Downs reaps $2.9 billion benefit from resources sector
THE resources sector contributed $2.9 billion to the Darling Downs region's economy in the past financial year according to the Queensland Resources Council's sixth annual economic contribution report.
It also injected $64.8 billion to the Queensland economy as a whole in the last financial year, a report shows.
The figures are astounding, $163 million in wages paid to 1122 full time employees and $1.3 billion spent on goods and services.
This is from an industry that uses 0.3% of the land mass on the Darling Downs.
The sector provided one in every five dollars and one in six jobs for Queensland.
The report comes amid a decrease in economic contributions from the resource sector in the last 12 months out of the Toowoomba and Darling Downs region.
The leader of a Toowoomba industry group says the report highlighted the importance of the resource sector to the Queensland economy.
Toowoomba and Surat Basin Enterprise chief executive officer, Shane Charles said the results indicated the region had now moved into a new phase within its mining and energy sectors.
"In the last 12 months we have faced a number of challenges, including the transition of major projects in the CSG industry from the construction to the operations and maintenance phase, and the falling of global oil prices," Mr Charles said.
"Despite these factors, the resources sector is still significant to our regional economy."
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For the 2014-2015 year, the Darling Downs resource sector contributed $2.9 billion, or 19%, the region's gross regional product, with Toowoomba seeing a $1.5 billion, 17%, contribution.
The Maranoa region saw the resource sector contribute $360 million, 19%, to gross regional product, and the Western Downs region $1.3 billion, 40%.
Mr Charles said the industry group's recently released Business Confidence Survey Report had highlighted a slight downturn in operating conditions in the Toowoomba, Western Downs and Maranoa region's mining and resources sectors in the last six, however predictions saw this turning around in the next six months.
"We know it's been tough out there, but it has been pleasing to see that despite businesses in the resource sector highlighting a drop in business performance, the outlook for business confidence in the next six months is positive," Mr Charles said.
"Even more encouragingly, business confidence for the next three years in the resource and mining sectors is overwhelmingly positive.
"The Toowoomba, Darling Downs and Surat Basin regions as a whole are lucky to be buoyed by our diverse economies and as we look more and more to the booming opportunities in Asia we are seeing major opportunities for not only our agriculture sector, but also for our resource and related industries."
The information was published in the Economic Impact of The Minerals & Energy Sector on the Queensland Economy.