Mining Association of BC Welcomes Budget 2017

VICTORIA, BRITISH COLUMBIA--(Marketwired - Feb. 21, 2017) - The Mining Association of BC (MABC) welcomes BC Budget 2017 and commends government's commitment to reduce the PST on electricity by 50% in October 2017 and fully eliminate by April 2019. Electricity represents a significant input cost for the operation of mines in B.C., and at most sites, it is the second largest cost.

As noted by the B.C. Commission on Tax Competitiveness and acknowledged by the government today, no other jurisdiction in North America levies a similar retail sales tax on electricity. Mining is an industry that sells its products at a fixed, international price, therefore effective tax structures are of utmost importance to ensure the industry remains globally competitive and continues to protect and grow jobs in B.C.

"Reducing the PST on electricity in Budget 2017 and committing to the full elimination of the tax by April 2019 is an important and positive step toward improving B.C.'s competitiveness, which in turn attracts investment and protects jobs in every community in B.C.," said Karina Briño, President and CEO. "We look forward to working with government to continue efforts to improve industry competitiveness to build healthy communities across the province."

MABC is also pleased and recognizes government's commitment to increase resources in Budget 2017 for mine permitting. From mine development to operation to closure, mining proponents and operators in B.C. participate in multiple regulatory processes, including environmental assessment reviews, mine permitting, mine inspections and reclamation. Permitting delays caused by a lack of resources halts private sector investment and job creation for both mining projects and operations.

"The mining industry has consistently advocated for adequate resources for the Ministry of Energy and Mines to ensure we have a predictable and clear permitting process that leads to timely decisions for industry," said Briño. "As the outlook for mining continues to improve, we have the potential to grow our industry and provide family-supporting jobs across B.C., and to continue our long-standing commitment to environmental stewardship and positive partnerships with communities and First Nations," concluded Briño.