British Columbia's New Mining Royalties
"A matter of serious concern to the mining industry in British Columbia"; this comment reflects the attitude of the Mining Association of British Columbia. toward the proposed new B.C. Mineral Royalties Act. The proposed legislation, introduced by the provincial government in February and now being debated by the legislature, combines a basic 5% royalty on the selling price, less approved processing and transportation costs, of minerals produced in B.C. with an "excess" royalty of 50% of any price increases over a predetet·mined base. Government estimates project annual revenues of $20 million from the new royalty structure. The accuracy of these figures has been contested by the mining industry. Based on current world prices for copper , the industry estimates that the provincial revenues from this mineral alone may run as high as $140 million in 1974 and $150 million in 1975. The Mining Association has warned that the new royalties " threaten to become confiscatory".