BHP says Australia's mining future hinges on rocks, reforms, and racing against global rivals.

BHP Australia President Geraldine Slattery has called for a bold re-evaluation of Australia’s policy framework to secure the mining sector’s future amid what she describes as “one of the great industrial shifts in history.” 

Speaking at the Melbourne Mining Club, Ms Slattery outlined the challenges posed by the global energy transition and emphasised the pivotal role of Australian minerals in driving the change.

Her address coincides with heightened policy debate over the Albanese government’s stalled environmental reforms. 

These include proposed changes to the Environment Protection and Biodiversity Conservation (EPBC) Act, which aim to introduce streamlined permitting processes and establish an independent environmental protection agency. 

Ms Slattery described the energy transition as a defining moment for the industry and the country, especially in the nickel, copper, and iron ore sectors.

“All of us here know that [the energy transition] will not occur without the minerals Australia provides,” she said.

“Amid this global economic realignment, Australia must avoid the trap of taking our history for granted. We must recognise that the playing field has shifted.”

In the past decade alone, she said the Australian mining sector has contributed over $350 billion in company taxes and royalties - equivalent to funding Medicare for ten years. 

However, Slattery stressed that the challenges ahead demand an entirely new approach.

Labour shortages are among the most pressing concerns. 

Nearly 50 per cent of the global skilled engineering workforce is expected to retire within the next decade, with not enough mining graduates to replace them. 

“This is not a question of reward,” Slattery noted, noting that Australian mining jobs are among the highest paid globally. 

To address these shortages, she pointed to BHP’s FutureFit academies in Perth and Mackay. Launched in 2020, these academies have trained over 1,300 people - most being new to industry, female or Indigenous - in technical trades. 

Women now make up 37 per cent of BHP’s global workforce, more than double the proportion in 2016, thanks to deliberate investment in diversity programs. 

Expanding workforce participation and fostering a more inclusive industry, she argued, should be treated as a national competitiveness policy. 

In a candid assessment of Australia’s innovation performance, Ms Slattery noted the country ranks 23rd on the Global Innovation Index, trailing global competitors like the US, China, and Canada. 

“The AI boom is a mining boom too,” she declared, urging the sector to take the lead in adopting artificial intelligence to improve safety, sustainability, and productivity. 

While acknowledging the Federal Government’s recent $500 million investment in critical mineral surveys as a step in the right direction, Slattery said Australia’s readiness to explore digital technologies ranks only 20th globally. 

Meanwhile, research and development investment as a share of GDP is slowing, even as other OECD nations accelerate their efforts.

Technological innovation, she argued, holds transformative potential not only for mining operations but also for attracting and retaining a younger, safety-conscious workforce. 

Examples such as autonomous haulage systems, which remove workers from high-risk pit environments, demonstrate how productivity, safety, and innovation are interlinked. 

Streamlining environmental permitting processes was another key focus of Ms Slattery’s speech. 

Citing the 2020 Samuel Review, she highlighted that resource-sector projects in Australia take over 1,000 days on average to assess and approve. 

“Time to market matters,” Slattery stressed.

Pointing to international examples, she noted that Canada has introduced a federal permitting coordinator, Chile has made permitting a legislative priority, and the US recently passed an Energy Permitting Reform Act. 

By comparison, Slattery described Australia’s system as outdated, calling for a risk-based permitting framework with clear timelines and reliable outcomes. 

She also criticised recent industrial relations policies, including ‘Same Job Same Pay’ legislation, which she argued raises costs without delivering productivity gains. 

Similarly, she warned that the Queensland Government’s 2022 coal royalty tiers erode investor confidence.

The resources sector, government, and investors must work together, Ms Slattery concluded, to create an ecosystem that enhances Australia’s competitiveness. 

“We cannot change the rocks we have, but we can change the enablers and settings in their discovery, extraction and development,” she said.

Beyond labour and technology, Ms Slattery highlighted the need for tax and industrial relations settings that foster growth. 

“We need to do more, move faster, and work harder,” she urged. 

Her call for action comes at a critical juncture, with the Albanese government expected to revisit its stalled environmental reforms in early 2024. 

As global competitors race to modernise their regulatory frameworks, the BHP boss says the stakes for Australia’s mining sector have never been higher.

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