Question regarding the Cook Labor government's commitment to diversifying WA's economy and the steps taken in the 2026-27 budget to support strategic resources projects. The Minister's response highlights support for nickel and lithium industries through loans and fee waivers.

⏳ Awaiting AnswerQoN 298Legislative Assembly
Asked
14 May 2026
Portfolio
Mines and Petroleum

QuestionView source ↗

State economy—Diversification298.Ms Ali Kentto theMinister for Mines and Petroleum:I refer to the Cook
Labor government's commitment to diversifying—The Speaker:Sorry, member for Kalgoorlie. Member for
Mid-West, during the minister's response, I asked you to stop continually
interjecting, and when I called you for the second time, I said that you had
lost your supplementary question as a result of it. I warned you before that;
that is why you did not get it. Member for Kalgoorlie, start again.Ms Ali Kent:Thank you, Mr Speaker.I refer to the Cook
Labor government's commitment to diversifying Western Australia's economy so
that it remains the strongest in the nation. Can the minister update the house
on what steps have been taken in the 2026–27 state budget to support strategic
resources projects?Mr David Michael replied:I thank the member
for Kalgoorlie for her support of the resources industry. It was great to be
out in the region with her to look at some projects in her electorate. She
knows the importance of gold in her electorate, and gold is having a little
time in the sun at the moment. She also knows the importance of critical
minerals, and she has some great projects in the electorate of Kalgoorlie.We know that as the world decarbonises and as the
technology we all use increases in complexity, we will needmore mines, not
less, and we will need more exploration, not less. As Western Australians, we
are very lucky to have not only the deposits and lots more to come, hopefully,
under the ground in Western Australia, but also the expertise and skills in
mining equipment, technology and services to do that work. This is why critical
minerals are so important to this government, as part of our Made in WA story.Nickel has had an
amazing history, especially in the Goldfields. A couple of years ago, due to
demand being not what it was and supply coming on very quickly around the
world, the price fell quite sharply, and we saw a lot of our mines go into care
and maintenance. That has been where it is at. We know that those mines have to
face challenges regarding the environmental, social and governance issues of
some potentially lower standard mines around the world. The nickel price has
started to recover and we hope it continues. That is why this budget has $15 million
for no-interest loans for nickel producers or mines that come out of care and
maintenance, or might start. With a lot of activity at the moment in the nickel
industry, people are talking to me about wanting to maybe come back and bring
some smaller mines back on in our state, which is a very, very good story for
our state. We think that the nickel industry has a bright future. As a critical
product in stainless steel and some of the technologies we use, it will be very
important in the future, as will lithium.The lithium price
started to recover about a year ago and has continued. Again, as the world
electrifies, we need more lithium for the batteries we have in our phones,
cars, garages and grid. That is why, as part of Made in WA, we have increased a
$30 million fee waiver extension for our two lithium hydroxide producers
in the state, to allow them to continue to refine their processes and hopefully
keep downstreaming opportunities alive in Western Australia. We also have $5 million
on the table to allow the lithium industry to look at its waste product.
Currently, it is a cost to dispose of the delithiated beta spodumene that comes
out the end of some of those processes. There is some good research into it being
used for road base and in construction materials. If the lithium downstreaming
industry can use that in those areas, it will be a saving to industry and also
save us with clinker and other concrete products.This is all very
exciting. As a state government, we want to support the resources industry with
our approvals reform and our massive support for economic infrastructure such
as ports, rail and, obviously, our roads. I know that the Minister for
Transport is working hard on bringing rail back into public hands after the Liberal–National
government flogged it off! We have a feasibility study going into a critical
minerals common-user facility that we have jointly funded with the Commonwealth.
We have a fund of $1 billion for strategic industrial areas, many of which
can be used for critical minerals processing, as well as the State Development
Act to support projects of state significance. Next year, our federal
government—Point of orderMr Lachlan Hunter:I have a point of order, Mr
Speaker, on what you said at the start of question time about the time of
government answers to Dorothy Dixers. That has been going on now for over five
minutes. Is this a grievance or question time?The Speaker:Thank you, member. I will not uphold that
point of order. This is not one of those cases because you have not
interjected, but sometimes responses get delayed because of interjections. The
minister has been responding to the question and quite within a reasonable time
limit. Carry on, minister.Questions without notice resumedMr David Michael:That is a good segue, Mr Speaker, because I was going to
talk about the support given by the federal National Party and the federal
coalition to the critical minerals industry. Next year, the critical minerals
production tax incentive starts. It is an exceptional program that will encourage
the downstreaming of critical minerals in this country until 2040. One would
think that this program would be supported by federal members of Parliament,
but if we look at the voting record, we see that Western Australian senators
from the parties opposite voted against that legislation. That is quite
disgraceful. It is anti-Western Australia and anti-jobs in the country, let
alone in Western Australia. It is shameful. The Leader of the Liberal Party and
the federal coalition called it "billions for billionaires", which is
an appalling way to talk about an industry incentive program that is designed
to encourage the downstreaming of critical minerals and jobs in our country.
The former member for Central Wheatbelt would not have interjected and raised a
point of order because a year and a bit ago, she said that she did not support
the views of the Nationals and Liberals federally. I call on those opposite to
get on the phone to members of their federal parties—one thing we need in the
resources sector is certainty on things like this—Mr Lachlan Hunterinterjected.Mr David Michael:They will never make government because they are a mess;
they are nearly as bad as you! Members opposite should ring their federal
counterparts to tell them—Several
members interjected.The Speaker:Members!Mr David Michael:—to make a statement to the resources industry that should
they ever get into government again—Several members
interjected.The Speaker:Members of the opposition!Mr David Michael:—they will not repeal the
legislation.Several
members interjected.The Speaker:Members! For everyone in the chamber, that isa classic example of what happens. You raised the point of order
from which the minister carried on and then you all started interjecting, and
what was going to be a four-minute answer turned into a six-and-a-half-minute answer.
State economy—Diversification
298.Ms Ali Kentto theMinister for Mines and Petroleum:
I refer to the Cook
Labor government's commitment to diversifying—
The Speaker:Sorry, member for Kalgoorlie. Member for
Mid-West, during the minister's response, I asked you to stop continually
interjecting, and when I called you for the second time, I said that you had
lost your supplementary question as a result of it. I warned you before that;
that is why you did not get it. Member for Kalgoorlie, start again.
Ms Ali Kent:Thank you, Mr Speaker.
I refer to the Cook
Labor government's commitment to diversifying Western Australia's economy so
that it remains the strongest in the nation. Can the minister update the house
on what steps have been taken in the 2026–27 state budget to support strategic
resources projects?
Mr David Michael replied:
I thank the member
for Kalgoorlie for her support of the resources industry. It was great to be
out in the region with her to look at some projects in her electorate. She
knows the importance of gold in her electorate, and gold is having a little
time in the sun at the moment. She also knows the importance of critical
minerals, and she has some great projects in the electorate of Kalgoorlie.
We know that as the world decarbonises and as the
technology we all use increases in complexity, we will needmore mines, not
less, and we will need more exploration, not less. As Western Australians, we
are very lucky to have not only the deposits and lots more to come, hopefully,
under the ground in Western Australia, but also the expertise and skills in
mining equipment, technology and services to do that work. This is why critical
minerals are so important to this government, as part of our Made in WA story.
Nickel has had an
amazing history, especially in the Goldfields. A couple of years ago, due to
demand being not what it was and supply coming on very quickly around the
world, the price fell quite sharply, and we saw a lot of our mines go into care
and maintenance. That has been where it is at. We know that those mines have to
face challenges regarding the environmental, social and governance issues of
some potentially lower standard mines around the world. The nickel price has
started to recover and we hope it continues. That is why this budget has $15 million
for no-interest loans for nickel producers or mines that come out of care and
maintenance, or might start. With a lot of activity at the moment in the nickel
industry, people are talking to me about wanting to maybe come back and bring
some smaller mines back on in our state, which is a very, very good story for
our state. We think that the nickel industry has a bright future. As a critical
product in stainless steel and some of the technologies we use, it will be very
important in the future, as will lithium.
The lithium price
started to recover about a year ago and has continued. Again, as the world
electrifies, we need more lithium for the batteries we have in our phones,
cars, garages and grid. That is why, as part of Made in WA, we have increased a
$30 million fee waiver extension for our two lithium hydroxide producers
in the state, to allow them to continue to refine their processes and hopefully
keep downstreaming opportunities alive in Western Australia. We also have $5 million
on the table to allow the lithium industry to look at its waste product.
Currently, it is a cost to dispose of the delithiated beta spodumene that comes
out the end of some of those processes. There is some good research into it being
used for road base and in construction materials. If the lithium downstreaming
industry can use that in those areas, it will be a saving to industry and also
save us with clinker and other concrete products.
This is all very
exciting. As a state government, we want to support the resources industry with
our approvals reform and our massive support for economic infrastructure such
as ports, rail and, obviously, our roads. I know that the Minister for
Transport is working hard on bringing rail back into public hands after the Liberal–National
government flogged it off! We have a feasibility study going into a critical
minerals common-user facility that we have jointly funded with the Commonwealth.
We have a fund of $1 billion for strategic industrial areas, many of which
can be used for critical minerals processing, as well as the State Development
Act to support projects of state significance. Next year, our federal
government—
Point of order
Mr Lachlan Hunter:I have a point of order, Mr
Speaker, on what you said at the start of question time about the time of
government answers to Dorothy Dixers. That has been going on now for over five
minutes. Is this a grievance or question time?
The Speaker:Thank you, member. I will not uphold that
point of order. This is not one of those cases because you have not
interjected, but sometimes responses get delayed because of interjections. The
minister has been responding to the question and quite within a reasonable time
limit. Carry on, minister.
Questions without notice resumed
Mr David Michael:That is a good segue, Mr Speaker, because I was going to
talk about the support given by the federal National Party and the federal
coalition to the critical minerals industry. Next year, the critical minerals
production tax incentive starts. It is an exceptional program that will encourage
the downstreaming of critical minerals in this country until 2040. One would
think that this program would be supported by federal members of Parliament,
but if we look at the voting record, we see that Western Australian senators
from the parties opposite voted against that legislation. That is quite
disgraceful. It is anti-Western Australia and anti-jobs in the country, let
alone in Western Australia. It is shameful. The Leader of the Liberal Party and
the federal coalition called it "billions for billionaires", which is
an appalling way to talk about an industry incentive program that is designed
to encourage the downstreaming of critical minerals and jobs in our country.
The former member for Central Wheatbelt would not have interjected and raised a
point of order because a year and a bit ago, she said that she did not support
the views of the Nationals and Liberals federally. I call on those opposite to
get on the phone to members of their federal parties—one thing we need in the
resources sector is certainty on things like this—
Mr Lachlan Hunterinterjected.
Mr David Michael:They will never make government because they are a mess;
they are nearly as bad as you! Members opposite should ring their federal
counterparts to tell them—
Several
members interjected.
The Speaker:Members!
Mr David Michael:—to make a statement to the resources industry that should
they ever get into government again—
Several members
interjected.
The Speaker:Members of the opposition!
Mr David Michael:—they will not repeal the
legislation.
Several
members interjected.
The Speaker:Members! For everyone in the chamber, that isa classic example of what happens. You raised the point of order
from which the minister carried on and then you all started interjecting, and
what was going to be a four-minute answer turned into a six-and-a-half-minute answer.

AnswerView source ↗

This question is awaiting a response from the Minister.

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