Survey report: intersections of mining and agriculture, Boddington Radius

There is considerable evidence that the recent strength of Australia’s export oriented mining sector has contributed to economic growth both nationally and in the main mining states and regions although at uneven rates of growth. However investigation and analysis of the internal distribution of costs and benefits from mining within host regions transitioning from agricultural economies has been limited.This document reports results from a survey conducted by the lead author in the Peel Region during March-June 2012 as a part of the Regions in Transition (RiT) project under the umbrella of the CSIRO Minerals Down Under Flagship. The survey examines changing patterns of workforce participation, changing patterns of rural land use, income and expenditure flows and cross-sectoral influences between mining and agriculture. The targeted survey sample comprises adults over 18 years of age either living or working within a radius of approximately 50 km from Boddington town in the most sparsely populated shire of the region, where two separate mineral extraction and processing operations have been undergoing significant expansion. The data reveals that during the RiT project period (2009-2012) these developments triggered a considerable change in the existing socio-economic fabric sustaining proximate towns, communities and individuals. The particularities of the case mean that this report is most relevant to those with a close interest in the future wellbeing of the Boddington 50 km Radius during and beyond the life of current mining operations.The survey also makes a contribution to the wider literature concerning the socio-economic implications of mining. It investigates and confirms the possibility raised by Hajkowicz et al (2011) that the quantifiable benefits of mineral wealth they identify across 71 LGAs may “mask highly localised inequalities and disadvantage”. By providing a nuanced account of the uneven impacts of mining experienced in one region, the survey serves to illuminate the temporally specific economic trends in mining LGAs that Measham and Reeson (2011) identify from ABS statistical data. The findings presented here are undergoing further analysis as a component of an interdisciplinary study at Curtin Graduate School of Business utilizing economic multiplier analysis and qualitative social data to track and map economic impacts of mine operations income expenditure at regional and state level

Rural Communities in Transition and Sustainable Regional Development

Mining and farming have been important industries to the Australian economy since colonial times but the industries have generally operated in separate regions with limited overlaps. Over the last decade mining activity has surpassed agriculture in both return on investment and contribution to gross domestic product (GDP) and farming has continued to lose its share of economic contribution. To date, most mining activity has been in remote and regional areas of Australia where the deposits are richest, but sophisticated extractive processes and high returns are now making deposits viable which hither to have been considered marginal, many of which are in communities where farming has been the main industry. This paper will consider case study sites where mining is increasingly encroaching on what has been traditionally productive farming land. For some communities, mining is welcomed as an important off-farm income, for others, mining is viewed as an environmental and social threat to the agricultural industry. The stresses and strains as well as the opportunities presented by transitional rural economies will be considered

Survey Report: Intersections of Mining and Agriculture, Boddington Radius: land use, workforce & expenditure patterns

There is considerable evidence that the recent strength of Australia’s export oriented mining sector has contributed to economic growth both nationally and in the main mining states and regions although at uneven rates of growth. However investigation and analysis of the internal distribution of costs and benefits from mining within host regions transitioning from agricultural economies has been limited. This document reports results from a survey conducted by the lead author in the Peel Region during March-June 2012 as a part of the Regions in Transition (RiT) project under the umbrella of the CSIRO Minerals Down Under Flagship. The survey examines changing patterns of workforce participation, changing patterns of rural land use, income and expenditure flows and cross-sectoral influences between mining and agriculture. The targeted survey sample comprises adults over 18 years of age either living or working within a radius of approximately 50 km from Boddington town in the most sparsely populated shire of the region, where two separate mineral extraction and processing operations have been undergoing significant expansion. The data reveals that during the RiT project period (2009-2012) these developments triggered a considerable change in the existing socio-economic fabric sustaining proximate towns, communities and individuals. The particularities of the case mean that this report is most relevant to those with a close interest in the future wellbeing of the Boddington 50 km Radius during and beyond the life of current mining operations. The survey also makes a contribution to the wider literature concerning the socio-economic implications of mining. It investigates and confirms the possibility raised by Hajkowicz et al (2011) that the quantifiable benefits of mineral wealth they identify across 71 LGAs may “mask highly localised inequalities and disadvantage”. By providing a nuanced account of the uneven impacts of mining experienced in one region, the survey serves to illuminate the temporally specific economic trends in mining LGAs that Measham and Reeson (2011) identify from ABS statistical data. The findings presented here are undergoing further analysis as a component of an interdisciplinary study at Curtin Graduate School of Business utilizing economic multiplier analysis and qualitative social data to track and map economic impacts of mine operations income expenditure at regional and state level

The socio-economic impact of mine industry commuting labour force on source communities

There has been considerable interest in, and often criticism of, long distance commuting (LDC), an encompassing term for the fly-in/fly-out (FIFO),drive-in/drive-out(DIDO)and bus-in/bus-out(BIBO)work arrangements utilised by the resources industry that have sustained the mining industry in Australia in recent decades. LDC workers leave their resident community and live away from home in a host community, (usually considerable distance away), returning (typically, several days or weeks later) for furlough. The majority of the academic interest has focused on the impact of LDC on the host community (the community where a person works), individual workers and their families. To date there has been limited focus on how LDC impacts on the resident community (where the LDC worker lives when not working) and where their family usually resides. This paper documents a comprehensive research project which examined the socio-economic implications of long distant commute (LDC) workforce arrangements in the resources sector for two source or resident localities and their communities in regional Australia, (as distinct from the host communities where mines operate). They are distant from mining operations, but now home to significant or growing LDC population cohorts. Focusing on two Western Australian case study sites, the project employed a multi-method, iterative approach to identify and document the size and distribution of the LDC cohort in each case study area, and the associated diverse but interrelated effects and issues. This paper reports that LDC takes considerable personal and community effort to be successful, but there are benefits to be had

The Socio-Economic Impacts of Long Distance Commuting (LDC) on Source Communities

Background: The current mining boom has brought considerable wealth throughout Australia, but the benefits are not distributed evenly. The majority of Australian mining activities are in remote locations where demand for labour usually exceeds local supply, requiring a long-distance commuting (LDC) workforce from source communities through fly-in/fly-out (FIFO), drive- in/drive-out (DIDO) and bus-in/bus-out (BIBO) work arrangements. There has been considerable interest in how LDC impacts on the host community (where a person works), and on workers and their families. Yet there has been limited focus on how LDC impacts on the source community. This research examines the socio-economic implications of LDC for two source communities in regional Western Australia: Mandurah in the Peel region and Busselton in the South West region. They are distant from mining operations, but now home to significant or growing LDC populations. Research The research assessed the socio-economic impacts of LDC for resident communities. It mapped: the distribution of LDC in both communities LDC worker mobility, occupations, family structures, socio-economic status, expenditure and investment patterns the levels of education, training and workforce participation of LDC workers and their partners. It examined the extent and spatial distribution of economic benefits flowing into the region from mining through local expenditure of LDC incomes, and, conversely, the demands on community infrastructure and services from an increased local LDC population

Fly-In/Fly-Out, Flexibility and the Future: Does Becoming a Regional FIFO Source Community Present Opportunity or Burden?

The resources boom in Australia has resulted in considerable competition for labour, particularly in remote mining areas. Shortage of skilled labour has led mining companies to source workers from far afield, while the high incomes created by a tight labour market draw labour from across the country through long-distance commuting arrangements such as fly-in/fly-out (FIFO). While much recent literature has focused on the impacts on receiving communities of these long-distance commuters, less attention has been given to the experience of source communities. This paper compares the situation between two regional towns in which long-distance commuters reside. The first, Busselton in Western Australia, is among several chosen by Rio Tinto to be labour source communities. The second, Stawell in Victoria, is looking to long-distance commuting as a response to the impending closure of their existing gold mine. Hence the case studies offer not only insights into source communities’ experience of longdistance commuting, but also a comparison between the bottom-up approach of Stawell in trying to establish FIFO with the experience of Busselton as an example of top-down labour sourcing. This paper seeks to highlight some of the development challenges encountered by communities and offer solutions as to how these might be addressed for the future

Managing land use conflicts for sustainable futures: Tourism, agriculture and mining

This paper considers several mining ventures which are occurring in rural communities in Galicia, Spain and Western Australia, Australia. It compares and contrasts the communities where mining is taking precedence over other industries, examining the potential land use conflicts and the future of both the communities and the mines currently operating there. The Galician case study, Trevinca, is located 200 km inland and was once a primary producing area, notable for its scenic attributes, most particularly alpine landscapes, which have since been developed for small scale tourism purposes. Consistent with other remote, rural locations, Trevinca has an ageing demographic profile, services have been rationalised and depopulation trends have been evident for some time as young people move away to seek work elsewhere. This is despite the most lucrative local industry being slate mining. Most of the workers involved in this industry drive in and drive out (DIDO) from elsewhere and hence, many of the regional economic capital derived from slate extraction flows to other communities. The Australian case study, Boddington, by contrast, is located 100 km inland in what has traditionally been a highly productive sheep grazing area. Mining, until recently was a marginal industry in the area but due to the comparative devaluing of agriculture and the increased value of mining outputs, two mines, one extracting bauxite and the other gold and copper have increased scale and economic importance. The local population has now reversed its downward trend and there are considerable local growth pressures, particularly regarding housing. The mines workforce is a combination of DIDO and residential with the intention that the majority of workers will live locally.This paper will consider the environmental, social and economic impacts that have occurred in both the case study localities and whether strategies for the lifecycle of the mine are complimentary for the long term future of the communities supporting them. Where there have been land use conflicts, strategies for minimising the adverse outcomes will be considered

P3 - Regions in Transition

Research Overview: Mining and farming have been important industries to the Australian economy since colonial times but the industries have generally operated in separate areas with limited overlaps. Over the last decade mining activity has surpassed agriculture in both return on investment and contribution to gross domestic product (GDP) and farming has continued to lose its share of economic contribution. To date, most mining activity has been in remote and regional areas where the deposits are richest, but high prices, sophisticated extractive processes and high returns are now making deposits viable which hitherto have been considered marginal, many of which are in communities where farming has been the main industry. While agricultural returns have plateaued, the resources sector continues to expand. Mining activities are now encroaching on land which has traditionally been highly productive agricultural land and land use conflicts are increasingly evident. Resource development presents both opportunities and negative impacts to many local communities. Opportunities need to be well managed to ensure that there are enduring benefits and positive legacies. In many regional areas resource developments offer the opportunity for local communities to maintain and grow their economic and population base. However, this involves transitions in workforce skills, economic structures, work/lifestyle arrangements, aesthetic amenity and community structures; changes which are not always comfortable in communities which have generally been stable over many decades.Governments and industry have found it difficult to adjust to heightened community concerns about potential social impacts of resource development and issues such as environmental risks and the loss of good agricultural land. There are also issues in small communities where competition for resources pushes up housing prices and labour costs with adverse impacts on other sectors of local economies. Despite planning and approval processes new developments are at increasing risk of grass roots protest groups blocking development