The report which included interviews with 300 mining executives and lawyers concluded that 79% of respondents believed investing in Australia had become riskier and more expensive over the last 10 years.

However, 86% were encouraged to invest in Australia due to its strong record of ensuring mining companies can enforce contractual rights. And 82% said they were encouraged by Australia’s solid infrastructure.

The survey compared the mining sectors of Australia, Canada, China, Indonesia and South Africa, and found Australia trailed only Canada in attracting resource investment, due mostly to differences in tax and royalty regimes.

Responses from survey participants on Australia focused overwhelmingly on increasing costs, skills shortages and complexity of regulation.

“There is a growing perception amongst the industry of a complex maze of green regulations and red tape that must be navigated to deliver projects efficiently and effectively,” the report said.

“In Queensland, the approvals process is regarded as particularly complex.”

The survey said 75% of respondents found mining in Australia had become more complicated while 70% said it had become more time consuming. Also, 67% said they expected Australia to grow more complicated in the future.

This perspective was contrasted by strong enthusiasm for Australia’s infrastructure and legal system which effectively buoyed the country as the most attractive mining locale behind Canada.

Canada – which is not a major competitor with Australia in the coal and iron ore ¬– was seen as the most politically stable country of those surveyed with 88% believing it to be an encouraging environment for mining investment.

Although 73% said they expected Canada to become more complex in its regulations and tax policy, 73% also believed there was about the right amount of government involvement in Canadian mining.