How would this royalty increase hurt Queensland’s reputation?

The sudden increase in coal royalty rates has sent a shockwave through the global investment community.

Resource projects have a long life and so the rates of return are modelled over years and decades.

The feedback from investors was fast and alarmed.

Major global companies including BHP and Peabody have said future investments in Queensland are on hold or at risk because of the royalty increase, which was introduced without any consultation.

A survey of the Queensland exploration industry found that an astonishing 93% said that the coal royalty increase would affect their ability to access finance. 

Taxing extra tax when prices are high is just a temporary benefit for the Government, but there will be long-lasting damage to Queensland's reputation as a stable and reliable place to invest.