Miner BHP backs BCA on emissions

BHP Minerals Australia boss Edgar Basto has backed calls for a new debate on productivity reform and has thrown his support behind a Business Council of Australia blueprint.

BHP Minerals Australia boss Edgar Basto.

BHP Minerals Australia boss Edgar Basto has backed calls for a new debate on productivity reform and has thrown his support behind a Business Council of Australia blueprint urging firms to capitalise on the opportunities arising from decarbonisation.

Mr Basto endorsed the BCA’s Living On Borrowed Time blueprint, released last week, which urges the nation to embrace a 2050 target of net-zero emissions and diversify the industrial base away from any over-reliance on resources and agriculture.

The mining giant backed the BCA plan despite the blueprint being criticised by Minerals Council of Australia chief executive Tania Constable, who said it ignored the “substantial work which has been under way for some time by the Australian minerals sector in taking practical ­action to reduce emissions”.

“If the BCA wants to promote an informed conversation on productivity-enhancing reforms, it could start by informing itself on what the modern Australian mining industry is already doing on emissions reduction before preaching to others on the issue,” Ms Constable said.

But Mr Basto said he commended the BCA for “stimulating debate on the productivity-enhancing reforms that can allow Australia to achieve another 30 years of uninterrupted growth”.

“This is a discussion we need to have. Australia must lift its productivity to stimulate growth and create new jobs, especially for our regions,” he said. “The BCA accurately described the challenges and opportunities of decarbonisation. Emissions reduction is not only necessary, but also an opportunity for growth.”

Mr Basto said Australia stood to “gain from the opportunities that will arise from decarbonisation,” adding: “We are blessed with high-quality resources that are essential for the future and will underpin jobs in regional Australia for decades to come. There are opportunities for sectors across the board to innovate, diversify and grow.”

He said there were also opportunities in mining clusters, such as Perth and Mackay, to develop new “technology hubs to support improving competitiveness as well as collectively problem-solve on decarbonisation”.

“These hubs bring together the best ideas and attract start-ups to collectively achieve more than one business and its own research. Support for this kind of collective innovation from government and industry creates diversification and opportunity for the mining sector and other sectors.”