Miners believe the sun will set on many projects under the Rudd government's super profits tax.
In the fiery public relations war between mining companies and the federal government over the new super-profits tax, every voter counts.
Multi-million-dollar spending
Winning the war
Government standing firm
Choreographed campaigns
What about the workers?
Access Economics guru Chris Richardson may have been preaching to the converted when he addressed a gathering of mining industry bosses in Brisbane yesterday, but that wasn't where the main battle was being fought.
In the hours before his presentation at Stamford Plaza, the straight-speaking economist hit the local radio airwaves to explain arguments against the 40 per cent tax on the mining industry's "super-profits".
"We now have some taxi drivers and delivery drivers who are now better informed," enthused Queensland Resources Council chief executive Michael Roche.
But media interviews are just one weapon in the pre-election tax debate, which fired up six weeks ago when the Henry tax review was released.
Multi-million-dollar advertising campaigns are another weapon in the battle, with both the government and mining industry slamming each other in a television, radio and newspaper blitz.
The Rudd government - which has accused big miners of deliberately spreading misinformation - last month relaxed its strict advertising rules to embark on a "public education campaign" with a budget of $38.5 million over two years.
The mining industry won't say how much its own ads are costing, but a new group of television commercials funded by the Minerals Council of Australia are set to air soon.
The new commercials come amid moves by Prime Minister Kevin Rudd to consult with mining companies on some aspects of the proposed tax, following poor opinion polls.
Cole Lawson Communications managing director Margaret Lawson said the mining industry's campaign against the proposed tax had been so successful because it had pushed a unified message.
The industry had also got on the front foot in the public debate, she said.
"At this point the mining industry is winning and I think the reason for that is they've been quite successful about making it about every single person in Australia," she said.
Ms Lawson said the fact the miners had set up a simple website with a memorable URL that reinforced the "keep mining strong" message had also been working in its favour.
"What the government hasn't done particularly well - with this policy and with the carbon pollution reduction scheme - is that they've failed to bring it down to that level to understand what it means to ordinary people," she said.
"I think that they haven't communicated well what the mechanics of the policy are and why it's needed. I think they've dealt with it at quite an intellectual level."
Ms Lawson, who does not work for any mining companies but has several suppliers as clients, said television commercials were a useful medium for groups arguing against something, as opposed to for something.
However, people were more sceptical about governments using ads to promote a policy, she said.
Government ads have stressed that the proposed tax will help fund an increase to the government superannuation contribution and cuts to the company tax rate as part of reforms to make the tax system "fairer".
The industry argues the tax will harm investment in mining projects in Australia, cost jobs and harm the wider economy.
The issue is dominating national debate, with Media Monitors Australia figures showing the resources tax was mentioned 19,624 times in newspapers and on radio, television and the internet last week.
A spokesman for Treasurer Wayne Swan yesterday defended the government's advertising campaign and the proposed tax.
“There is a very strong need and clear desire in the community to know more about the changes to our tax system and it's important we fill that need," he said yesterday.
“To ensure the Australian people can make informed decisions about their finances and investments, in the [Federal] Budget we indicated that we would be launching an information campaign.
“Unfortunately there is a lot of misinformation being pushed by some parts of the mining industry, and these myths need to be cleared up.
“The Australian people have a big stake in getting a fairer share of our resource wealth and we make no apology for keeping them informed.”
The mining industry agrees that people need to be "informed".
Minerals Council of Australia chief executive Mitchell Hooke said the industry wanted to get the message across to "Bill and Betty on Struggle Street" that the economy depended on a strong mining industry.
"We will continue to use every avenue available to us to make the case," he said, declining to reveal how much was being spent.
The Queensland Resources Council has also been stoking the fires.
It has sent out more than a dozen media releases about the tax in the past six weeks, and promptly emailed journalists a transcript of an interview in which Rudd government frontbencher Simon Crean admitted there had been a lack of consultation within hours of the exchange.
Aspects of the campaign have been carefully choreographed.
The QRC timed the release of its analysis of official figures - claiming that Queensland would be short-changed by $2.5 billion once the proceeds of the tax were distributed back to states - to coincide with Mr Rudd's speech at the Queensland Media Club in Brisbane.
Today, it has taken out pre-State of Origin advertisements in newspapers questioning the commitment of Mr Rudd and Mr Swan to their home state.
A QRC spokesman said the organisation's chief executive and chief economist had been spending "large periods" of time on the campaign.
"It's been something of a moving feast," he said.
"This has been a debate about public policy which has been conducted in public."
A coalition of unions and environmental, welfare and consumer groups this week urged the government to hold its nerve.
The Australian Council of Trade Unions, Australian Council of Social Service, Australian Conservation Foundation and Consumers' Federation of Australia accused big mining companies of hijacking the debate about tax reform.
ACTU secretary Jeff Lawrence slammed the mining industry's campaign as "a disgrace".
"Mining magnates are putting at jeopardy improved superannuation savings for the workforce of more than 10 million, billions of dollars of infrastructure spending that our nation needs, and a cut to the company tax rate for 770,000 businesses," he said.
But the campaign doesn't show any signs of easing.
If its latest ads are anything to go by, the Association of Mining and Exploration Companies reckons its best chance of winning the tax war is to mock the proposed impost.
"I am speaking to you from Kursk Russia, where we are mining 47 billion tonnes of iron ore," the man voicing over one of its four commercial says.
"Much thanks be to your economic genius Comrade Rudd and new mining tax, now all of Russia is enjoying your prosperity and jobs.
"Please that you be voting for Kevin Rudd and mining tax in your next democratic elections."
Mr Rudd is unlikely to appreciate the "support".
17 comments
More comments
Comments are now closed