This is a 'rock and a hard place' scenario isnt it? Labor would risk the wrath of the unions and workers for reducing the subsudies because jobs would be lost, but on the other hand they are propping up 'big business' with taxpayers money to the tune of billions. In fairnest for 6 of those years it was the Libs. But imagine If Labor announced they were giving Gina or BHP millions because the mining industry took a downturn, what would voters say? So where do they go? Jobs or votes? My twopenneth (not worth any more) is this; The Govt should look at a long term investment in partnership with some trusted (financially proven) business partners to produce a product in which only WE have expertise and then sell it to the world market.
Find something we have lots of and value add, but prevent a market like China or America from purchasing the raw material thereby creating a monopoly.
There are minerals that come into that catagory and I see time and again on forums complaints that we only sell the raw materials. Lets get tough and hold some stuff back by legislation and create a value adding industry via tax incentives and cutting some of the thick red tape that gets worse by the day.