How Australia is suffering a resource curse

Coal-fired power station chimneys superimposed over the Australian flag.
13 August 2020

There have been recent media reports that the commission advising the Morrison government on its COVID recovery strategy has recommended that taxpayers provide massive support to build gas and fuel infrastructure.

However, Australia is possibly suffering something of a "resource curse", as capital markets increasingly won't invest in - nor insure - new coal and gas projects.

With the world seeking to accelerate the transition to low-carbon economies and societies, this would see the Australian people being asked to invest in old-world industries and technologies, rather than new, emerging industries. Or in assisting some key industries that have been severely damaged by COVID-19 to reset.

It is not unfair to claim that Australia has never really had an effective industry policy.

Read the full article on the Wellington Times website, authored by Dr John Hewson