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From boom to boom

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10 May 2007 
 
According to Tim Shanahan, Chief Executive Officer of Chamber of Minerals and Energy (CME), the Western Australian government will owe a significant amount of its surplus from tomorrows State Budget to the resources sector.  
 
At a presentation at the Institute of Chartered Accountants Business Forum in Perth Shanahan revealed that in 2006 the Western Australian Resources Sector paid $1.9 billion in State royalties.  
 
“During the Federal Budget speech on Tuesday night, Treasurer Peter Costello specifically acknowledged the resources sector and the contribution that it made to the Federal Budget’s bottom line,” Shanahan said.  
 
The ongoing global demand for resources economic growth in China and India ensure that the growth will continue.  
 
“It is essential that the government work together with the resources sector to protect the future of the sector.”  
 
There most pressing issue in the WA resources sector that needs to be addressed is the skills shortage. According to a report conducted by CME and the Minerals Council of Australia by 2015 there will be an additional 42,000 employees required in Western Australia to achieve predicted increases in output. 
 
“Although 42,000 is a large number, this number doesn’t take into account the families of these people, and the people that will be needed to support these people.” 
 
Where will these people come from? How will they get here and when they get here where will they live?  
 
Western Australia has always been a migrant state. Last year ABS statistics showed that West Australia’s population was the strongest growing in the country.  
 
In 2006 there were 21,500 overseas migrants to West Australia and 3,100 migrants form other states.  
 
“We need to get the decision makers to understand that this is a very significant issue. We will need to continue this pattern of population growth. For the first time since the 60’s the government is holding trade displays all over the world. We need to do as much as we can to train and educate our own people. We really need to double our efforts to attract people from other places across Australia,” Shanahan said.