Abolition of the mining and carbon taxes a positive for Mackay

With the election at our doorstep, property experts are weighing up election issues and what they mean for certain areas.

Kim Clarke, developer of Plantation Palms, says the abolition of the mining and carbon taxes could positively affect Mackay.

“We’ve witnessed a decline in the number of mining jobs over the past six months, and the Mackay economy is feeling the impact,” says Clarke.

“Abolishing both the mining and carbon taxes could completely turn this area on its head and result in increased investment in our community and economy.

“China and India need our coal, how can we operate as a world without coal?” says Clarke.

Clarke says there’s a lack of confidence in the Mackay area and although there’s stock, people aren’t buying.

Clarke says the drawing out of the election was one of the biggest mistakes the Labour government made as people always slow down before an election.

“Mining towns are small compared to Sydney and Melbourne and therefore anything that happens within the local papers, people think that’s happening.

“People just aren’t buying, once we have an election, people will become more certain and confidence will start to come back."

Clarke also emphasises the Australian dollar, although more so related to the RBA than the election.

“The dollar coming down is fabulous, it’s very very important for the mining industry, I’d like to see if come down even further.

“The mining industry has been having to suffer with a dollar at parity to the US dollar, a lower dollar means we’re more competitive with the rest of the world.

“The low dollar helps with tourism also, it stops Aussies getting more for their money overseas and it means foreigners get more for their money here,’” says Clarke.

Clarke says the mining industry boom is over, in terms of building new mines but mines will still work if they’re economical to produce.

“At the moment we’re going through a phase that will make the mines more productive by employing more productive people.

“Just like a shopping centre, they change shops around so they can get more traffic… we have to do the same with mines. We have to get smarter and do a better job” says Clarke.

The median house price in Mackay is $399,000, a 14.8% change in the past five years, according to RP Data.