GST DISTRIBUTION — IRON ORE PRICE
1019. Hon PETER COLLIER to
the minister representing the Treasurer:
I ask this question on
behalf of Hon Dr Steve Thomas, who is
on urgent parliamentary business. I have an instruction to deliver this
question with the appropriate gusto!
I refer to Hon Steve
Thomas's regular questions about the government's iron ore
royalty boom, especially to question without notice 13, which he asked
on 12 February 2019, in which the minister's answer included the line —
A scenario where the average price
of iron ore remains at $90 a tonne has not been modelled, as this assumption is
highly unrealistic.
(1) Given that
the 2021 iron ore price has been forecast by Citigroup at $US110, JP Morgan at
$US105 and Goldman Sachs at $US90, has the government now modelled a scenario
in which the iron ore price averages $US90 a tonne?
(2) If yes to (1), will the Treasurer
prove that modelling; and, if not why not?
(3) If no to (1), given the plethora
of forecasts predicting over this price, why not?
(4) What has been the average spot
price of iron ore between 12 February 2019 and 18 September 2020?
(5) Given the wealth
of royalty riches raining down on the McGowan government since February 2019,
is the Treasurer embarrassed by his reply and by the modest and underwhelming
government response to the COVID-19 crisis?
The PRESIDENT:
I am not sure about that last part of the question, minister. It might be
seeking your opinion.
Hon
STEPHEN DAWSON replied:
I thank Hon Dr Steve Thomas for some
notice of the question.
(1)–(5) Updated
iron ore price assumptions and royalty income forecasts will be released in
next month's budget.