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Queensland coal communities hope rising royalties will fund extra doctors, better roads

Central Queensland coal miner Michael Kidd is no stranger to feeling uncertain about the future of his livelihood, but lately his concern has spiked.

The father of four says the fierce debate that's emerged over a rise in coal royalties has led to more anxiety in the ever-changing industry and "frightened" some workers.

"The consensus among [people I talk to] is that, you know, the government might be trying to squeeze a little bit too hard and could eventually kill the golden goose," he said.

"Definitely, it makes a few people nervous."

The Queensland government raised coal royalties in the June state budget amid record-high coal prices.

The move, which is set to boost the state's coffers by $1.2 billion, received strong backlash from mining companies and lobby groups such as the Queensland Resources Council.

Mining giant BHP recently announced it was pausing new investment in Queensland because of the rise.

But according to the Mining and Energy Union's Queensland president Stephen Smyth, while there are some workers with concerns, most are more concerned about other issues, such as workforce casualisation.

"If you take $1 off these coal companies, they'll jump up and down," he said.

"I think for a long time, coal companies have had a pretty good run of it where their royalties have been never really based off profit, or if the price of coal is going up."

But Mr Smyth, who is based in Mackay, said while he supported the increase, that money raised needed to be reinvested back into coal communities.

"I don't want to see another bus stop built in the CBD or Brisbane or another tunnel," he said.

"It's got to be spent out in the regions on regional infrastructure and on regional people where the wealth comes from."

That is a sentiment echoed right across central Queensland.

More doctors needed

The town of Moura, just west of Biloela, has struggled for years to have proper access to doctors.

Debbie Elliott is a long-time community member who has campaigned for years for better healthcare access for the town.

"Let's hope [the extra royalties] are used to pay actual doctors to come into the communities," she said.

"We need to have more doctors in our communities. It's ridiculous the stress that gets put on one doctor."

The state government has committed to spending the extra funds raised from the royalties rise in regional areas.

In his budget speech in June, Treasurer Cameron Dick said the extra "$1.2 billion, and more will be going to regional Queensland".

In that budget, $1.6 billion was set aside for infrastructure projects and $1.3 billion for health across the central Queensland and the Mackay-Isaac-Whitsunday regions, where most of Queensland's coal mines are located.

"We will build a new hospital for Moranbah. We will expand Mackay Hospital, Townsville Hospital and Cairns Hospital," Mr Dick said.

"There will be more beds in hospitals at Rockhampton, at Hervey Bay and at Sarina."

Harder to ask companies for funds

Ms Elliot said she was worried that mining companies paying more of their profits to the government could result in less investment in the community.

Most major companies run community funds where they pay for projects and programs.

Ms Elliott said when Moura began its doctor attraction incentive, the first organisation to offer them $8,000 in funding was the local mine.

"There has been a relationship, a reliance, that yeah, the mine will for sure put in for some for us. They'll help us out with that," she said.

"It gets a little hard to be asking that when you know they're already having that larger chunk taken from what they are doing."

'More investment needed'

Isaac Regional Council Mayor Anne Baker, whose region is home to 28 coal mines, said that was not enough and more investment was needed in coal communities.

"At the moment, we've got untenable situations with our hospital and health services," she said.

"We're having to be extraordinarily competitive for funding for projects."

She said her region produced 54 per cent of Queensland's export coal, and the council's priority was making sure the royalties were returned to the region.

"What we want to see it used for is to improve the hospital and health services across our region, fix government roads that connect all of our communities in our region and contribute to the construction of Phillips Creek Bridge, which is a connection for our communities in the southern end of the region to the northern end," she said.

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