Manufacturing News

Boral boss says high costs, bad policy crippling business

The CEO of building materials maker Boral, Mike Kane, has said that manufacturers are suffering badly from a lack of affordable energy.

Following recent comments from other executives, such as BlueScope CEO Paul O’Malley late last month, Kane has said that there’s a need for action to secure access to Australia’s natural gas.

“Australia’s advantage was historically its low cost of energy and there’s a need to return to that situation if manufacturing is to remain viable in Australia,” he said, according to The Australian Financial Review.

“The Australian federal and NSW state governments need to ensure that new approvals are made to ensure supply as well as adopt a more supportive role in developing the gas market to a more mature stage, similar to the electricity market.”

The head of the country’s biggest building materials group has overseen 1,000 redundancies since being appointed in September 2012.

Kane also commented during an address to the American Chamber of Commerce in Sydney that expensive housing due to land release policies had also made business tough for Boral.

Leave a Reply

Send this to a friend