Labor’s Gas Tax Confusion Shows Why WA’s Resource Sector Must Be Protected

MR RICK WILSON MP
FEDERAL MEMBER FOR O’CONNOR

22nd July 2026

Labor’s Gas Tax Confusion Shows Why WA’s Resource Sector Must Be Protected

Federal Member for O'Connor Rick Wilson has warned that Western Australia's resources sector cannot become the target of new taxes after senior Labor figures were unable to rule out a proposed 25 per cent export tax on gas ahead of next week's Labor National Conference.

Speaking on Sky News on Monday, Assistant Foreign Minister Matt Thistlethwaite insisted there were "no plans" for a new gas tax, despite a draft proposal on gas exports set to be debated at Labor's National Conference in Adelaide. According to reports, the proposal would impose a 25 per cent export charge on gas exports.

Mr Wilson said regional Western Australia had every reason to be concerned.

"When Labor says there's no plan, Australians have learned to be cautious," Mr Wilson said.

"We've heard that line before. Time and again, policies dismissed as speculation before the last election headlined the Government’s policy agenda on Budget night this year."

"The fact this proposal is being formally debated at Labor's National Conference should set alarm bells ringing right across regional Western Australia."

Mr Wilson said a tax on Australia's gas industry would disproportionately affect the Western Australian communities that power the national economy.

Mr Wilson said the vast resource-rich electorates of O'Connor and neighbouring Durack, represented by his colleague Melissa Price, were at the centre of Australia's economic success story.

"As representatives of Australia's premier resources electorates, Melissa and I see firsthand the enormous contribution mining, oil and gas make to local communities, family livelihoods and the national economy," Mr Wilson said.

"Whether it's iron ore, gold, lithium, critical minerals, natural gas or the potential development of our significant uranium resources, WA's resource sector is the backbone of
the Australian economy."

"As co-chairs of the Coalition Friends of Mining and Resources, Melissa and I recently hosted Australian Energy Producers at Parliament House because we recognise the enormous
contribution this industry makes to our nation."

Australian natural gas alone contributes $105 billion to the Australian economy and accounts for 3.7 per cent of GDP. It supports 215,000 jobs and delivered $21.9 billion in
taxes and royalties in 2024-25.

"This massive contribution helps fund schools, hospitals, roads and essential services. They support small businesses in towns right across O'Connor and Durack and provide skilled,
well-paid jobs for thousands of Western Australian families."

"Now more than ever, Australia needs to strengthen its sovereign capability, not undermine it."

"We need reliable, abundant and affordable energy. We need to unlock more supply, encourage investment and make it easier to get projects approved, not harder."

Mr Wilson said the Coalition had consistently championed Australia's resources sector because it understood the link between resource development and national prosperity.

"Angus Taylor put it clearly both in his Budget-In-Reply and in his address to the Chamber of Minerals and Energy WA earlier this year."

"The Coalition will back a stronger economy by investing $100 million to unlock new exploration, fast-tracking major projects, cutting red tape, lowering cost-of-living pressures
and unlocking greater energy supply."

“Compounding concerns over Labor's proposed 25 per cent tax on gas exports is the Federal Government's proposed 20 per cent domestic gas reservation scheme,” Mr Wilson said.

“Western Australia already operates under a long-standing 15 per cent reservation policy, under which major LNG projects have invested billions of dollars and made long-term
business decisions. “

“Any additional federal imposts or regulatory burdens risk creating uncertainty for an industry that supports thousands of jobs, regional communities, critical infrastructure and
significant export revenue across Western Australia.”

"WA's resources sector has built much of Australia's prosperity. Regional communities should not be punished for that success."

"Instead of flirting with new taxes on one of our most important industries, Labor should be backing the workers, families and communities that keep Australia's economy moving."

ENDS

Media contact: Reuben Keyser
Communications and Community Engagement Adviser
[email protected]
(08) 9842 2777
0455 125 035