Mining industry reveals desire for 'regime change'

The potential for political change buoyed many of the more than 300 delegates attending the New Zealand branch of the Australian Institute of Mining and Metallurgy annual conference in Wellington this week.

In an attempt to underpin change, there was a large number of National Party MPs invited.

However, the low-key attendance of three National MPs at various times, including deputy leader Bill English, sparked no end of private speculation and debate.

Much was being made of the potential for National to create a minister of energy and natural resources, possibly including infrastructure, with some sources speculating senior MPs were already listed for the cabinet post.

National's third-ranked energy spokesman, Gerry Brownlee, is the obvious choice, with Mr English picked for infrastructure.

Taking the theme from private to public, the chief executive of the New Zealand Minerals Association, Doug Gordon, pulled no punches to 160 delegates in the closing afternoon of the three-day conference, voicing what many were saying among themselves.

During question time, in response to a discussion on the findings of regional mineral resource assessments by GNS Science, Mr Gordon said the industry was hoping for a "change in regime" and needed to lobby in an election year.

He labelled Prime Minister Helen Clark the "high priestess of dire", saying despite positive findings for some regions there had been only a muted response from the Government on the minerals potential.

On the question of the potential outlined in the regional reports, which the mining institute was promoting for a better understanding of opportunities in the sector, Mr Gordon said he had met Associate Minister of Finance Trevor Mallard, but "came away with zip".

The conference overall was an unqualified success, attracting a record 320 delegates and 90 discussion papers for a branch meeting, but carried an underlying political current which had not been observed in recent years.

While a keynote address by the Minister of Energy - and also Climate Change - David Parker, recapped well documented achievements, the minister gave little solace for the potential of gas or low-grade lignite exploration.

He was later openly challenged by Don Elder, chief executive of state-owned enterprise coal producer Solid Energy, saying no single minister should be looking after both energy and climate change.

Associate Minister of Energy Harry Duynhoven, whose Taranaki constituency abounds in gas and oil exploration and production, attended briefly and was later guest at an AusIMM function.

However, it was the presence of National's Chris Auchinvole, who is associate spokesman for energy and mining and associate spokesman for tourism, and Tim Groser, spokesman for trade and associate spokesman for finance, which was of more significance to many, as delegates took the opportunity to talk informally with the pair.

For the sector, which contributes about $2 billion to exports annually, the potential for a National Party win in the forthcoming election raises the prospects of a business-friendly regime tackling the Resource Management Act and the Government's flagship emissions trading scheme, which National voted against this week but which could become law next week.

A common perception that the Green Party influences government decision-making only serves to underline the mining sector's predicament of having few friends of substance in Parliament.

To counter that, a Wellington-based mining lobby group, Straterra, was formally launched during the conference.

It is backed by some of the country's biggest players, including Solid Energy and Oceana Gold.