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8 The scope of the 2011-12 Mining collection comprises all entities classified to ANZSIC Division B Mining, operating in the Australian economy during 2011-12. ANZSIC Division B Mining comprises the following subdivisions and their component groups and classes:
060 Coal mining
0600 Coal mining
07 Oil and gas extraction
070 Oil and gas extraction
0700 Oil and gas extraction
08 Metal ore mining
080 Metal ore mining
0801 Iron ore mining
0802 Bauxite mining
0803 Copper ore mining
0804 Gold ore mining
0805 Mineral sand mining
0806 Nickel ore mining
0807 Silver-lead-zinc ore mining
0809 Other metal ore mining
09 Non-metallic mineral mining and quarrying
091 Construction material mining
0911 Gravel and sand quarrying
0919 Other construction material mining
099 Other non-metallic mineral mining and quarrying
0990 Other non-metallic mineral mining and quarrying
10 Exploration and other mining support services
1011 Petroleum exploration
1012 Mineral exploration
109 Other mining support services
1090 Other mining support services
9 The scope of the collection excludes entities classified to SISCA Sector 3 General government. Government-owned or controlled Public non-financial corporations are included.
10 Industry statistics in this publication are presented at subdivision level. ANZSIC Subdivision 08 Metal ore mining is also presented at the ANZSIC class level in Tables 2, 3, 4 and 5 in the data cube.
11 This section discusses frame, statistical units, coverage issues and improvements to coverage.
12 Businesses contributing to the estimates in this publication are sourced from the ABS Business Register (ABSBR), which has two components as described below.
13 The ABS uses an economic statistics units model on the ABSBR to describe the characteristics of businesses, and the structural relationships between related businesses. Within large and diverse business groups, the units model is used also to define reporting units that can provide data to the ABS at suitable levels of detail.
14 In mid 2002, the ABS commenced sourcing its register information from the ABR and at that time changed its business register to a two population model. The two populations comprise what is called the Profiled Population and the Non-Profiled Population. The main distinction between businesses in the two populations relates to the complexity of the business structure and the degree of intervention required to reflect the business structure and the degree of intervention required to reflect the business structure for statistical purposes.
15 The majority of businesses included on the ABS Business Register are in the Non-Profiled Population. Most of these businesses are understood to have simple structures. For these businesses, the ABS is able to use the ABN as the basis for a statistical unit. One ABS equates to one statistical unit.
16 For a small number of businesses, the ABN unit is not suitable for ABS economic statistical purposes and the ABS maintains its own units structure through direct contact with businesses. These businesses constitute the Profiled Population. This population consists typically of large or complex groups of businesses. The statistical units model below caters for such businesses:
17 The ANZSIC-based industry statistics presented in this publication are compiled differently from activity statistics. Each ABN unit or TAU on the ABSBR has been classified (by the ATO and the ABS respectively) to a single predominant industry class irrespective of any diversity of activities undertaken. A Mining business is one predominantly engaged in Mining activities, but the data collected for it cover all activities of the business (including any non-mining activities). Conversely, there are some businesses predominantly engaged in non-mining activities which also undertake limited Mining activities; these are excluded from the Mining statistics collection.
18 Some businesses engage, to a significant extent, in activities which are normally carried out by different industries. For example, a predominantly Mining business may also undertake significant amounts of manufacturing. Similarly, a Mining business may produce significant volumes of goods which are normally produced in different Mining industries. Where a business makes a significant economic contribution to industries classified to different ANZSIC subdivisions, the ABS includes the business in the ABS maintained population and 'splits' the TAU's reported data between the industries involved. Significance is determined using total income.
19 A TAU's reported data will be split if the inclusion of data relating to the secondary activity in the statistics for the industry of the primary activity distorts (by overstating or understating) either the primary or secondary industry statistics at the ANZSIC subdivision level by:
20 Unincorporated joint ventures (UJVs) within the Mining industry are arrangements which allow the sharing of expertise, resources and risk associated with the development of mineral deposits. This occurs through the participation of a number of organisations (by investment) in a Mining operation. Some of these organisations may not otherwise be involved in the Mining industry.
21 The Mining collection includes Mining businesses which are operators and/or participants in UJVs. Generally, each participant supplies data of its share of income, while the operator reports all expenses and employment.
22 The ABS attempts to maintain a current understanding of the structure of the large, complex and diverse business groups that form the ABS maintained population on the ABSBR, through direct contact with those businesses. Resultant changes in their structures on the ABSBR can affect:
23 The ABS attempts to obtain data for those businesses which ceased operation during the year, but it is not possible to obtain data for all of them.
Improvements to coverage
24 Data in this publication have been adjusted to allow for lags in processing new businesses to the ABSBR, and the omission of some business from the register. The majority of businesses affected, and to which the adjustments apply, are small in size. As an example, the effect of these adjustment is generally 4% or less for most ANZSIC industry divisions and for most states and territories.
25 For more information on these adjustments, please refer to the ABS publication Information Paper: Improvements to ABS Economic Statistics, 1997 (cat. no. 1357.0).
26 Selected key terms are described below.
Industry performance measures
27 This publication presents a wide range of data that can be used to analyse business and industry performance.
28 Differences in accounting policy and practices across businesses and industries can lead to some inconsistencies in the data input to the statistics. Although much of the accounting process is subject to standards, there is still a great deal of flexibility left to managers and accountants in the accounting policy and practices that they adopt. For example, the way profit is measured is affected by management policy about such issues as depreciation rates, bad debt provisions and write off, and goodwill write off. The varying degree to which businesses consolidate their accounts may also affect any industry performance measures calculated.
29 The above limitations are not meant to imply that analysis based on these data should be avoided, only that they should be borne in mind when interpreting the data presented in this publication.
30 A range of performance measures, usually expressed as ratios, can be produced from the data available from businesses' financial statements. The performance measures presented in this publication comprise:
31 A further explanation of each ratio can be found in the Glossary.
Industry value added
32 Industry value added (IVA) is the measure of the contribution by businesses in each industry to gross domestic product. The IVA table presents estimates of the components of IVA for Mining that are within the scope of the collection.
Australian International Financial Reporting Standards
33 The new Australian International Financial Reporting Standards (AIFRS) were progressively implemented in Australia from 1 January 2005. As a result, a number of items in the financial accounts of Australian businesses have been affected by changed definitions, which have in turn affected both Income Statements and Balance Sheets. A range of ABS economic collections source data from financial accounts of businesses, and use those data to derive economic statistics. There have been no changes in the associated economic definitions.
34 In order to minimise the load placed on providers, the strategy for this survey was to use, as much as possible, information sourced from the ATO, thus reducing the size of the direct collect sample needed to maintain the range and quality of information available to users of statistical data. The frame (from which the direct collect sample was selected) was stratified using information held on the ABSBR. Businesses eligible for selection in the direct collect sample were then selected from the frame using stratified random sampling techniques.
35 Businesses were only eligible for selection in the survey (the direct collect sample) if their turnover exceeded a threshold level, or the business was identified as being an employing business (based on ATO information), as at the end of the reference period. Turnover thresholds were set for each ANZSIC class so that the contribution of surveyed businesses accounted for approximately 97.5% of total industry class turnover as determined by Business Activity Statement (BAS) data. A sample of 928 Mining businesses was selected for the directly collected part of the 2011-12 survey. Each business was asked to provide data sourced primarily from financial statements, mainly by mail out questionnaires. Businesses were also asked to supply key details of their operations by state and territory, enabling production of the state/territory estimates.
36 Businesses which met neither of these criteria are referred to as 'micro non-employing businesses'. These businesses were not eligible for selection in the sample. For these units, BAS data were obtained and annualised, then added to the directly collected estimates to produce the statistics in this publication.
STATE AND TERRITORY ESTIMATES
37 State and territory summary estimates for selected Mining industries (i.e. Total mining excluding ANZSIC Subdivision 10 Exploration and other mining support services) are presented as a separate table in the data cube. To enable the production of these estimates, businesses included in the mail out survey were asked to report data for employment, wages and salaries, and sales of goods and services, for each state and/or territory in which they operated, if more than one. The relevant data for all other businesses, including those whose contribution was sourced from BAS data, were allocated to their state/territory of operations as recorded on the ABSBR.
EFFECTS OF ROUNDING
38 Where figures have been rounded, discrepancies may occur between totals and the sums of the component items.
39 Proportions, ratios and other calculated figures shown in this publication have been calculated using unrounded estimates and may be different from, but are more accurate than, calculations based on the rounded estimates.
Comparison with other ABS Statistics
40 In some cases estimates given in this publication may differ from those from other sources. These differences may be the result of sampling or non-sampling error, or may result from differences in scope, coverage, definitions or methodology.
41 A range of further information is available, as described below.
42 The following ABS publications present economy-wide and industry specific data:
43 The following organisations also publish Mining and related statistics for Australia:
44 The ABS also issues a daily Release Advice on the web site which details products to be released in the week ahead.
45 Inquiries should be made to the National Information and Referral Service on 1300 135 070.
46 ABS publications draw extensively on information provided freely by individuals, businesses, governments and other organisations. Their continued cooperation is very much appreciated; without it, the wide range of statistics published by the ABS would not be available. Information received by the ABS is treated in strict confidence as required by the Census and Statistics Act 1905.
Use of Australian Taxation Office (ATO) data in this publication
47 The results of these studies are based, in part, on tax data supplied by the ATO to the ABS under the Income Tax Assessment Act 1936, which requires that such data are only used for statistical purposes. No individual information collected under the Census and Statistics Act 1905 is provided back to the ATO for administrative or regulatory purposes. Any discussion of data limitations or weaknesses is in the context of using the data for statistical purposes, and is not related to the ability of the data to support the ATO's core operational requirements.
48 Legislative requirements to ensure privacy and secrecy of these data have been followed. Only people authorised under the Australian Bureau of Statistics Act 1975 have been permitted to view data about any particular organisation and/or persons in conducting these analyses. No information about individual taxpayers (persons) has been released to the ABS. Aggregated personal income tax data are confidentialised by the ATO before release to the ABS. In accordance with the Census and Statistics Act 1905, results have been confidentialised to ensure that they are not likely to enable identification of a particular person or organisation.
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