaul national policies, enhance workforce productivity, and ramp up efforts to transition to green energy, warning that the country risks losing its global mining leadership if decisive action is not taken.
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Speaking at a high-level mining summit in Perth this week, executives from some of the nation’s largest resource companies criticized what they described as a lack of vision from both major political parties during the recent election campaign. Their demands ranged from increased investment in education and innovation, to faster project approvals, to a radical rethink of fossil fuel subsidies.
“There was nothing inspiring or motivational that we heard about the future of Australia,” said Jake Klein, executive chairman of Evolution Mining (ASX: EVN). Klein lamented the decline in mining-focused education and training, and argued that if Australia hopes to maintain its edge in the sector, it must invest in programs that make the industry attractive to younger generations.
“We need tax breaks, incentives, and a clear message that mining is a place for technological success,” Klein added.
Australian miners are pushing for a productivity boost and greener practices. Time to innovate, invest and lead the global shift toward responsible mining. https://t.co/ynFqRdfiW9
— MINING.COM (@mining) May 23, 2025
A Looming Productivity Crisis
The productivity concerns come amid signs of strain in labour efficiency and project delivery. Tony Ottaviano, managing director of Liontown Resources (ASX: LTR), pointed to the dramatic increase in time and labour required for large-scale mining infrastructure.
“Ten years ago, building a one-million-tonne gold plant required 9,000 labour hours for electrical work. Today, it’s over 20,000,” Ottaviano said. “Skill shortages and bureaucratic delays are making projects harder to deliver.”
Dale Henderson, managing director of Pilbara Minerals (ASX: PLS), echoed those concerns, noting that despite years of feedback, regulatory red tape and sluggish approvals continue to hamper the sector.
“Things have gotten worse, not better. We risk losing our incredible mining pedigree,” Henderson said.
Global Collaboration Still Key
While concerns about domestic policy dominated the discussion, Amanda Lacaze, managing director of Lynas Rare Earths (ASX: LYC), warned against isolating Australia from key global partners. As governments worldwide shift toward economic nationalism, Lacaze urged the Albanese administration to avoid going it alone.
“During the pandemic, countries retreated to their own interests,” she said. “Australia must remain open to partnerships, particularly with nations like Japan and Korea, to ensure success in processing and supply chains.”
Lacaze cited her company’s choice to develop a rare earths processing facility in Malaysia over a decade ago due to favorable government policies there. “We need to recognize the value of regional cooperation instead of assuming we can or should do it all ourselves,” she said.
Time to Ditch Diesel?
In the strongest remarks of the summit, Fortescue Metals Group (ASX: FMG) founder and green energy advocate Andrew Forrest took aim at long-standing government subsidies for fossil fuels, particularly the diesel fuel rebate that benefits major mining operations.
“We’re subsidizing the hell out of fossil fuel,” Forrest said. “And then we tell companies that want to go green that they’ll have to fight against government policy. That’s madness.”
He urged the Albanese administration to redirect fossil fuel subsidies toward the development of clean energy infrastructure, particularly green hydrogen, renewables, and electric equipment for the mining sector.
“If you’re giving away public money, make it a condition: go green or don’t get it,” Forrest demanded.
He also pressed for a national plan to deliver low-cost, locally generated clean energy. “We import all this diesel and petrol—and burn it. We have the opportunity to generate clean, abundant energy here in Australia. Let’s stop the waste and start leading.”
A Turning Point for Australian Mining?
The summit laid bare the tension between legacy industry practices and the global imperative for decarbonization. While Australia’s miners remain key drivers of the economy, their ability to remain globally competitive may hinge on whether the government responds with the bold, coordinated strategy that executives say is now overdue.
With critical minerals like lithium, rare earths, and uranium growing in strategic importance, and commodity prices surging across the board—Gold futures now trading at $3,357.70/oz and copper nearing $4.87/lb—the stakes have never been higher.
As Forrest concluded in his fiery address: “We have a golden opportunity to lead the world in green energy and mining. But the time to act is now—before someone else does it better.”
