Campsite at Wanna Munna near Mt Newman
A nice camp a few hours 4WDing out of Newman..
one of two copies! With the #VelcroPalace on a #roundAustraliawithSpelio
IMG_8334. With #Smoky60Series ... And the #VelcroPalace AKA Scruby, the camper trailer, Australian made!
The campsite Andrew missed... youtu.be/nlY3tuXlEsU
Namatjira Ghost Gums near Alice Springs, destruction… www.smh.com.au/national/suspicious-blaze-destroys-namatji...
nalysis of BHP's Profitability in Newman and the Absence of a Dialysis Hostel for Local Indigenous Peoples
1. Executive Summary:
BHP, a major global mining company, generates substantial profits from its iron ore operations near Newman in the Pilbara region of Western Australia. These operations have consistently delivered high returns, contributing significantly to both the company's overall financial performance and the revenue of the Western Australian government. Simultaneously, the Indigenous population in the Newman area and the broader Pilbara region experiences a disproportionately high prevalence of chronic kidney disease, often leading to a critical need for dialysis treatment. While BHP has engaged in various community development initiatives in the region, including some contributions to healthcare infrastructure, a dedicated dialysis hostel to accommodate Indigenous patients from remote communities requiring regular treatment in Newman has not been established despite a clear and persistent need. This report examines the interplay between BHP's profitability, the healthcare needs of the local Indigenous population, the company's existing community contributions, the complexities of establishing a dialysis hostel in a remote area, the roles and responsibilities of mining companies and government in healthcare provision, differing perspectives on corporate social responsibility, existing partnerships, and the history of proposals related to a dialysis hostel in Newman. The analysis aims to provide a comprehensive understanding of the factors contributing to this apparent disparity and to offer informed recommendations for addressing the identified gap in healthcare infrastructure.
2. BHP's Iron Ore Operations and Profitability in the Pilbara:
BHP's presence in the Pilbara region of Western Australia, particularly its Newman Operations, forms a cornerstone of its global iron ore business. Operating since 1968, Newman Operations, encompassing Newman East and Newman West, contribute a significant volume of approximately 78 million tonnes to BHP's total annual iron ore production. The Pilbara itself is a critical global source of iron ore, with Western Australia being the largest supplier worldwide, accounting for over a third of the global supply. BHP's contribution to this sector is substantial, representing a significant portion of the state's exports and employing a considerable number of people in the region.
The financial performance of BHP's iron ore operations in the Pilbara is consistently strong. In the fiscal year 2024, the company achieved record production volumes at Western Australia Iron Ore (WAIO), solidifying its position as the lowest-cost major iron ore producer globally. This efficiency translates directly into high profitability, with WAIO consistently achieving Underlying EBITDA margins exceeding 50% for the past eight years, reaching 54% in FY24. The company's overall revenue in FY24 saw a 3% increase to US$55.7 billion, primarily driven by higher realized prices for key commodities, including iron ore, and increased sales volumes. The underlying attributable profit for the same period was US$13.7 billion, a 2% increase year-on-year. These figures underscore the immense profitability of BHP's operations in the Pilbara region. Furthermore, BHP is a major contributor to government revenues in Australia. In FY24, total payments to governments amounted to US$11.2 billion. While the specific contribution from WA is not isolated in this figure, data from FY23 indicates that Australia accounted for the largest share of BHP's global economic contribution (US$40.4 billion) and government payments (US$12.1 billion). BHP also invests significantly in community development in Western Australia, allocating US$518 million in FY23 towards such initiatives.
The consistent status of BHP's WAIO as a low-cost producer with remarkably high profit margins year after year indicates a robust and financially powerful operation in the Pilbara. This sustained financial strength over an extended period suggests that the company possesses a significant capacity to allocate resources towards initiatives that benefit the communities in which it operates, beyond its core mining activities. The substantial contribution of BHP's operations to the revenue of the Western Australian government also highlights the significant economic influence of the company in the region. This interdependence raises important considerations about how these government revenues are utilized and the shared responsibility between the government and BHP in addressing the needs of the communities impacted by mining.
Table 1: BHP's Key Financial Indicators for Western Australia Iron Ore (WAIO)
Financial YearIron Ore Production Volume (Million Tonnes)Revenue (US$ Billion)Underlying Attributable Profit (US$ Billion)Underlying EBITDA Margin (WAIO)Total Payments to Governments (Australia) (US$ Billion)Community Development Investment (WA) (US$ Million)
FY23257 53.8 13.4 54% 12.1 518
FY24266 55.7 13.7 54% 11.2 Data not yet released
Note: Revenue and Underlying Attributable Profit are for the entire BHP Group, but iron ore from WAIO is a major contributor. Community Development Investment data for FY24 will be released later.
3. The Prevalence of Kidney Disease and the Need for Dialysis Among Indigenous People in Newman:
Chronic kidney disease (CKD) poses a significant health challenge for Indigenous Australians, with prevalence rates considerably higher than those of their non-Indigenous counterparts. Data from 2012-13 revealed that nearly one in five Indigenous Australian adults exhibited biomedical signs of CKD, a rate twice as high as that for non-Indigenous adults. The likelihood of developing CKD increases with age and is particularly elevated among individuals residing in remote areas. Alarmingly, Aboriginal people living in remote regions experience incidence rates of end-stage kidney disease that can be up to 20 times the national average.
This higher prevalence of CKD directly translates to a disproportionate need for kidney replacement therapy, including dialysis. Hospitalization rates for dialysis care are eleven times higher for Indigenous Australians compared to non-Indigenous Australians. Similarly, the incidence of kidney failure requiring replacement therapy is six times as high for Indigenous Australians. As of December 2021, 85% of Indigenous Australians receiving kidney replacement therapy were undergoing dialysis.
While specific data on the prevalence of kidney disease among Indigenous people in Newman is limited within the provided research material, the established pattern of higher rates in remote areas strongly suggests that the Indigenous community in Newman and the broader Pilbara region faces a similar, if not more severe, burden of CKD. The very existence of a specialist partnership with the Puntukurnu Aboriginal Medical Service (PAMS) in Newman, focused on improving the detection and treatment of kidney disease, underscores the significance of this health issue within the local Indigenous population. Data from the Shire of East Pilbara in 2021 indicates that 1.5% of Aboriginal and Torres Strait Islander persons reported having kidney disease. However, this figure likely represents only those who are aware of their condition, as a substantial number of individuals with early-stage CKD remain undiagnosed.
The consistently reported and significantly elevated rates of CKD and the subsequent need for dialysis among Indigenous Australians, particularly in remote regions such as the Pilbara, highlight a critical and long-standing health inequity. This disparity is not a marginal difference but a substantial order of magnitude, indicating systemic factors and an urgent need for accessible and culturally appropriate treatment options. Furthermore, the considerable number of Indigenous individuals with CKD who are unaware of their condition until later stages emphasizes the critical importance of not only providing treatment facilities like dialysis but also implementing robust early detection and preventative health programs within these communities. A dialysis hostel, while essential for those with end-stage kidney disease, represents just one component of a comprehensive strategy needed to address this health crisis.
Table 2: Comparison of Kidney Disease Prevalence and Treatment Rates: Indigenous vs. Non-Indigenous Australians
MetricIndigenous AustraliansNon-Indigenous AustraliansRatio (Indigenous : Non-Indigenous)Snippet(s)
Adults with Biomedical Signs of Chronic Kidney Disease (2012-13)~18%~10%~1.8 : 1
Rate of Hospitalization for Dialysis453 per 1,00042 per 1,000~10.8 : 1
Incidence of Kidney Failure Requiring Replacement Therapy41 per 100,000~7 per 100,000~5.9 : 1
Treatment Rate for End-Stage Kidney Disease (2017)8.8% of all patients91.2% of all patients~1 : 10.4 (as proportion of total)
Note: Ratios are approximate based on the provided data.
4. BHP's Current Community Development and Health Initiatives in Newman:
BHP actively engages in community development initiatives in Western Australia, demonstrating a commitment to the regions where it operates. In FY23, the company invested a significant sum of $518 million in community development projects across the state. This investment encompasses a range of programs, including direct contributions to social initiatives and support for numerous local organizations through their community grants program. The BHP WA Community Grants program specifically provides ongoing support to not-for-profit entities in areas like Newman, focusing on initiatives that promote positive community, environmental, and economic development, aligning with their objective of fostering thriving and empowered communities.
Within Newman, BHP has made notable contributions to healthcare infrastructure and services. A significant example is their $15 million contribution towards the development of the new $61.4 million Newman Health Service. This modern facility offers a range of essential services, including an emergency department, inpatient beds, and a dental clinic, representing a substantial enhancement to the local healthcare system. Recognizing the specific and pressing need for dialysis services within the community, BHP committed $1.9 million in 2021 to the Puntukurnu Aboriginal Medical Service (PAMS) for the establishment of a dedicated dialysis clinic located within the PAMS healthcare center in Newman. This purpose-built clinic is the first of its kind in the town and has the capacity to treat up to ten patients daily, providing crucial access to specialized dialysis treatment. Further supporting PAMS, BHP has also funded additional General Practitioners to address the high demand for primary healthcare services in Newman. During the COVID-19 pandemic, BHP also provided essential medical supplies, such as rapid antigen tests and surgical masks, to PAMS for distribution within Newman and surrounding communities. BHP's partnership with Telethon has also channeled funds to the Upstream Health Project, managed by PAMS, which delivers culturally appropriate maternal and child health services in the East Pilbara region.
Beyond direct healthcare investments, BHP supports other initiatives in Newman that have indirect positive impacts on health and well-being. They partner with the Newman Neighbourhood Centre, providing financial support for various community programs and subsidizing childcare fees, thereby contributing to the overall well-being of families and children. This center serves as a vital hub for community connection and provides access to a range of essential services, including a community nurse. BHP is also a key partner in the Pilbara Education Partnership, investing in educational services within public schools in Newman and the surrounding areas. Improved educational outcomes are recognized as having long-term positive effects on health literacy and overall quality of life. Furthermore, through a collaborative effort with Fortescue and the WA Government, BHP is investing in the Pilbara Safe Spaces program in Newman. This initiative aims to provide safe environments for vulnerable youth and connect them with crucial support services, including an Indigenous Healing Service, addressing social determinants of health that can significantly impact mental and physical well-being. BHP also partners with Wanslea to enhance the availability of affordable childcare services in regional Western Australia, including the Pilbara, which can positively impact the health and well-being of families.
While BHP has made considerable financial contributions to the healthcare infrastructure in Newman, particularly through the funding of the dialysis clinic at PAMS, the persistent need for a dedicated hostel for dialysis patients suggests a potential gap in fully addressing the needs of individuals traveling from remote communities for treatment. The existing clinic, while essential, may not adequately support patients requiring frequent and potentially extended treatment periods who lack suitable accommodation in Newman. BHP's broader community investments, while valuable and contributing to the overall well-being of the community, may not directly address the immediate and specific need for accommodation for dialysis patients from remote areas.
Table 3: BHP's Key Community Development and Health-Related Investments in Newman
Project NameAmount of Funding (if specified)Year of Investment/Partnership (if specified)Brief Description of Project's FocusSnippet(s)
Newman Health Service$15 million2023 (opening)Contribution to a new state-of-the-art hospital facility
PAMS Dialysis Clinic$1.9 million2021Establishment of the first dialysis clinic in Newman
Additional GPs for PAMSFunding provided2022Funding for additional medical professionals to support primary healthcare services
Pilbara Education Partnership$12 million (over 4 years)2025 (extension)Partnership to enhance education services and outcomes in public schools in the Pilbara, including Newman
Pilbara Safe Spaces ProgramUp to $22 million (joint with FMG)2025 (commencing)Initiative to provide safe spaces for vulnerable youth in Hedland and Newman, including healing service
Newman Neighbourhood CentreFunding providedOngoingPartnership supporting various community programs and subsidizing crèche fees
Upstream Health Project (PAMS)Boost from $5.5 million donation2024 (donation year)Culturally appropriate maternal and child health service in the East Pilbara
Newman Day Care Centre Upgrade$20,000 (community grant)2023Upgrade to outdoor play areas at the daycare center
5. The Costs and Logistical Considerations of Establishing a Dialysis Hostel in Remote WA:
Providing dialysis treatment, especially in remote regions like Newman, entails significant financial investment and logistical planning. In 2009, the estimated annual cost for one person receiving in-center dialysis was approximately $80,000, with expenses potentially higher in rural and remote areas. More recent data from 2015-2016 indicated that the annual per-patient cost for hemodialysis in remote satellite units ranged considerably, with a median cost of around $99,888 per year. Notably, remote services often face higher operational costs, primarily driven by increased staffing expenses.
Establishing the necessary infrastructure for both dialysis treatment and accommodation also requires substantial capital expenditure. In 2016-2017, the construction of a 20-bed renal hostel in Derby cost $6.3 million, while a four-chair renal dialysis unit in Fitzroy Crossing was built for $3.6 million. A more recent example is the $7.4 million investment in a new renal hostel in Kalgoorlie, with capital funding provided by the Commonwealth Government and ongoing operational costs covered by the WA Government.
Operating a dialysis hostel in a remote setting like Newman presents a unique set of logistical challenges. These include ensuring consistent staffing with qualified medical professionals trained in dialysis treatment, maintaining reliable utilities (water, electricity), providing regular cleaning and maintenance of the facility, and securing adequate insurance coverage. Transportation of patients from their often-remote communities to the hostel and then to their dialysis appointments is another significant logistical and financial factor that needs to be carefully considered. Furthermore, it is crucial to provide culturally appropriate and comfortable accommodation for patients who may be away from their families, communities, and familiar support networks for extended periods while undergoing treatment. The accommodation itself needs to be conducive to the health and well-being of patients with compromised immune systems.
The considerable capital costs associated with building renal hostels and the substantial annual per-patient cost of dialysis treatment highlight the significant long-term financial commitment required to establish and operate a dialysis hostel in Newman. This suggests that a sustainable solution would likely necessitate a collaborative funding approach involving contributions from various stakeholders, including potential capital funding from mining companies like BHP and a commitment from the government to cover ongoing operational expenses. The higher operational costs typically encountered in remote areas underscore the challenges of attracting and retaining qualified medical staff and managing the complex logistics involved in delivering healthcare services in such settings. Any plan for a dialysis hostel in Newman must carefully consider these staffing and logistical complexities to ensure its long-term viability and effectiveness. The successful establishment of renal hostels in other remote communities within Western Australia, such as Derby, Fitzroy Crossing, and Kalgoorlie , offers valuable insights and potential models for developing a similar facility in Newman, particularly regarding funding frameworks and operational considerations.
Table 4: Capital Costs of Renal Hostels and Dialysis Units in Remote Western Australia
LocationType of FacilityNumber of Beds/ChairsCapital Cost (Million AUD)Year of CompletionFunding SourcesSnippet(s)
DerbyRenal Hostel206.32017WA State Government
Fitzroy CrossingDialysis Unit43.62017WA State Government
KalgoorlieRenal HostelNot specified7.42020 (completion)Commonwealth Government (capital), WA Government (ops)
6. The Roles and Responsibilities of Mining Companies and Government in Healthcare Provision:
In Australia, the provision of healthcare services is primarily the responsibility of the government, at both the federal and state levels. This includes ensuring access to essential medical services for all citizens, irrespective of their location, including those residing in remote mining regions. The Western Australian government's commitment to funding the ongoing operational costs of renal hostels in regional centers like Kalgoorlie exemplifies this fundamental responsibility.
However, mining companies also have certain responsibilities related to the health and well-being of the communities in which they operate. Legally, mining companies are obligated to ensure the safety and health of their employees and contractors within the workplace. This includes implementing comprehensive occupational health and safety standards, conducting regular health assessments for workers exposed to specific occupational hazards, and actively monitoring for the development of work-related diseases. These legal obligations are typically mandated through state-based legislation, such as the Mines Safety and Inspection Act 1994 in Western Australia.
Beyond these legal requirements, the concept of a "social license to operate" has gained increasing prominence in the mining industry. This concept recognizes the need for mining companies to earn and maintain the acceptance and support of local communities and stakeholders, particularly Indigenous communities, who are often directly impacted by mining activities. Corporate Social Responsibility (CSR) extends beyond legal compliance and encompasses a broader range of voluntary actions and commitments undertaken by companies to address the social and environmental consequences of their operations and to contribute positively to the well-being of their stakeholders. This can include investments in community health initiatives, educational programs, and infrastructure development. The Minerals Council of Australia (MCA) acknowledges the importance of mining companies fostering opportunities that lead to improved health and economic outcomes for Indigenous communities.
The World Bank emphasizes that ensuring the health of local communities in mining regions is a shared responsibility between mining companies and government health authorities, advocating for joint prioritization and aligned interventions. In Australia, a growing trend involves collaborative partnerships where mining companies work in conjunction with government agencies, Indigenous organizations, and healthcare providers to address specific community needs.
While the government bears the primary responsibility for ensuring healthcare access for all citizens, the significant economic influence and substantial presence of mining companies in regions like the Pilbara create an environment where these companies are often expected to contribute to the well-being of the communities in which they operate, extending beyond their direct workforce. This expectation is particularly pronounced when addressing the health needs of Indigenous communities who may be disproportionately affected by health issues, such as the high prevalence of kidney disease. The legal health responsibilities of mining companies are primarily focused on their employees and the management of occupational health hazards. The health needs of the broader community, while increasingly falling under the purview of social responsibility, occupy a less clearly defined area of obligation. This ambiguity can lead to ongoing discussions regarding the appropriate level of involvement for mining companies in addressing community health issues like the significant dialysis needs of Indigenous people in Newman.
7. Perspectives on the Social Responsibility of Mining Corporations Towards Indigenous Health:
There are varying perspectives on the extent to which mining corporations like BHP bear social responsibility for the health and well-being of Indigenous communities in the regions where they operate. One perspective argues strongly that due to the significant impact of mining operations on the environment and social fabric of Indigenous lands, companies have a profound ethical obligation to contribute to the health and well-being of these communities. This viewpoint emphasizes that addressing the substantial health disparities faced by Indigenous Australians, including the alarmingly high rates of kidney disease, aligns with broader national goals of reconciliation and closing the gap in health outcomes. Furthermore, proponents of this view argue that highly profitable companies like BHP possess a greater capacity, and therefore a greater responsibility, to invest in the communities that contribute to their success. Such investments can also foster stronger relationships and secure a more sustainable social license to operate.
Conversely, another perspective posits that the primary responsibility for providing healthcare rests with the government, which is funded by taxes and royalties paid by corporations like BHP. From this viewpoint, mining companies fulfill their primary social responsibility by generating economic activity, providing employment opportunities, and contributing to government revenue through taxes and royalties, which can then be allocated to public services, including healthcare. Defining the precise boundaries of a corporation's social responsibility can be challenging, and some argue that overreach could potentially blur the lines between corporate and governmental roles in service provision.
Critical perspectives on CSR in the mining sector raise concerns about the genuine impact of these initiatives. Some research suggests that CSR efforts can sometimes be strategically employed to enhance a company's public image or to manage regulatory requirements, rather than stemming from a deep-seated commitment to community well-being. There are also instances where legally mandated obligations or standard operational expenses are presented as acts of corporate philanthropy. The actual effectiveness of CSR programs in addressing the specific needs and concerns of Indigenous stakeholders, particularly those most directly affected by mining operations, has also been questioned.
The debate surrounding the social responsibility of mining corporations in relation to Indigenous health is intricate, encompassing ethical considerations, legal frameworks, and economic realities. There is no universally agreed-upon definition of the appropriate level of responsibility for a mining company in this context. The potential for CSR initiatives to be used for public relations purposes or to manage legal obligations underscores the importance of transparency, accountability, and genuine partnerships with Indigenous communities to ensure that social responsibility efforts yield meaningful and sustainable benefits.
8. Existing Partnerships and the History of Dialysis Hostel Proposals in Newman:
BHP has established several partnerships in Newman that aim to support healthcare and community well-being. Their collaboration with the Puntukurnu Aboriginal Medical Service (PAMS) is a significant example, involving a substantial $1.9 million contribution towards the establishment of the first dialysis clinic in Newman. This partnership also extends to ongoing support, including funding for additional General Practitioners to serve the community. Furthermore, BHP has partnered with the Western Australian government on various community initiatives, including their $15 million contribution to the new Newman Health Service. They are also collaborating with Fortescue and the Cook Government, along with Aboriginal Community Controlled Organisations (ACCOs), on the Pilbara Safe Spaces program in Newman. BHP also supports the Newman Neighbourhood Centre through funding for their diverse programs and has a long-term partnership with Wanslea to improve childcare services in regional Western Australia, including the Pilbara.
Despite these partnerships and contributions to healthcare in Newman, there has been a recognized and long-standing need for a dedicated dialysis hostel to accommodate patients traveling from remote Indigenous communities for treatment. A news report highlighted the dire circumstances faced by these patients, who often endure overcrowded living conditions or even sleep outdoors while undergoing life-saving dialysis. The report noted that other regional centers in Western Australia with dialysis facilities, such as Kalgoorlie and Port Hedland, have established hostels, and similar facilities were planned for Broome and Karratha, but not for Newman.
The news report also revealed that BHP had donated five abandoned houses in Newman with the intention of them being converted into a short-term hostel for dialysis patients. However, advocates involved in the proposal indicated that a significant funding shortfall of $9 million was still required to renovate these derelict buildings to a suitable standard for accommodating vulnerable patients. The report suggests that progress on this hostel development had been slow, leaving a critical need unmet.
BHP's donation of houses for a dialysis hostel indicates an initial acknowledgment of the accommodation needs of dialysis patients from remote communities. However, the considerable funding gap that remains for the necessary renovations and the apparent lack of further progress suggest a potential disconnect between this initial gesture and a comprehensive solution to the problem. The fact that other regional centers with similar mining operations and Indigenous populations requiring dialysis have successfully established hostels underscores that the lack of such a facility in Newman is not a unique situation in remote WA. It raises questions about the specific challenges or lack of coordinated effort in Newman that have impeded the development of this crucial infrastructure, despite BHP's significant presence and profitability in the region.
9. Conclusion and Recommendations:
The analysis reveals a stark contrast between BHP's substantial and consistent profitability from its iron ore operations near Newman and the persistent lack of a dedicated dialysis hostel for the local Indigenous population, who experience a disproportionately high burden of chronic kidney disease requiring dialysis. While BHP has made significant contributions to the Newman community's healthcare infrastructure, including funding a dialysis clinic and supporting other health-related initiatives, the absence of suitable accommodation for patients traveling from remote communities for treatment remains a critical unmet need. The costs and logistical complexities of establishing a dialysis hostel in a remote area are significant, requiring a collaborative approach involving both corporate and government support. The responsibility for healthcare provision primarily lies with the government, but the concept of a social license to operate and corporate social responsibility suggests that highly profitable companies like BHP have an ethical obligation to contribute to the well-being of the communities impacted by their operations. The history of a proposal involving BHP's donation of houses for a hostel, which has stalled due to a lack of funding for renovations, highlights a missed opportunity to address this pressing issue.
To bridge this gap and ensure that Indigenous people in the Newman region have equitable access to life-saving dialysis treatment, the following recommendations are put forth:
BHP should make a substantial financial commitment to fully fund the capital costs required to convert the donated houses or build a new, fit-for-purpose dialysis hostel in Newman. Given their consistent high profitability in the region , BHP has the financial capacity to address this critical need. This would build upon their initial donation and demonstrate a genuine commitment to the health and well-being of the local Indigenous community.
The Western Australian Government should commit to funding the ongoing operational costs of a dialysis hostel in Newman. This would align with their responsibility for providing essential healthcare services and mirror their support for similar facilities in other regional centers.
A collaborative partnership should be formalized between BHP, the WA Government, the Puntukurnu Aboriginal Medical Service (PAMS), and representatives from the local Indigenous community to co-design and oversee the development and management of the dialysis hostel. This partnership would ensure that the facility is culturally appropriate, meets the specific healthcare needs of the intended users, and benefits from the expertise and resources of all stakeholders.
Beyond the immediate need for a hostel, all stakeholders should invest in and support long-term strategies focused on the early detection, prevention, and management of chronic kidney disease within Indigenous communities in the Pilbara. This includes culturally appropriate health education, regular screening programs, and improved access to primary healthcare services to address the root causes of the high prevalence of kidney disease.
By embracing these recommendations, BHP, in collaboration with the government and the local community, has the opportunity to make a tangible and lasting positive impact on the lives and well-being of Indigenous people in the Newman region, addressing a critical healthcare need and demonstrating a meaningful commitment to social responsibility.
indigenoushpf.gov.au
1.10 Kidney disease - AIHW Indigenous HPF - Aboriginal and Torres Strait Islander Health Performance Framework
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bhp.com
Financial results for the year ended 30 June 2024 - BHP
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aihw.gov.au
Profiles of Aboriginal and Torres Strait Islander people with kidney disease, Summary
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wa.gov.au
Multi-million-dollar boost to extend BHP education partnership in the Pilbara | Western Australian Government
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bhp.com
ANNUAL REPORT 2024 - BHP
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wacountry.health.wa.gov.au
WA Country Health Service Kidney Disease Strategy
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bhp.com
BHPs WA projects a key contributor to the economy
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wa.gov.au
Cook Government launches Safe Spaces program in the Pilbara
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racp.edu.au
Closing the Gap in the Detection and Treatment of Kidney Disease - RACP
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bhp.com
Newman Operations - BHP
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profile.id.com.au
Aboriginal and Torres Strait Islander people | Shire of East Pilbara | Community profile
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bhp.com
Accessible healthcare key to thriving communities - BHP
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bhp.com
BHP Economic Contribution Report 2023
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bhp.com
Western Australia Community Grants - BHP
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wa.gov.au
New renal services for Kimberley communities | Western Australian Government
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parliament.wa.gov.au
,,^.^I, 41^-* - Parliament of Western Australia
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pmc.ncbi.nlm.nih.gov
An Economic Assessment Model of Rural and Remote Satellite Hemodialysis Units - PMC
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pubmed.ncbi.nlm.nih.gov
Cost of dialysis therapies in rural and remote Australia - a micro-costing analysis - PubMed
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getregional.com.au
New Kalgoorlie Renal Hostel reaches final stage - Get Regional
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dailymotion.com
Pilbara dialysis patients and health workers pleading for Newman hostel - video Dailymotion
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dmp.wa.gov.au
What is a safety and health representative for a mining operation?
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blogs.worldbank.org
Better Health in Mines and Mining Communities: A Shared Responsibility
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informa.com.au
Managing health risks in the mining industry | News & Insights | Informa Australia
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dmp.wa.gov.au
What are the health assessment and monitoring requirements for mining operations?
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The 'Mine Medical': an opportunity for preventative and primary care - PubMed
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theibr.com.au
Miners pledge $22 million for Hedland and Newman Safe Spaces programs
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bhp.com
Community Connect - BHP
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bhp.com
Newman Neighbourhood Centre - BHP
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bhp.com
BHP commits $1.9 million for new dialysis clinic in Newman
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bhp.com
Supporting healthcare in our regional communities - BHP
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minerals.org.au
Indigenous partnerships - Minerals Council of Australia
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Understanding the Context
I'm starting to look into why a profitable mining company like BHP might not have developed a dialysis hostel for Indigenous people near their Newman operations. My initial focus is on understanding two key aspects: BHP's financial success in the region and the extent of kidney disease among the local Indigenous population. This will help me establish the context for the user's question.
Next Steps in Research
To gain a comprehensive understanding, I plan to investigate BHP's existing community contributions in the Newman area, the typical costs involved in setting up and running a dialysis hostel in a remote location, and the general responsibilities of mining companies versus government bodies in providing healthcare services. I will also explore different perspectives on corporate social responsibility in this context.
Researching websites
indigenoushpf.gov.au
1.10 Kidney disease - AIHW Indigenous HPF - Aboriginal and Torres Strait Islander Health Performance Framework
bhp.com
Financial results for the year ended 30 June 2024 - BHP
aihw.gov.au
Profiles of Aboriginal and Torres Strait Islander people with kidney disease, Summary
wa.gov.au
Multi-million-dollar boost to extend BHP education partnership in the Pilbara | Western Australian Government
bhp.com
ANNUAL REPORT 2024 - BHP
wacountry.health.wa.gov.au
bhp.com
BHPs WA projects a key contributor to the economy
wa.gov.au
Cook Government launches Safe Spaces program in the Pilbara
racp.edu.au
Closing the Gap in the Detection and Treatment of Kidney Disease - RACP
bhp.com
Newman Operations - BHP
profile.id.com.au
Aboriginal and Torres Strait Islander people | Shire of East Pilbara | Community profile
bhp.com
Accessible healthcare key to thriving communities - BHP
bhp.com
BHP Economic Contribution Report 2023
bhp.com
Western Australia Community Grants - BHP
bhp.com
Australian community programs | BHP
BHP's Financial Performance
I've found that BHP's iron ore operations near Newman are indeed very profitable. Their recent financial reports show billions of dollars in profit, and the Newman operations are highlighted as being particularly efficient and cost-effective.
High Rates of Kidney Disease
My research confirms that Indigenous Australians in the Pilbara region, including near Newman, experience significantly higher rates of chronic kidney disease compared to the non-Indigenous population. This unfortunately leads to a greater need for dialysis treatment in these communities.
Existing Community Support
It appears BHP does contribute to the local community through various programs in education and health. These initiatives include partnerships for education, support for youth programs, and funding for health services, some of which are specifically targeted towards Indigenous communities.
Further Investigation Needed
To get a clearer picture, I now need to look into the typical costs of establishing and running a dialysis hostel in a remote area, understand the roles and responsibilities of mining companies versus government in providing healthcare infrastructure, and explore different viewpoints on corporate social responsibility concerning Indigenous health. I also want to see if there have been any past discussions about a dialysis hostel in Newman and BHP's involvement.
Researching websites
wa.gov.au
New renal services for Kimberley communities | Western Australian Government
parliament.wa.gov.au
,,^.^I, 41^-* - Parliament of Western Australia
pmc.ncbi.nlm.nih.gov
An Economic Assessment Model of Rural and Remote Satellite Hemodialysis Units - PMC
pubmed.ncbi.nlm.nih.gov
Cost of dialysis therapies in rural and remote Australia - a micro-costing analysis - PubMed
getregional.com.au
New Kalgoorlie Renal Hostel reaches final stage - Get Regional
dailymotion.com
Pilbara dialysis patients and health workers pleading for Newman hostel - video Dailymotion
pmc.ncbi.nlm.nih.gov
Newman's theory of health as expanding consciousness: an evolutionary concept analysis
dmp.wa.gov.au
What is a safety and health representative for a mining operation?
researchgate.net
The effect of home care based on the Neuman systems model on symptomatic relief and quality of life in patients undergoing hemodialysis - ResearchGate
blogs.worldbank.org
Better Health in Mines and Mining Communities: A Shared Responsibility
informa.com.au
Managing health risks in the mining industry | News & Insights | Informa Australia
healio.com
Innovative curriculums, new home dialysis training attract more fellows to nephrology
dmp.wa.gov.au
What are the health assessment and monitoring requirements for mining operations?
pubmed.ncbi.nlm.nih.gov
The 'Mine Medical': an opportunity for preventative and primary care - PubMed
theibr.com.au
Miners pledge $22 million for Hedland and Newman Safe Spaces programs
bhp.com
Community Connect - BHP
bhp.com
Newman Neighbourhood Centre - BHP
bhp.com
BHP commits $1.9 million for new dialysis clinic in Newman
bhp.com
Supporting healthcare in our regional communities - BHP
minerals.org.au
Indigenous partnerships - Minerals Council of Australia
sustainabilitymag.com
How ESG is Changing Mining's Treatment of Indigenous Peoples | Sustainability Magazine
evolutionmining.com.au
Social Responsibility - Evolution Mining
researchgate.net
Giving with One Hand: On the Mining Sector's Treatment of Indigenous Stakeholders in the Name of CSR | Request PDF - ResearchGate
industry.gov.au
WORKING WITH INDIGENOUS COMMUNITIES - Leading Practice Sustainable Development Program for the Mining Industry
Financial Success Confirmed
I've confirmed that BHP's iron ore operations in the Newman area are highly profitable, contributing significantly to their overall financial results. These operations are recognized for their efficiency in the global market.
Disproportionate Health Issue
The information I found reinforces that Indigenous Australians in the Pilbara region, where Newman is located, face a much higher incidence of chronic kidney disease, leading to a greater need for dialysis services compared to other populations.
Ongoing Community Contributions
My investigation shows that BHP actively engages in community development in the Newman area through various initiatives. These include significant investments in education partnerships and support for programs aimed at improving the well-being of young people and families, including some health-focused projects.
Considering Broader Context
Having gathered substantial information on BHP's profitability, the prevalence of kidney disease, and their community contributions, I'm now considering the broader context. It seems the absence of a dedicated dialysis..
From my question to Google Gemini Deap Research about why cant BHP fund a dyalysis unit from the Billions they make on Iron Ore...
Campsite at Wanna Munna near Mt Newman
A nice camp a few hours 4WDing out of Newman..
one of two copies! With the #VelcroPalace on a #roundAustraliawithSpelio
IMG_8334. With #Smoky60Series ... And the #VelcroPalace AKA Scruby, the camper trailer, Australian made!
The campsite Andrew missed... youtu.be/nlY3tuXlEsU
Namatjira Ghost Gums near Alice Springs, destruction… www.smh.com.au/national/suspicious-blaze-destroys-namatji...
nalysis of BHP's Profitability in Newman and the Absence of a Dialysis Hostel for Local Indigenous Peoples
1. Executive Summary:
BHP, a major global mining company, generates substantial profits from its iron ore operations near Newman in the Pilbara region of Western Australia. These operations have consistently delivered high returns, contributing significantly to both the company's overall financial performance and the revenue of the Western Australian government. Simultaneously, the Indigenous population in the Newman area and the broader Pilbara region experiences a disproportionately high prevalence of chronic kidney disease, often leading to a critical need for dialysis treatment. While BHP has engaged in various community development initiatives in the region, including some contributions to healthcare infrastructure, a dedicated dialysis hostel to accommodate Indigenous patients from remote communities requiring regular treatment in Newman has not been established despite a clear and persistent need. This report examines the interplay between BHP's profitability, the healthcare needs of the local Indigenous population, the company's existing community contributions, the complexities of establishing a dialysis hostel in a remote area, the roles and responsibilities of mining companies and government in healthcare provision, differing perspectives on corporate social responsibility, existing partnerships, and the history of proposals related to a dialysis hostel in Newman. The analysis aims to provide a comprehensive understanding of the factors contributing to this apparent disparity and to offer informed recommendations for addressing the identified gap in healthcare infrastructure.
2. BHP's Iron Ore Operations and Profitability in the Pilbara:
BHP's presence in the Pilbara region of Western Australia, particularly its Newman Operations, forms a cornerstone of its global iron ore business. Operating since 1968, Newman Operations, encompassing Newman East and Newman West, contribute a significant volume of approximately 78 million tonnes to BHP's total annual iron ore production. The Pilbara itself is a critical global source of iron ore, with Western Australia being the largest supplier worldwide, accounting for over a third of the global supply. BHP's contribution to this sector is substantial, representing a significant portion of the state's exports and employing a considerable number of people in the region.
The financial performance of BHP's iron ore operations in the Pilbara is consistently strong. In the fiscal year 2024, the company achieved record production volumes at Western Australia Iron Ore (WAIO), solidifying its position as the lowest-cost major iron ore producer globally. This efficiency translates directly into high profitability, with WAIO consistently achieving Underlying EBITDA margins exceeding 50% for the past eight years, reaching 54% in FY24. The company's overall revenue in FY24 saw a 3% increase to US$55.7 billion, primarily driven by higher realized prices for key commodities, including iron ore, and increased sales volumes. The underlying attributable profit for the same period was US$13.7 billion, a 2% increase year-on-year. These figures underscore the immense profitability of BHP's operations in the Pilbara region. Furthermore, BHP is a major contributor to government revenues in Australia. In FY24, total payments to governments amounted to US$11.2 billion. While the specific contribution from WA is not isolated in this figure, data from FY23 indicates that Australia accounted for the largest share of BHP's global economic contribution (US$40.4 billion) and government payments (US$12.1 billion). BHP also invests significantly in community development in Western Australia, allocating US$518 million in FY23 towards such initiatives.
The consistent status of BHP's WAIO as a low-cost producer with remarkably high profit margins year after year indicates a robust and financially powerful operation in the Pilbara. This sustained financial strength over an extended period suggests that the company possesses a significant capacity to allocate resources towards initiatives that benefit the communities in which it operates, beyond its core mining activities. The substantial contribution of BHP's operations to the revenue of the Western Australian government also highlights the significant economic influence of the company in the region. This interdependence raises important considerations about how these government revenues are utilized and the shared responsibility between the government and BHP in addressing the needs of the communities impacted by mining.
Table 1: BHP's Key Financial Indicators for Western Australia Iron Ore (WAIO)
Financial YearIron Ore Production Volume (Million Tonnes)Revenue (US$ Billion)Underlying Attributable Profit (US$ Billion)Underlying EBITDA Margin (WAIO)Total Payments to Governments (Australia) (US$ Billion)Community Development Investment (WA) (US$ Million)
FY23257 53.8 13.4 54% 12.1 518
FY24266 55.7 13.7 54% 11.2 Data not yet released
Note: Revenue and Underlying Attributable Profit are for the entire BHP Group, but iron ore from WAIO is a major contributor. Community Development Investment data for FY24 will be released later.
3. The Prevalence of Kidney Disease and the Need for Dialysis Among Indigenous People in Newman:
Chronic kidney disease (CKD) poses a significant health challenge for Indigenous Australians, with prevalence rates considerably higher than those of their non-Indigenous counterparts. Data from 2012-13 revealed that nearly one in five Indigenous Australian adults exhibited biomedical signs of CKD, a rate twice as high as that for non-Indigenous adults. The likelihood of developing CKD increases with age and is particularly elevated among individuals residing in remote areas. Alarmingly, Aboriginal people living in remote regions experience incidence rates of end-stage kidney disease that can be up to 20 times the national average.
This higher prevalence of CKD directly translates to a disproportionate need for kidney replacement therapy, including dialysis. Hospitalization rates for dialysis care are eleven times higher for Indigenous Australians compared to non-Indigenous Australians. Similarly, the incidence of kidney failure requiring replacement therapy is six times as high for Indigenous Australians. As of December 2021, 85% of Indigenous Australians receiving kidney replacement therapy were undergoing dialysis.
While specific data on the prevalence of kidney disease among Indigenous people in Newman is limited within the provided research material, the established pattern of higher rates in remote areas strongly suggests that the Indigenous community in Newman and the broader Pilbara region faces a similar, if not more severe, burden of CKD. The very existence of a specialist partnership with the Puntukurnu Aboriginal Medical Service (PAMS) in Newman, focused on improving the detection and treatment of kidney disease, underscores the significance of this health issue within the local Indigenous population. Data from the Shire of East Pilbara in 2021 indicates that 1.5% of Aboriginal and Torres Strait Islander persons reported having kidney disease. However, this figure likely represents only those who are aware of their condition, as a substantial number of individuals with early-stage CKD remain undiagnosed.
The consistently reported and significantly elevated rates of CKD and the subsequent need for dialysis among Indigenous Australians, particularly in remote regions such as the Pilbara, highlight a critical and long-standing health inequity. This disparity is not a marginal difference but a substantial order of magnitude, indicating systemic factors and an urgent need for accessible and culturally appropriate treatment options. Furthermore, the considerable number of Indigenous individuals with CKD who are unaware of their condition until later stages emphasizes the critical importance of not only providing treatment facilities like dialysis but also implementing robust early detection and preventative health programs within these communities. A dialysis hostel, while essential for those with end-stage kidney disease, represents just one component of a comprehensive strategy needed to address this health crisis.
Table 2: Comparison of Kidney Disease Prevalence and Treatment Rates: Indigenous vs. Non-Indigenous Australians
MetricIndigenous AustraliansNon-Indigenous AustraliansRatio (Indigenous : Non-Indigenous)Snippet(s)
Adults with Biomedical Signs of Chronic Kidney Disease (2012-13)~18%~10%~1.8 : 1
Rate of Hospitalization for Dialysis453 per 1,00042 per 1,000~10.8 : 1
Incidence of Kidney Failure Requiring Replacement Therapy41 per 100,000~7 per 100,000~5.9 : 1
Treatment Rate for End-Stage Kidney Disease (2017)8.8% of all patients91.2% of all patients~1 : 10.4 (as proportion of total)
Note: Ratios are approximate based on the provided data.
4. BHP's Current Community Development and Health Initiatives in Newman:
BHP actively engages in community development initiatives in Western Australia, demonstrating a commitment to the regions where it operates. In FY23, the company invested a significant sum of $518 million in community development projects across the state. This investment encompasses a range of programs, including direct contributions to social initiatives and support for numerous local organizations through their community grants program. The BHP WA Community Grants program specifically provides ongoing support to not-for-profit entities in areas like Newman, focusing on initiatives that promote positive community, environmental, and economic development, aligning with their objective of fostering thriving and empowered communities.
Within Newman, BHP has made notable contributions to healthcare infrastructure and services. A significant example is their $15 million contribution towards the development of the new $61.4 million Newman Health Service. This modern facility offers a range of essential services, including an emergency department, inpatient beds, and a dental clinic, representing a substantial enhancement to the local healthcare system. Recognizing the specific and pressing need for dialysis services within the community, BHP committed $1.9 million in 2021 to the Puntukurnu Aboriginal Medical Service (PAMS) for the establishment of a dedicated dialysis clinic located within the PAMS healthcare center in Newman. This purpose-built clinic is the first of its kind in the town and has the capacity to treat up to ten patients daily, providing crucial access to specialized dialysis treatment. Further supporting PAMS, BHP has also funded additional General Practitioners to address the high demand for primary healthcare services in Newman. During the COVID-19 pandemic, BHP also provided essential medical supplies, such as rapid antigen tests and surgical masks, to PAMS for distribution within Newman and surrounding communities. BHP's partnership with Telethon has also channeled funds to the Upstream Health Project, managed by PAMS, which delivers culturally appropriate maternal and child health services in the East Pilbara region.
Beyond direct healthcare investments, BHP supports other initiatives in Newman that have indirect positive impacts on health and well-being. They partner with the Newman Neighbourhood Centre, providing financial support for various community programs and subsidizing childcare fees, thereby contributing to the overall well-being of families and children. This center serves as a vital hub for community connection and provides access to a range of essential services, including a community nurse. BHP is also a key partner in the Pilbara Education Partnership, investing in educational services within public schools in Newman and the surrounding areas. Improved educational outcomes are recognized as having long-term positive effects on health literacy and overall quality of life. Furthermore, through a collaborative effort with Fortescue and the WA Government, BHP is investing in the Pilbara Safe Spaces program in Newman. This initiative aims to provide safe environments for vulnerable youth and connect them with crucial support services, including an Indigenous Healing Service, addressing social determinants of health that can significantly impact mental and physical well-being. BHP also partners with Wanslea to enhance the availability of affordable childcare services in regional Western Australia, including the Pilbara, which can positively impact the health and well-being of families.
While BHP has made considerable financial contributions to the healthcare infrastructure in Newman, particularly through the funding of the dialysis clinic at PAMS, the persistent need for a dedicated hostel for dialysis patients suggests a potential gap in fully addressing the needs of individuals traveling from remote communities for treatment. The existing clinic, while essential, may not adequately support patients requiring frequent and potentially extended treatment periods who lack suitable accommodation in Newman. BHP's broader community investments, while valuable and contributing to the overall well-being of the community, may not directly address the immediate and specific need for accommodation for dialysis patients from remote areas.
Table 3: BHP's Key Community Development and Health-Related Investments in Newman
Project NameAmount of Funding (if specified)Year of Investment/Partnership (if specified)Brief Description of Project's FocusSnippet(s)
Newman Health Service$15 million2023 (opening)Contribution to a new state-of-the-art hospital facility
PAMS Dialysis Clinic$1.9 million2021Establishment of the first dialysis clinic in Newman
Additional GPs for PAMSFunding provided2022Funding for additional medical professionals to support primary healthcare services
Pilbara Education Partnership$12 million (over 4 years)2025 (extension)Partnership to enhance education services and outcomes in public schools in the Pilbara, including Newman
Pilbara Safe Spaces ProgramUp to $22 million (joint with FMG)2025 (commencing)Initiative to provide safe spaces for vulnerable youth in Hedland and Newman, including healing service
Newman Neighbourhood CentreFunding providedOngoingPartnership supporting various community programs and subsidizing crèche fees
Upstream Health Project (PAMS)Boost from $5.5 million donation2024 (donation year)Culturally appropriate maternal and child health service in the East Pilbara
Newman Day Care Centre Upgrade$20,000 (community grant)2023Upgrade to outdoor play areas at the daycare center
5. The Costs and Logistical Considerations of Establishing a Dialysis Hostel in Remote WA:
Providing dialysis treatment, especially in remote regions like Newman, entails significant financial investment and logistical planning. In 2009, the estimated annual cost for one person receiving in-center dialysis was approximately $80,000, with expenses potentially higher in rural and remote areas. More recent data from 2015-2016 indicated that the annual per-patient cost for hemodialysis in remote satellite units ranged considerably, with a median cost of around $99,888 per year. Notably, remote services often face higher operational costs, primarily driven by increased staffing expenses.
Establishing the necessary infrastructure for both dialysis treatment and accommodation also requires substantial capital expenditure. In 2016-2017, the construction of a 20-bed renal hostel in Derby cost $6.3 million, while a four-chair renal dialysis unit in Fitzroy Crossing was built for $3.6 million. A more recent example is the $7.4 million investment in a new renal hostel in Kalgoorlie, with capital funding provided by the Commonwealth Government and ongoing operational costs covered by the WA Government.
Operating a dialysis hostel in a remote setting like Newman presents a unique set of logistical challenges. These include ensuring consistent staffing with qualified medical professionals trained in dialysis treatment, maintaining reliable utilities (water, electricity), providing regular cleaning and maintenance of the facility, and securing adequate insurance coverage. Transportation of patients from their often-remote communities to the hostel and then to their dialysis appointments is another significant logistical and financial factor that needs to be carefully considered. Furthermore, it is crucial to provide culturally appropriate and comfortable accommodation for patients who may be away from their families, communities, and familiar support networks for extended periods while undergoing treatment. The accommodation itself needs to be conducive to the health and well-being of patients with compromised immune systems.
The considerable capital costs associated with building renal hostels and the substantial annual per-patient cost of dialysis treatment highlight the significant long-term financial commitment required to establish and operate a dialysis hostel in Newman. This suggests that a sustainable solution would likely necessitate a collaborative funding approach involving contributions from various stakeholders, including potential capital funding from mining companies like BHP and a commitment from the government to cover ongoing operational expenses. The higher operational costs typically encountered in remote areas underscore the challenges of attracting and retaining qualified medical staff and managing the complex logistics involved in delivering healthcare services in such settings. Any plan for a dialysis hostel in Newman must carefully consider these staffing and logistical complexities to ensure its long-term viability and effectiveness. The successful establishment of renal hostels in other remote communities within Western Australia, such as Derby, Fitzroy Crossing, and Kalgoorlie , offers valuable insights and potential models for developing a similar facility in Newman, particularly regarding funding frameworks and operational considerations.
Table 4: Capital Costs of Renal Hostels and Dialysis Units in Remote Western Australia
LocationType of FacilityNumber of Beds/ChairsCapital Cost (Million AUD)Year of CompletionFunding SourcesSnippet(s)
DerbyRenal Hostel206.32017WA State Government
Fitzroy CrossingDialysis Unit43.62017WA State Government
KalgoorlieRenal HostelNot specified7.42020 (completion)Commonwealth Government (capital), WA Government (ops)
6. The Roles and Responsibilities of Mining Companies and Government in Healthcare Provision:
In Australia, the provision of healthcare services is primarily the responsibility of the government, at both the federal and state levels. This includes ensuring access to essential medical services for all citizens, irrespective of their location, including those residing in remote mining regions. The Western Australian government's commitment to funding the ongoing operational costs of renal hostels in regional centers like Kalgoorlie exemplifies this fundamental responsibility.
However, mining companies also have certain responsibilities related to the health and well-being of the communities in which they operate. Legally, mining companies are obligated to ensure the safety and health of their employees and contractors within the workplace. This includes implementing comprehensive occupational health and safety standards, conducting regular health assessments for workers exposed to specific occupational hazards, and actively monitoring for the development of work-related diseases. These legal obligations are typically mandated through state-based legislation, such as the Mines Safety and Inspection Act 1994 in Western Australia.
Beyond these legal requirements, the concept of a "social license to operate" has gained increasing prominence in the mining industry. This concept recognizes the need for mining companies to earn and maintain the acceptance and support of local communities and stakeholders, particularly Indigenous communities, who are often directly impacted by mining activities. Corporate Social Responsibility (CSR) extends beyond legal compliance and encompasses a broader range of voluntary actions and commitments undertaken by companies to address the social and environmental consequences of their operations and to contribute positively to the well-being of their stakeholders. This can include investments in community health initiatives, educational programs, and infrastructure development. The Minerals Council of Australia (MCA) acknowledges the importance of mining companies fostering opportunities that lead to improved health and economic outcomes for Indigenous communities.
The World Bank emphasizes that ensuring the health of local communities in mining regions is a shared responsibility between mining companies and government health authorities, advocating for joint prioritization and aligned interventions. In Australia, a growing trend involves collaborative partnerships where mining companies work in conjunction with government agencies, Indigenous organizations, and healthcare providers to address specific community needs.
While the government bears the primary responsibility for ensuring healthcare access for all citizens, the significant economic influence and substantial presence of mining companies in regions like the Pilbara create an environment where these companies are often expected to contribute to the well-being of the communities in which they operate, extending beyond their direct workforce. This expectation is particularly pronounced when addressing the health needs of Indigenous communities who may be disproportionately affected by health issues, such as the high prevalence of kidney disease. The legal health responsibilities of mining companies are primarily focused on their employees and the management of occupational health hazards. The health needs of the broader community, while increasingly falling under the purview of social responsibility, occupy a less clearly defined area of obligation. This ambiguity can lead to ongoing discussions regarding the appropriate level of involvement for mining companies in addressing community health issues like the significant dialysis needs of Indigenous people in Newman.
7. Perspectives on the Social Responsibility of Mining Corporations Towards Indigenous Health:
There are varying perspectives on the extent to which mining corporations like BHP bear social responsibility for the health and well-being of Indigenous communities in the regions where they operate. One perspective argues strongly that due to the significant impact of mining operations on the environment and social fabric of Indigenous lands, companies have a profound ethical obligation to contribute to the health and well-being of these communities. This viewpoint emphasizes that addressing the substantial health disparities faced by Indigenous Australians, including the alarmingly high rates of kidney disease, aligns with broader national goals of reconciliation and closing the gap in health outcomes. Furthermore, proponents of this view argue that highly profitable companies like BHP possess a greater capacity, and therefore a greater responsibility, to invest in the communities that contribute to their success. Such investments can also foster stronger relationships and secure a more sustainable social license to operate.
Conversely, another perspective posits that the primary responsibility for providing healthcare rests with the government, which is funded by taxes and royalties paid by corporations like BHP. From this viewpoint, mining companies fulfill their primary social responsibility by generating economic activity, providing employment opportunities, and contributing to government revenue through taxes and royalties, which can then be allocated to public services, including healthcare. Defining the precise boundaries of a corporation's social responsibility can be challenging, and some argue that overreach could potentially blur the lines between corporate and governmental roles in service provision.
Critical perspectives on CSR in the mining sector raise concerns about the genuine impact of these initiatives. Some research suggests that CSR efforts can sometimes be strategically employed to enhance a company's public image or to manage regulatory requirements, rather than stemming from a deep-seated commitment to community well-being. There are also instances where legally mandated obligations or standard operational expenses are presented as acts of corporate philanthropy. The actual effectiveness of CSR programs in addressing the specific needs and concerns of Indigenous stakeholders, particularly those most directly affected by mining operations, has also been questioned.
The debate surrounding the social responsibility of mining corporations in relation to Indigenous health is intricate, encompassing ethical considerations, legal frameworks, and economic realities. There is no universally agreed-upon definition of the appropriate level of responsibility for a mining company in this context. The potential for CSR initiatives to be used for public relations purposes or to manage legal obligations underscores the importance of transparency, accountability, and genuine partnerships with Indigenous communities to ensure that social responsibility efforts yield meaningful and sustainable benefits.
8. Existing Partnerships and the History of Dialysis Hostel Proposals in Newman:
BHP has established several partnerships in Newman that aim to support healthcare and community well-being. Their collaboration with the Puntukurnu Aboriginal Medical Service (PAMS) is a significant example, involving a substantial $1.9 million contribution towards the establishment of the first dialysis clinic in Newman. This partnership also extends to ongoing support, including funding for additional General Practitioners to serve the community. Furthermore, BHP has partnered with the Western Australian government on various community initiatives, including their $15 million contribution to the new Newman Health Service. They are also collaborating with Fortescue and the Cook Government, along with Aboriginal Community Controlled Organisations (ACCOs), on the Pilbara Safe Spaces program in Newman. BHP also supports the Newman Neighbourhood Centre through funding for their diverse programs and has a long-term partnership with Wanslea to improve childcare services in regional Western Australia, including the Pilbara.
Despite these partnerships and contributions to healthcare in Newman, there has been a recognized and long-standing need for a dedicated dialysis hostel to accommodate patients traveling from remote Indigenous communities for treatment. A news report highlighted the dire circumstances faced by these patients, who often endure overcrowded living conditions or even sleep outdoors while undergoing life-saving dialysis. The report noted that other regional centers in Western Australia with dialysis facilities, such as Kalgoorlie and Port Hedland, have established hostels, and similar facilities were planned for Broome and Karratha, but not for Newman.
The news report also revealed that BHP had donated five abandoned houses in Newman with the intention of them being converted into a short-term hostel for dialysis patients. However, advocates involved in the proposal indicated that a significant funding shortfall of $9 million was still required to renovate these derelict buildings to a suitable standard for accommodating vulnerable patients. The report suggests that progress on this hostel development had been slow, leaving a critical need unmet.
BHP's donation of houses for a dialysis hostel indicates an initial acknowledgment of the accommodation needs of dialysis patients from remote communities. However, the considerable funding gap that remains for the necessary renovations and the apparent lack of further progress suggest a potential disconnect between this initial gesture and a comprehensive solution to the problem. The fact that other regional centers with similar mining operations and Indigenous populations requiring dialysis have successfully established hostels underscores that the lack of such a facility in Newman is not a unique situation in remote WA. It raises questions about the specific challenges or lack of coordinated effort in Newman that have impeded the development of this crucial infrastructure, despite BHP's significant presence and profitability in the region.
9. Conclusion and Recommendations:
The analysis reveals a stark contrast between BHP's substantial and consistent profitability from its iron ore operations near Newman and the persistent lack of a dedicated dialysis hostel for the local Indigenous population, who experience a disproportionately high burden of chronic kidney disease requiring dialysis. While BHP has made significant contributions to the Newman community's healthcare infrastructure, including funding a dialysis clinic and supporting other health-related initiatives, the absence of suitable accommodation for patients traveling from remote communities for treatment remains a critical unmet need. The costs and logistical complexities of establishing a dialysis hostel in a remote area are significant, requiring a collaborative approach involving both corporate and government support. The responsibility for healthcare provision primarily lies with the government, but the concept of a social license to operate and corporate social responsibility suggests that highly profitable companies like BHP have an ethical obligation to contribute to the well-being of the communities impacted by their operations. The history of a proposal involving BHP's donation of houses for a hostel, which has stalled due to a lack of funding for renovations, highlights a missed opportunity to address this pressing issue.
To bridge this gap and ensure that Indigenous people in the Newman region have equitable access to life-saving dialysis treatment, the following recommendations are put forth:
BHP should make a substantial financial commitment to fully fund the capital costs required to convert the donated houses or build a new, fit-for-purpose dialysis hostel in Newman. Given their consistent high profitability in the region , BHP has the financial capacity to address this critical need. This would build upon their initial donation and demonstrate a genuine commitment to the health and well-being of the local Indigenous community.
The Western Australian Government should commit to funding the ongoing operational costs of a dialysis hostel in Newman. This would align with their responsibility for providing essential healthcare services and mirror their support for similar facilities in other regional centers.
A collaborative partnership should be formalized between BHP, the WA Government, the Puntukurnu Aboriginal Medical Service (PAMS), and representatives from the local Indigenous community to co-design and oversee the development and management of the dialysis hostel. This partnership would ensure that the facility is culturally appropriate, meets the specific healthcare needs of the intended users, and benefits from the expertise and resources of all stakeholders.
Beyond the immediate need for a hostel, all stakeholders should invest in and support long-term strategies focused on the early detection, prevention, and management of chronic kidney disease within Indigenous communities in the Pilbara. This includes culturally appropriate health education, regular screening programs, and improved access to primary healthcare services to address the root causes of the high prevalence of kidney disease.
By embracing these recommendations, BHP, in collaboration with the government and the local community, has the opportunity to make a tangible and lasting positive impact on the lives and well-being of Indigenous people in the Newman region, addressing a critical healthcare need and demonstrating a meaningful commitment to social responsibility.
indigenoushpf.gov.au
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Profiles of Aboriginal and Torres Strait Islander people with kidney disease, Summary
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Multi-million-dollar boost to extend BHP education partnership in the Pilbara | Western Australian Government
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bhp.com
ANNUAL REPORT 2024 - BHP
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WA Country Health Service Kidney Disease Strategy
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BHPs WA projects a key contributor to the economy
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Cook Government launches Safe Spaces program in the Pilbara
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,,^.^I, 41^-* - Parliament of Western Australia
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New Kalgoorlie Renal Hostel reaches final stage - Get Regional
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Managing health risks in the mining industry | News & Insights | Informa Australia
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dmp.wa.gov.au
What are the health assessment and monitoring requirements for mining operations?
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pubmed.ncbi.nlm.nih.gov
The 'Mine Medical': an opportunity for preventative and primary care - PubMed
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Miners pledge $22 million for Hedland and Newman Safe Spaces programs
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bhp.com
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bhp.com
Newman Neighbourhood Centre - BHP
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bhp.com
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Understanding the Context
I'm starting to look into why a profitable mining company like BHP might not have developed a dialysis hostel for Indigenous people near their Newman operations. My initial focus is on understanding two key aspects: BHP's financial success in the region and the extent of kidney disease among the local Indigenous population. This will help me establish the context for the user's question.
Next Steps in Research
To gain a comprehensive understanding, I plan to investigate BHP's existing community contributions in the Newman area, the typical costs involved in setting up and running a dialysis hostel in a remote location, and the general responsibilities of mining companies versus government bodies in providing healthcare services. I will also explore different perspectives on corporate social responsibility in this context.
Researching websites
indigenoushpf.gov.au
1.10 Kidney disease - AIHW Indigenous HPF - Aboriginal and Torres Strait Islander Health Performance Framework
bhp.com
Financial results for the year ended 30 June 2024 - BHP
aihw.gov.au
Profiles of Aboriginal and Torres Strait Islander people with kidney disease, Summary
wa.gov.au
Multi-million-dollar boost to extend BHP education partnership in the Pilbara | Western Australian Government
bhp.com
ANNUAL REPORT 2024 - BHP
wacountry.health.wa.gov.au
bhp.com
BHPs WA projects a key contributor to the economy
wa.gov.au
Cook Government launches Safe Spaces program in the Pilbara
racp.edu.au
Closing the Gap in the Detection and Treatment of Kidney Disease - RACP
bhp.com
Newman Operations - BHP
profile.id.com.au
Aboriginal and Torres Strait Islander people | Shire of East Pilbara | Community profile
bhp.com
Accessible healthcare key to thriving communities - BHP
bhp.com
BHP Economic Contribution Report 2023
bhp.com
Western Australia Community Grants - BHP
bhp.com
Australian community programs | BHP
BHP's Financial Performance
I've found that BHP's iron ore operations near Newman are indeed very profitable. Their recent financial reports show billions of dollars in profit, and the Newman operations are highlighted as being particularly efficient and cost-effective.
High Rates of Kidney Disease
My research confirms that Indigenous Australians in the Pilbara region, including near Newman, experience significantly higher rates of chronic kidney disease compared to the non-Indigenous population. This unfortunately leads to a greater need for dialysis treatment in these communities.
Existing Community Support
It appears BHP does contribute to the local community through various programs in education and health. These initiatives include partnerships for education, support for youth programs, and funding for health services, some of which are specifically targeted towards Indigenous communities.
Further Investigation Needed
To get a clearer picture, I now need to look into the typical costs of establishing and running a dialysis hostel in a remote area, understand the roles and responsibilities of mining companies versus government in providing healthcare infrastructure, and explore different viewpoints on corporate social responsibility concerning Indigenous health. I also want to see if there have been any past discussions about a dialysis hostel in Newman and BHP's involvement.
Researching websites
wa.gov.au
New renal services for Kimberley communities | Western Australian Government
parliament.wa.gov.au
,,^.^I, 41^-* - Parliament of Western Australia
pmc.ncbi.nlm.nih.gov
An Economic Assessment Model of Rural and Remote Satellite Hemodialysis Units - PMC
pubmed.ncbi.nlm.nih.gov
Cost of dialysis therapies in rural and remote Australia - a micro-costing analysis - PubMed
getregional.com.au
New Kalgoorlie Renal Hostel reaches final stage - Get Regional
dailymotion.com
Pilbara dialysis patients and health workers pleading for Newman hostel - video Dailymotion
pmc.ncbi.nlm.nih.gov
Newman's theory of health as expanding consciousness: an evolutionary concept analysis
dmp.wa.gov.au
What is a safety and health representative for a mining operation?
researchgate.net
The effect of home care based on the Neuman systems model on symptomatic relief and quality of life in patients undergoing hemodialysis - ResearchGate
blogs.worldbank.org
Better Health in Mines and Mining Communities: A Shared Responsibility
informa.com.au
Managing health risks in the mining industry | News & Insights | Informa Australia
healio.com
Innovative curriculums, new home dialysis training attract more fellows to nephrology
dmp.wa.gov.au
What are the health assessment and monitoring requirements for mining operations?
pubmed.ncbi.nlm.nih.gov
The 'Mine Medical': an opportunity for preventative and primary care - PubMed
theibr.com.au
Miners pledge $22 million for Hedland and Newman Safe Spaces programs
bhp.com
Community Connect - BHP
bhp.com
Newman Neighbourhood Centre - BHP
bhp.com
BHP commits $1.9 million for new dialysis clinic in Newman
bhp.com
Supporting healthcare in our regional communities - BHP
minerals.org.au
Indigenous partnerships - Minerals Council of Australia
sustainabilitymag.com
How ESG is Changing Mining's Treatment of Indigenous Peoples | Sustainability Magazine
evolutionmining.com.au
Social Responsibility - Evolution Mining
researchgate.net
Giving with One Hand: On the Mining Sector's Treatment of Indigenous Stakeholders in the Name of CSR | Request PDF - ResearchGate
industry.gov.au
WORKING WITH INDIGENOUS COMMUNITIES - Leading Practice Sustainable Development Program for the Mining Industry
Financial Success Confirmed
I've confirmed that BHP's iron ore operations in the Newman area are highly profitable, contributing significantly to their overall financial results. These operations are recognized for their efficiency in the global market.
Disproportionate Health Issue
The information I found reinforces that Indigenous Australians in the Pilbara region, where Newman is located, face a much higher incidence of chronic kidney disease, leading to a greater need for dialysis services compared to other populations.
Ongoing Community Contributions
My investigation shows that BHP actively engages in community development in the Newman area through various initiatives. These include significant investments in education partnerships and support for programs aimed at improving the well-being of young people and families, including some health-focused projects.
Considering Broader Context
Having gathered substantial information on BHP's profitability, the prevalence of kidney disease, and their community contributions, I'm now considering the broader context. It seems the absence of a dedicated dialysis..
From my question to Google Gemini Deap Research about why cant BHP fund a dyalysis unit from the Billions they make on Iron Ore...