2007-05-01
McArthur River Mine - Decision
Mrs MILLER to MINISTER for MINES and ENERGY
In October last year, you proudly announced that, as a result of a careful evaluation of the facts, you were satisfied with your decision to allow Xstrata to operate an open cut mine at McArthur River. As a result of yesterday’s court decision, it is clear that you cannot tell the difference between an open cut mine and an underground mine. It is also clear that you tried to amend the mining management plan under the original authority for an underground mine, rather than issue a new authority altogether for an open cut mine. Even your Attorney-General said yesterday that government may not have followed its processes properly ...
Mr STIRLING: A point of order, Madam Speaker! I made no such comment.
Mrs Miller: You did on TV, sir.
Mr STIRLING: The fact that TV reports a comment does not mean I made it, Madam Speaker. I made the comment in relation to - and the full extract can be explored by everyone; the transcripts are available - the judge may have found – not my opinion at all …
Ms CARNEY: Speaking to the point of order, Madam Speaker!
Mr STIRLING: The judge may have found. It was before there was any analysis of the decision, so it is an incorrect presumption.
Members interjecting.
Madam SPEAKER: Order, order!
Ms CARNEY: Madam Speaker, I ask that you invite the minister to correct himself by way of personal explanation at the appropriate time and allow my colleague, the member for Katherine, to ask this very important question.
Madam SPEAKER: Leader of the Opposition, resume your seat. Member for Katherine, given that the Attorney-General has indicated that he did not say those things, I ask you to rephrase that aspect of the question, then continue.
Mrs MILLER: Yes, Madam Speaker, I certainly will. Last night, I watched a television program in which the Attorney-General said that government may not have followed its processes properly. This is yet another embarrassment to you and your government but, much worse, it means that millions of dollars have been wasted and hundreds of jobs again are hanging by a thread. What are you going to do to fix this and when?
ANSWER
Madam Speaker, I thank the member for Katherine for her question. It is interesting that the member for Katherine brought up the fact that I approved the mining management plan. It was a very exhaustive process, and we did that when I made that decision prior to October last year. We went through a complete environmental assessment over that. I finally approved a mining management plan, contrary to what the previous government did ...
Mrs Miller: No, just get over it. You cannot make excuses.
Mr NATT: They have form in this, because our government is now spending millions of dollars to fix up their mistakes at Mt Todd. That is why we went through the exhaustive process.
Getting back to the question, the Solicitor-General for the Northern Territory, Mr Tom Pauling QC, has advised me that this decision is based entirely on a technical issue surrounding the initial application lodged for the McArthur River Mine site in 2002.
Yesterday’s Supreme Court decision found that the original authorisation granted can only authorise mining activity specified in the original mining application, that is, underground mining. I also stress to the House that, despite media reports to the contrary, the court has made no finding on the extensive environmental assessment processes or consultation with traditional owners or the general community. The government is considering all options in addressing this very important issue and I will make further comment when we have worked through those issues.
Budget 2007-08 – Achievements Planned
Mr BURKE to TREASURER
Earlier today, you mapped out the Martin government’s sixth budget, and what a sterling budget it was. Can you advise the House what the government is intending to achieve in Budget 2007-08? Does this budget provide for Territorians now and also into the future?
ANSWER
Madam Speaker, I thank the member for Brennan for his question. He, unlike members opposite, is interested in Budget 2007-08, what it is going to do for the Territory now, and what it is going to do, importantly, for the Territory into the future. I was enormously proud to deliver the Martin government’s sixth budget. I found myself agreeing with Alexander Downer, a rare first. He said the next best job if you are not Prime Minister would be Treasurer. I can only agree. In fact, I think it is probably better than Chief Minister. You have to worry about everything as Chief Minister. With Treasury, you concentrate on the economics of the Territory, and we are in great shape, Madam Speaker.
This budget is more about growing jobs, growing the economy, and securing and improving that fantastic lifestyle that Territorians enjoy into the future. Most importantly, we set our plans for the next 12 months and put into place, very importantly, the foundations for the future development for the Territory over the next decade.
How have we done that? We have established a set of priorities that we believe are the right priorities for the future of the Territory. Those priorities are: backing business to grow the economy; improving educational outcomes; building a healthier Territory; building safer communities; and securing and improving the Territory lifestyle. They are the priorities that form the basis of Budget 2007-08. We have backed business through tax reductions and high infrastructure spending, investment in economic drivers, and sound fiscal management, in comparison to those efforts of our predecessors. We have delivered a record Employment, Education and Training budget, focused on improving our schools, supporting students and teachers, lifting outcomes, and skilling Territorians. The largest Health budget ever, with high levels of support for our hospitals ...
Members interjecting.
Mr STIRLING: They do not want to hear this. These are facts. They were unable to achieve when they were on the government benches, when they had control of Treasury …
Members interjecting.
Madam SPEAKER: Order, order!
Mr STIRLING: These are outcomes that they were unable to achieve themselves, and all they can do is sit and scoff meaninglessly from the sideline.
There are more health services today. There are more doctors …
Members interjecting.
Madam SPEAKER: Order, opposition members!
Mr STIRLING: … and more nurses than ever before. We have provided enormous backing for our police force and Justice Department in pursuing criminals and tackling crime. This government is securing the lifestyle of Territorians by backing sport and recreation, by backing fishing, the arts, environment, and strong support for those with a disability over the next four years with a comprehensive and strategic plan of support. There are sensible local government reforms for the future for the bush, and building a multicultural future.
Most importantly, we have drawn parameters around how we achieve this and pledged ourselves, as we have over the past five or six years, to the principles of very strong fiscal discipline - something those blokes never understood …
Members interjecting.
Mr STIRLING: They could not spell it, let alone practise it! This government is the first government in the Territory to put aside funds for the future liabilities of the Territory. We are setting aside funds today to pay for the liabilities built up by our predecessors, and we are putting in place today a plan that will secure governments of the future in a fiscal sense, be they Labor or Country Liberal.
This government has delivered four surplus budgets. This year, we are predicting a small deficit of $11m. I am most proud of the way this budget underpins the future for the Northern Territory. It sets out the plans for 2007-08 but, most importantly, it puts in place the foundations for the future development, growth and prosperity of the Territory over the next decade. That is the basis of good economic management. That is the basis of the Martin government’s approach to economic management: the right priorities, strong action, and planning for the future.
Budget 2007-08 – Home Ownership
Ms CARNEY to TREASURER
In your budget, you announced an 85% median house price cap for HomeNorth Shared Equity Loans. In last Saturday’s NT News’ real estate section, there was only one house, in Moulden, a first homebuyer could purchase under your new HomeNorth scheme which you announced today. It is estimated that approximately 100 first time homebuyers are looking for a place to buy every month. Given the reality, not spin, how can your announcement today reignite the great Australian dream of home ownership?
ANSWER
Madam Speaker, I thank the Leader of the Opposition for her question. She was, again, trying to demean what is recognised by the Housing Industry Association, the Chamber of Commerce, and business generally - and will certainly be eagerly awaited by first homebuyers - in relation to HomeNorth, where it is 85% of the median. We were very strategic and needed to be very careful in considering how far we revamped HomeNorth in the marketplace with two parameters in mind. The first is, you do not want HomeNorth doing the business of the commercial world - the banks and the housing lending institutions out there in the marketplace. You have to be careful how you bump up against commercial lending practice, that is, if people can go to a bank and get a mortgage on a house, that is where they should go.
HomeNorth is set at those people on lower incomes who cannot get a deposit together and the commercial lending institutions will not help them. When we went over this with the bankers at a dinner recently, the previous cut that was set at $260 000 had been rendered as not achieving in the sense that housing prices and the market in the Northern Territory had undergone significant growth. My question to the banks was: we do not want to bump up against you in the first place and take your business - that is commercial business, not government business. The second parameter that we have to draw into consideration here is how we come up with a scheme that is effective and works for lower income earners but does not drive further an escalating market in house prices. We already had enough growth in houses; we did not want to feed that further. So, very clever work.
The bankers said: ‘You have to achieve it, because HomeNorth is important to us and it is important to us for this reason: people go into a HomeNorth home and find that they are managing the mortgage within a reasonably short time - two or three years - they then find that they want to buy the government’s equity out and own 100% of the house. Guess where they come? They come to Westpac, to National Bank Australia and to ANZ’. These were the bank managers telling me this: ‘We then get the business, your house gets paid off, HomeNorth gets paid off and HomeNorth is then able to take on another client along the way’.
I accepted that advice from the banks and went back to Treasury. Between Treasury and Housing - and there are some very good minds in both agencies - they came up with a scheme with deliberate parameters around it, set at 85% of the median, for two reasons: (1) not to escalate further growth in the housing price market that we have already seen plenty of; and (2) at 85%, ensure that we do not have to revisit the threshold every year because, as prices go up or down, the 85% remains a given percentage of the median house price in the market.
We do not pretend, and nor is the scheme intended, to give a choice of 100% of the houses or units on the market at any time for first homebuyers. We have deliberately strengthened it to provide better protection and assistance for those young families with dependants, because it is a predominantly a singles-used scheme. That is fine in itself, but we want to see young mums and dads with young kids getting into HomeNorth. Those are the parameters we came up with, and I believe it has been a marvellous fix.
I am looking forward to the next bankers dinner because I think they will be commending us and patting us on the back, like the Housing Industry Association, the Chamber of Commerce, the Territory Construction Association and the business world generally. The only source of disgruntlement I hear is from the Leader of the Opposition.
Budget 2007-08 – Home Ownership
Ms SACILOTTO to TREASURER
You have said today that helping Territorians get into their own homes is a major priority of our government. You have laid out a plan in today’s budget for achieving this. Can you advise how the government’s plan will work?
ANSWER
Madam Speaker, I thank the member for …
Ms Carney: For the one in 100 people who can buy that house.
Madam SPEAKER: Order!
Mr STIRLING: It gets a bit tiresome, Madam Speaker; it is only the first day and only the third question. I do thank the member for Port Darwin for her question, because she is one who had input in and around this decision of where we might go coming out of the property market. As she was closely involved before her time in politics, she is one whom I would give credit for having more understanding than the collective wisdom of the other side in these matters.
The budget outlines the most comprehensive plan for helping Territorians get into their home ever put in place by a Northern Territory government. We have reduced stamp duty drastically for first homebuyers. We have broadened HomeNorth with a particular emphasis on those young families with children. We will release land in Palmerston and Alice Springs. There is a pledge within that future release of land that first homebuyers will have some of those areas reserved for them.
The effect of lifting the stamp duty tax-free threshold to $350 000 means that 85% of first homebuyers in the Northern Territory will pay not one cent of stamp duty. The government will give back to first homebuyers up to $15 312. That is a significant reduction in the cost of a home. It allows those first homebuyers to then furnish, fit-out, whitegoods, whatever. It is good for retail as well because it is money back in the pockets of the consumers rather than the pockets of government.
The HomeNorth scheme has been lifted significantly. For families with children, the income level has increased to $70 000 and, to ensure we keep pace with housing costs, the property value limit is 85% of the median-priced house. In Darwin and Palmerston, that is approximately $310 000. The Leader of the Opposition can scoff and say: ‘I could only find one house’. We believe that somewhere between 10% and 15% of houses and 76% of units are falling into that cap. We have lifted the government equity available to purchase by government up to $70 000. We have kept the 2% deposit. We have kept the $10 000 interest-free loan for getting started.
HomeNorth has put almost 1000 people into homes since 2004, and is the most generous scheme in Australia. We have put in place a land release program which will strike the right balance - again, something you need to give close consideration to - between existing demand out there and the threat of over supply, which no one wants to see.
Bellamack has the capacity for 600 blocks. Mt John Valley has strong capacity. Land will be reserved in each of those releases for first homebuyers. We also recognise that not every Territorian will be able to buy their own home. That is why we continue with the public housing program - $113m for building, upgrading and repairing public housing, the biggest ever. That is what this government is doing about housing. The Leader of the Opposition, in those terrifying ads …
Mr Henderson: Scary!
Mr STIRLING: They scare the kids, I tell you.
Members interjecting.
Madam SPEAKER: Order!
Mr STIRLING: My grandson is in Queensland and if he had seen this, my daughter would never get him to sleep. ‘What is Clare Martin going to do?’ she says – frightening! Well, I will tell you, we are not doing - and this is the same people; talk about persistency who said: ‘Too many public servants! You have to get down the numbers. You have to attack those fat cats!’ They are going to create a bureaucracy of fat cats similar to DHA, to roll out a program that magically reduces house pricing for first homebuyers by $100 000. I am not sure of the numbers of first homebuyers in the market. I believe it is somewhere between 1000 and 1200 a year. That is $120m bang up on the budget - $120m if it is between 1000 and 1200 a year for first homebuyers.
She is also going to build, as I said, another layer of bureaucracy to run this. To run, organise and develop a housing corporation - who is that competing with? That is competing with the private sector that is already out there doing this every day of the week, and that part of the economy that does these things quite well. It will be a massive bureaucracy, similar to Defence Homes, underwritten by government, out there in competition with the private sector. What could be more inefficient and unproductive use of $120m at least of taxpayers’ money each year? If the opposition understood with any depth at all what was happening in the economy, they would know and recognise that private industry does this job very well. Private industry does the job of developing very well indeed without any need for a massive government corporation.
Second, we are not going to flood the market with the release of land that would undervalue and bring house prices crashing down around everyone’s heads ...
Members interjecting.
Mr STIRLING: The Opposition Leader asks: ‘What is Clare Martin going to do? I am going to save first homebuyers $100 000’. What she does not do is tell all those existing homeowners out there: ‘I am going to drive down the value of your property. I am going to drive down your lifetime savings that you have sunk into that property. I am going to destroy the equity that you have in your own home’. Homeowners beware, the opposition wants to make your house worth $100 000 less. Territorians will look back at Budget 2007-08 and they will thank God that it was this government in place and not the opposition.
Home Ownership – Government Policy
Ms CARNEY to CHIEF MINISTER
In Saturday’s NT News’ real estate supplement there were approximately 94 units for sale, of which up to 38 would have been available to first time homebuyers under the scheme announced today in the changes to HomeNorth. Is it not the case that what was the great Australian dream of home ownership has, under your stewardship, become a glimmer of hope for unit ownership? How is providing a policy that moves first homebuyers out of the housing market and into a fight for a handful of units - without a play area for their kids, or verandas for a barbecue or a pool for a swim – adding to the wonderful Territory lifestyle?
ANSWER
Madam Speaker, I appreciate the question from the Opposition Leader, but it was the question that the Treasurer just answered. However, I am happy to restate what our commitment is to first homeowners. I have just come from the Chamber of Commerce lunch - many members were there - and saw the way that this government’s decision to move the threshold from $225 000 to $350 000 for first homeowners was greeted. I believe the only four who would not greet it with enthusiasm are these four sitting across here ...
Ms Carney: So you say, Chief Minister.
Madam SPEAKER: Order!
Ms MARTIN: The Opposition Leader said, with great rhetoric: ‘What are you doing for first homeowners?’ What we are doing for first homeowners is something that is tangible. It is not the nonsense economics we see from the opposition. It is actually lifting the threshold. What that does is give greater opportunities for our first homeowners in the market. What an amazing lift. $225 000 was the threshold before. What have we taken it to? Not a creeping $250 000 or $275 000; it is $350 000. It is a significant boost - an absolutely significant boost - and the opposition says: ‘What are you doing for first homeowners?’
I could repeat what the Treasurer said about the HomeNorth scheme targeting into the market. The Opposition Leader said: ‘I have been reading the newspaper, therefore, I am an expert’. I say to the Opposition Leader that it is a good idea you are reading the newspaper. However, as the Treasurer said, we put the good minds in Housing who know about this together with Treasury, and what we have is a very strategic policy with HomeNorth. That, together with our land release strategies, not the carte blanche undermining of the market we have from the opposition’s proposal - I know I do not have as much make-up on as the Opposition Leader did in the ad on telly, but I can stand here and say we are doing well for first homeowners.
We are concerned to ensure that, in a market where the prices of houses have grown over the last couple of years in Darwin and through the Territory, we have in place different strategies to enable first homeowners get into the market, buy a house, work in the Territory, raise their family and enjoy our unique lifestyle.
Budget 2007-08 – Infrastructure Spend
Mr WARREN to CHIEF MINISTER
Since coming to office in 2001, the Martin Labor government has invested $3.3bn in cash into infrastructure. Can you please advise how Budget 2007-08 maintains this high level of investment, and why this government believes investment in infrastructure is essential for the Territory’s future?
Members interjecting.
Madam SPEAKER: Order, order!
ANSWER
Madam Speaker, despite the noise from the opposition who do not, obviously, think infrastructure is useful in the Northern Territory, I am proud to lead a government that you could describe as one which loves infrastructure. We love infrastructure. More than any other government, we have focused a considerable amount of the Territory budget on infrastructure. This year, $645m in cash, and since our first …
Mrs Miller: Thanks very much, John Howard, for all that GST money.
Ms MARTIN: I thought the member for Katherine was interested. I really did but, obviously not.
Dr Lim: Do not be so condescending and get on with it.
Madam SPEAKER: Order, order!
Ms MARTIN: Since our first full budget in 2002, we spent, as the member for Goyder said, $3.3bn in cash. I would like to explain why: infrastructure creates jobs. This budget this year, which really is a very family friendly budget and one that focuses on what our children would want for the future, will directly sustain about 5800 jobs in construction, and probably thousands more indirectly. I am sure the businesses in Katherine will be very appreciative of that.
Infrastructure supports business. By spreading our infrastructure spend across different regions and in different sizes - small through to large contracts - we support businesses of all types, the length and breadth of the Territory. Infrastructure builds a better Territory, and we are a growing community and our community needs good infrastructure. Across the Territory, we need more houses, schools, hospitals, clinics and, importantly, better roads. Infrastructure builds the future and, by investing in infrastructure today, we can build a better Territory into the future. I believe that Budget 2007-08 achieves all those aims. There are many aspects of that infrastructure spend. It goes through Housing, Power and Water infrastructure, and importantly, includes roads, education infrastructure, and community development infrastructure like housing, a new Emergency Department in the Alice Springs Hospital, a new police station at Casuarina, cyclone upgrade facilities, and airstrips around the Territory. This is an exciting spend that supports business, supports the Territory’s ambitions, and it builds good infrastructure for our future.
It should be cheered, Madam Speaker, and it is disappointing to hear the opposition’s negativity yet again.
Bores – Metering and Usage in the Rural Area
Mr WOOD to MINISTER for ESSENTIAL SERVICES
You stated in your media release on 24 April that there will be an $8m upgrade at the Howard River bore field Stage 2, which will allow an increase in capacity of 6%. Could you explain exactly what that means in litres of water pumped? Why do you need a pump to pump more water from the rural bore fields when you announced that you will spend $8.5m to raise Darwin River Dam by 1.3 m, increasing its capacity by a whopping 20%?
Is your government not sending out the wrong message to residents in the rural area who have volunteered to meter their bores? If the metering of bores is about obtaining information for future water usage, surely any increase in production bore output should wait until the results of the monitoring programs have been analysed and the community has had a chance to comment?
ANSWER
Madam Speaker, I thank the member for his question. He refers to my press release of 24 April. I know he is very concerned about the water situation in the rural area. I would have expected him to pick up the phone and call my office to get a briefing, but he did not. On the other hand, the member for Goyder called my office. He had a briefing, and a meeting with Power and Water, where he was informed about the proposal and how it was going to be addressed. You cannot say to me …
Mr WOOD: A point of order, Madam Speaker! This is Question Time. I asked the minister a question and I am being abused for not asking him on 24 April. That is a joke.
Members interjecting.
Mr WOOD: You are a joke!
Madam SPEAKER: Order! Member for Nelson, resume your seat. There is no point of order. Minister, please come to the point.
Mr VATSKALIS: Madam Speaker, the member for Nelson has quite rightly pointed out it is Question Time. He is getting an answer, but he does not get an answer he likes, that is why he objects.
I will give him the answer. As he is well aware, Power and Water has a licence application requesting an additional three million litres per annum. The reason we want to develop Stage 2 of the bore fields is because we do not want to put all our eggs in one basket. We do not want to have the same problem as down south, where we have the Prime Minister of a developed country asking his citizens to pray for rain so we can have water. We are not going to go down that path, member for Nelson. What we are doing is planning for the future.
You are well aware of what we are proposing, because the Stage 2 development was discussed at a rural area forum last year which was chaired by you, and earlier this year at a similar forum. You are well aware that Power and Water has a very small number of bores - six production bores - in the rural area, that draw only 15% of the water of the potable area. On the other hand, there are 3500 bores, with no meters - apart from 200 - that draw 85% of the water from the area. We have to address the water issue, member for Nelson. We have to consider our future.
You are well aware that this application will not proceed unless Power and Water gets all the necessary approvals from NRETA, and for the water allocation plan for water resources in the rural area. Yesterday’s announcement was that we are allocating money, but all this money is subject to receiving the necessary approvals and the water allocation plans.
Budget 2007-08 – Bellamack Subdivision
Mr MILLS to TREASURER
As a part of the budget, you announced that, later in the year, expressions of interest for Bellamack will include special consideration for first homebuyers. Considering that the expected sale price of blocks at Bellamack is around $150 000, could you please outline to the House details of what you mean by ‘special consideration’? Exactly what will you be offering first homebuyers looking for land in Bellamack?
ANSWER
Madam Speaker, the minister with responsibility for Planning and Infrastructure would be better placed to answer this question as she is more directly responsible for this area. In two land releases this year - Mt John Valley, once the negotiations are completed, and Bellamack - there will be special consideration for first homebuyers. Just how that is factored in is subject to further work. Undoubtedly, there will be consultation and discussion with industry. There will be parameters drawn around it in relation to negotiation with prospective developers to see what they can do in relation to a clear cut advantage and a set number of blocks for first homebuyers.
If you put that in place on top of the stamp duty reductions with a threshold of $350 000, you are starting to talk about very meaningful assistance, indeed, to first homebuyers in the Northern Territory, particularly those who are able to avail themselves of land to build in Bellamack or in Mt John Valley into the future.
Mr MILLS: A point of order, Madam Speaker! I presumed from the answer that there was going to be a referral to the appropriate minister because, in fact, my question was not answered.
Ms Lawrie: Well, you should have asked me!
Members interjecting.
Mr Mills: It was referenced to have been referred to the appropriate minister.
Members interjecting.
Madam SPEAKER: Order, order!
Members interjecting.
Madam SPEAKER: Order! The Treasurer has finished his answer.
Budget 2007-08 – Police, Fire and
Emergency Services
Emergency Services
Mr HAMPTON to MINISTER for POLICE, FIRE and EMERGENCY SERVICES
The Martin government has been building a safer community since Labor came to office and inherited an underfunded and under-resourced police force. Can the minister advise the House how Budget 2007-08 fulfils this goal?
ANSWER
Madam Speaker, I thank the member for Stuart for his question. Since this government came to office in 2001, we have increased funding to Police, Fire and Emergency Services by some 65%. Budget 2007-08 provides $226m for Police, Fire and Emergency Services, which is all about building a safer community.
This amount will support a police force, as the Treasurer said in his speech, of 1140 personnel by the end of June next year. Recently, it was my pleasure to announce construction of a new police station at Casuarina costing $4.8m, which is very much needed infrastructure. I am sure that will be a great bulwark, if you like, for crime prevention within our northern suburbs. There has also been $9.6m allocated in the budget for new and replacement equipment for Police, Fire and Emergency Services. On the issue of road safety, within the budget there is also provision for highway patrols at a cost of $736 000 this financial year, rising to $1.3m in 2007-08.
One initiative that I commend to this House is ensuring that crime does not pay through greater resourcing to the forfeiture of property through the unit that investigates that. I will have more to say about that during these sittings. They have been very successful to date. It is going to be beefed up. Those who profit from the proceeds of crime should take note of this, because I believe those days are numbered. We have allotted an extra $1.3m to enforce that legislation.
In partnership with the Commonwealth, there is $4m over three years to fund the operation of the minimum national person profile. This is all about having a streamlined system to identify criminals, and to exchange information with other jurisdictions. This will be a great step forward for our police force and facilitate their operations. We have also allocated $2.4m for the newly refocused and consolidated Crime Prevention Community Safety strategy.
There are many other strategies, because we, as a government, also recognise that policing is one aspect of making it a safer community, but there are other aspects that impact on the Territory, such as the alcohol policy and the treatment of those with drug and alcohol issues. I was very pleased to note in the budget there is $4m to upgrade Banyan House, which is very important. There is also ongoing funding for Neighbourhood Watch and funding to light our parks and laneways.
Madam Speaker, we are very focused on reducing crime in our community, and this budget, with a significant increase of $226m, really underscores this government’s commitment to building a safer community in the Northern Territory.
Tiger Brennan Drive - Funding
Mrs MILLER to MINISTER for INFRASTRUCTURE and TRANSPORT
You demanded $32m from the federal government for Tiger Brennan Drive under increased price demands on the 50:50 AusLink funding agreement. You have only allocated $10m of the $32m you claim is needed. Where is the other $22m and when can we expect to see it? Is it the case that you are more interested in playing political games than you are at addressing the transport needs of those in Palmerston and Darwin?
ANSWER
Madam Speaker, I really do welcome the question from the shadow minister, because it shows her complete ignorance of where we are regarding this important infrastructure project.
The Northern Territory government is committed to building the Tiger Brennan extension. What we are waiting for is the commitment from the Commonwealth government. We have said very clearly to the Commonwealth, the Territory government will meet half the cost of the project in keeping with the principle of the 50:50 arrangement that was put in place regarding the Tiger Brennan extension.
When I met with the Deputy Prime Minister, Mark Vaile, a few weeks ago and pressed him for a commitment from the Commonwealth for funding to Tiger Brennan’s extension, he said to me, very clearly: ‘Well, I am not sure about how I will find the money, give me time. I understand the project is important’ ...
Members interjecting.
Ms LAWRIE: I am not paraphrasing him, this is the conversation we had. He said, very clearly: ‘Can it be done in stages? Can we move ahead with this in stages?’. I said: ‘Yes, Deputy Prime Minister, we can do this in stages’. The most sensible stage would be to press ahead with the dual turning lane from Wishart Road across Berrimah Road and into Tiger Brennan to get rid of the bottleneck we are currently experiencing on Wishart Road. That is the immediate element of this important road infrastructure project.
The Deputy Prime Minister said: ‘That makes a lot of sense’. I said: ‘You can check with your agency if you like’. The Commonwealth agency spoke to the Territory agency and said: ‘Yes, we agree with that first stage; proceed with Stage 1’ - that is, with the current money committed between both governments, we agreed we can proceed with Stage 1. I indicated that Stage 2 would be in some important, what we call pre-planning works, which are the site clearances needed to run the corridor off the Tiger Brennan extension, which is work that the Territory government is proceeding with. In addition, we are committing into the next roads program, overtaking lanes on Tiger Brennan itself, as well as overtaking lanes around the Pinelands section of the Stuart Highway - again, to pre-prepare for that important connection in.
Simply put, we are waiting on the Commonwealth part of the funding to proceed with the full commitment of the Tiger Brennan extension. I stand in this Chamber and say categorically: the Territory government is fully committed to meeting half of the entire cost of that project. We are on the record as saying - even though we have an entire budget of about $3.3bn and the Commonwealth has a surplus of about $20bn - there is some disparity in capacity to spend here. Despite that disparity in the capacity to spend …
Mr Mills: That is cute!
Ms LAWRIE: … we are absolutely - it is not cute, member for Blain. It is critically important to the residents of Palmerston and the rural area …
Mr Mills: Your budget today is …
Madam SPEAKER: Order, order!
Ms LAWRIE: We are building a road that the Commonwealth is sitting on its hands and refusing to fund.
Budget 2007-08 – Sport Promotion
Mr KIELY to MINISTER for SPORT and RECREATION
An important part of the Territory lifestyle is sport and recreation. Can the minister tell the House how Budget 2007-08 is promoting sport and securing our lifestyle today and into the future?
ANSWER
Madam Speaker, it is a great budget that scores goals for sport and recreation - more than $20m this year. In that are three major projects: $4.8m for a new netball facility at Marrara Sporting Complex; $350 000 for the Nightcliff skate park - and I am pleased to see the negotiation over the Parap site with Darwin City Council and looking forward to the one in Casuarina too; and $0.5m to Hidden Valley to complete the upgrades of this world-class facility. On top of the $100 000 we gave to the Central Australian Drag Racing Association, we provided an extra $250 000 to address key environmental requirements relating to the construction of the new strip at the Finke start/finish line.
Regional areas are also big winners for facilities: $200 000 to Lake Nash community for an undercover recreation area; $20 000 to the Alpara local council for shade for their football oval; and $50 000 to Yuendumu local council for shade to softball and football ovals.
Also, $0.5m is to be spent for sport events to come to the Territory: $78 000 to stage a pre-season A-League football match on 20 July 2007 between Perth Glory and Melbourne Victory. I am looking forward to this match. I am looking forward to meeting Archie Thompson, who is a legend who scored five goals at the grand final. There is also $87 000 for an Alice Springs ARL fixture; three AFL games, including a game for premiership points; and continued funding for the Wildcats to return to Darwin in early 2008.
The budget also reflects the move of the Sports and Recreation Events Branch to the Major Events Branch with Department of the Chief Minister. It makes sense to combine the two branches; we have better support and better events. A total of $3.5m will continue to flow directly to Territory sport and recreation organisations through our various grant programs, which made it possible for the women’s soccer to go to Kupang and win all the games. I am looking forward to meeting them tonight. We are also saving netball with $25 000.
NTIS funding has been maintained to ensure that we have the best coaching and support services for our top talented athletes, irrespective of where they live and where they are. If they are good athletes with good talents, the NTIS will provide coaching for them.
Budget 2007-08 is a great budget for sport and recreation. Territorians love their sport and our government is backing sport to the hilt.
Budget 2007-08 – Stamp Duty on GST
Mrs BRAHAM to TREASURER
Any reduction in stamp duty that assists business and consumers is appreciated. Did you fix the situation regarding stamp duty being charged on GST; that is, insurance premiums have a 10% GST component and then you charge 10% stamp duty on the total cost of the premium and GST? That means there is a Northern Territory stamp duty on a Commonwealth GST tax.
ANSWER
Madam Speaker, it is a good question, indeed, from the member for Braitling. It is an issue that does get tossed up in a variety of forums – fora, I discovered the word was - wherever you are. In particular, if I go to the Treasurers’ conference this year, where all state Treasurers meet before the meeting with the federal Treasurer, it was never a part of the intergovernmental agreement that taxes be removed. It was never part of that. When the GST was first signed off, there was a set of taxes agreed by the Treasurers and the federal Treasurer of the day, which would go when the GST was introduced. It was never part of that original agreement. That, then, was subsequently changed when food came off the list. Before the GST was finally put in place, the Senate knocked out food and then there was a reduction of that list. However, it was never part of either of those lists.
It has been treated, in an historic sense, the same as the old sales duty was, in that it goes on top of transport and all the costs to get it here. The way that that is treated has always been a bone of contention with Territorians. The same issue, in principle, applies around this, where it is seen and judged as a tax on a tax.
Whilst the issue continues to be discussed - and as I said, as recent as in March, less than two months ago, it was discussed at a round table between state Treasurers when I was at the Treasurer’s conference – there was no agreement as to how it might go into the future. It was not part of the original agreement to move it but, clearly, other jurisdictions get representation from a whole range of people in the community on this very issue. I am getting the question here, so it is an Australia-wide issue that will continue to be looked at and considered from every which way, including the fairness of it. I would think that it would be something, whilst it was not in the original raft of taxes to be removed, that does go back to the relationship and the agreement between the Commonwealth and the states and territories in relation to the imposition of the GST. In that sense, it is not something that the Northern Territory could jump out on its own.
Jobs Plan 3 - Skills Training
Mr BONSON to MINISTER for EMPLOYMENT, EDUCATION and TRAINING
Mr MILLS: Without notice? A point of order, Madam Speaker! It cannot be without notice. You watch, he will read it.
Madam SPEAKER: Member for Blain, there is no point of order.
Mr Mills: I could see right through it.
Members interjecting.
Madam SPEAKER: Order! Member for Millner, continue.
Mr BONSON: Can the minister advise the House how the government intends to train Territorians – something very important – to fill the jobs being created in the Territory’s growing economy?
ANSWER
Madam Speaker, I thank the member for Millner for his question. I have many conversations with the member for Millner and I know how interested and committed he is in building our workforce and training for Territorians, particularly young Territorians. There should be nothing more important that we are doing in this budget, I claim, in continuing to grow our economy than to invest in the training of Territorians. Every business person you speak to around the Northern Territory - whether it is Alice Springs, Tennant Creek, Katherine, Darwin, Gove, even into remote communities; everybody who is running a business - tells you how hard it is to get and keep good people. That is why it is so important that we continue to invest in training in a very significant way across the Northern Territory.
We have announced Jobs Plan 3 today, a $21.3m investment over four years to skill and train Territorians. It is essentially a four-point plan that provides incentives for employers, grants for employees …
Ms Carney: Grunts?
Mr HENDERSON: … builds on the skills of existing workers, and will draw new people into the workforce. I would have thought that the Leader of the Opposition might be interested …
Ms Carney: Well, you said grunt. We think you meant grant.
Mr HENDERSON: … might be interested, Madam Speaker, but, obviously, she is not …
Madam SPEAKER: Order! Leader of the Opposition!
Ms Carney: Must have been a typo, hey?
Madam SPEAKER: Order!
Mr HENDERSON: She would rather shriek and carry on in here than actually understand and commit to training young people. That is something the CLP members never got their head around in the 27 years they were in government.
Employers are going to receive incentives to put on trainees and apprentices. Four hundred incentives a year will go out to businesses to provide employers training apprentices in those occupations - $4000 in two stages to assist businesses. Employees will receive a Workwear/Workgear Bonus of $1000 for trade shortage areas, and $300 for other trainees after three months of training …
Mr Mills: As he carefully reads the answer to the unexpected question.
Mr HENDERSON: Again, you would have thought that many of those trainees will be in the member for Blain’s electorate, and I would have thought that he would have supported that.
Yesterday, I was talking to a good friend of mine whose son has just started an apprenticeship at Mitsubishi Motors in Darwin. He signed his trade papers yesterday. As I said earlier in this House, first-year apprentice wages are not that crash hot, for very good reason; they are obviously at that stage of their training not contributing much to the business. However, $1000 will help my friend’s son out after three months. He already knows where he is going to spend that money. He is going to spend it on tools, and that is exactly what we want them to do.
We will provide $200 000 for the Workready program. This program is based in secondary colleges and prepares Years 11 and 12 students for their working career. What came out of the Chamber of Commerce lunch today and discussions I had with business people around the table? It was the importance and the critical nature of our schools preparing our kids for work. It is an interesting observation: the Chamber of Commerce puts on a budget lunch every year and there were many people from this side of the Chamber who attended that lunch. It is open to everyone. Where was the party that is supposed to support business? Non-existent. They come up with such hare-brained schemes as the housing authority scheme; they just do not go out and talk to business any more to hear what the needs of the business community are.
There is $1m provided to boost the skills and training of indigenous Territorians. A significant component of Jobs Plan 3 is to train indigenous Territorians in remote areas. We are looking for the Commonwealth government to match that $1-for-$1. In all of us on this side of the House there is a real commitment to focus the training effort in remote areas to jobs. We have to match the training to the jobs that are available, and there is significant new money going into that very important area.
This government introduced the Territory’s first ever Jobs Plan. We did not ever have a jobs plan. There was never a policy focus around this when the CLP was in government. I remember a former …
Members interjecting.
Mr Stirling: We raised it every budget!
Mr HENDERSON: We did raise it every budget. The minister of the day was Fred Finch, I believe. In questions asking where his jobs plan was - I know my colleague, the Treasurer, was really hot on that - the quote is not exact, but the then minister Finch said: ‘Why do you need a jobs plan? When the kids leave school, they go and get a job’. That was the level of intellectual thinking and policy development the previous government had.
I am proud when I see the effort the government is making to lift skills. Five years ago, the Power and Water Corporation had just 13 apprentices. Today they have 51 and it is increasing. They are employing at the rate of 13 a year. This government and our agencies are walking the walk. The private sector is getting behind the push. We have more trainees and apprentices in the workforce to date, double the number when the CLP were in office. This is a critical area of public policy. I urge the opposition to support it.
Budget 2007-08 – Forecast Deficit
Mr MILLS to TREASURER
You expect to receive $3.198bn in revenue. This is $186m more than you expected this time last year. Despite having this $186m extra, you are still delivering a deficit. If you are such a competent economic manager, why have you not been able to balance the budget despite receiving unexpected massive revenue windfalls?
ANSWER
Madam Speaker, I commend the member for Blain on a well read question. He could not lift his head in case he got a word wrong – in case he missed a word, let me tell you. Let me try to explain a little to the member for Blain in as brief a time as I can.
We ended financial year 2006-07 predicting a deficit outcome of $68m. Three years ago, we forecast, for this financial year that we will soon be entering, 2007-08, to have a deficit of $40m. In strengthening the outcome, which is now standing at a possible $11m deficit - and it may even improve by 30 June - that is a $57m improvement for a start and something we have consistently done. In fact, in every budget we have handed down, and the last four have been surplus outcomes, we have predicted a deficit and we have markedly improved the outcome in cash terms by the end of the financial year compared to what we have put down as projections in May of the particular year. This year is no exception. We may improve over the $40m next year.
A strength of the underlying economic situation we are in can be found in this one single feature, Madam Speaker; that is, the big shift of capital and infrastructure spend on the Darwin waterfront and convention centre, from 2006-07, improving outcome for 2006-07, shifting in to 2007-08 - and yet we are not affecting the $40m forecast outcome. That is the underlying strength of the economic situation this government is in. It is able to pick up and shift quite considerable capital and infrastructure spend required on the Darwin waterfront and convention centre from one financial year into the next and not affect our forecast projections put down three years ago.
Budget 2007-08 – Roads Planning
Ms McCARTHY to MINISTER for INFRASTRUCTURE and TRANSPORT
Can the minister advise the House of the Martin government’s plans for roads now and into the future?
ANSWER
Madam Speaker, I thank the member for Arnhem for her very important question, because she has been a great advocate for roads in her electorate. We know there are significant needs in the electorate of Arnhem and I am pleased to say that Budget 2007-08 responds to those core areas of need. It is great to be able to see the largest ever roads budget – a $180m commitment in Budget 2007-08. Importantly, that contains some $57m in repairs and maintenance.
This is a government that listens to both communities in the bush as well as industry. The Cattlemen’s Association and the Trucking Association said to us there has been a declining spend in roads maintenance. That is quite true. We have seen a reduction in Commonwealth dollars in R&M across the roads network. The Territory government stepped up and increased our roads repairs and maintenance – $57m in R&M in this budget alone. That is the largest repairs and maintenance spend, and it is just the first part of a $35m four-year injection into repairs and maintenance.
This significant boost helps to strengthen our infrastructure and plans for future growth right across our regions. Some of the significant record roads spending is: $10m – the first stage of a $32m commitment from the Territory for Tiger Brennan Drive. This will, importantly …
Mrs Miller: What about the $13.5m from the federal government promised in 2004? What happened to that one?
Madam SPEAKER: Order!
Ms LAWRIE: I will pick up the interjection from the member for Katherine, who is talking about the Commonwealth government’s commitment to the Tiger Brennan extension. There was a 50:50 deal done on that extension. The cost to deliver that project increased. The previous Minister for Infrastructure and Transport …
Mr Mills: Because of your delay.
Mrs Miller: Because you did not get your plans in, did you?
Ms LAWRIE: Well, if you are interested.
Members interjecting.
Madam SPEAKER: Order!
Ms LAWRIE: The previous Minister for Infrastructure and Transport consistently said to the federal Roads minister, Jim Lloyd: ‘Match us 50:50 on this increased expenditure’ ...
A member: He did for a day.
Ms LAWRIE: For a day it looked like he did, and then he retracted. I will relay to the Chamber ...
Mrs Miller: It has absolutely nothing to do with your original figures.
Members interjecting.
Madam SPEAKER: Order!
Ms LAWRIE: I relay to the Chamber that I have not bothered to deal with Jim Lloyd because I saw the treachery he had here in the Territory. I am dealing with …
Mrs Miller: I am sending him a copy of this transcript.
Ms LAWRIE: I am dealing with a more honourable player in the federal sphere, the Deputy Prime Minister, Mark Vaile. I will just relay, at the Chamber of Commerce lunch today, when we were talking about the roads funding and how critically important Tiger Brennan was, a member of the industry said to me that they had gone to Canberra to lobby Jim Lloyd for that Tiger Brennan funding, and his response was: ‘Oh, they will see the money, but we want to see them beg’. That is the level …
Mrs Miller: I suggest that it was about double the funding that you were asking for.
Ms LAWRIE: That is the level of petty politics that Canberra is playing over this critical road infrastructure. They wanted to see us beg …
Mrs Miller: Yes, it is critical.
Ms LAWRIE: No, they have the money but they want to see us beg. That is despicable and I thank God that I have not bothered to deal with Jim Lloyd, and have been working with the Transport minister, Mark Vaile, a far more honourable man ...
Mrs Miller: I will be sending him a copy of your transcript today. I am sure he will be very pleased.
Ms LAWRIE: Send Jim Lloyd my transcript by all means - absolutely happy for him to see it. He might understand why I have never sought a meeting with him and have always gone to meetings with Mark Vaile instead.
There is $10.5m in ongoing funding towards the Red Centre Way; $45.9m in new and ongoing funding under AusLink will go towards the Victoria Highway; $12.3m in ongoing and new funds provided to improve roads around Wadeye; and $2m is provided for the upgrade of the Tanami Road.
Planning for the future involves our bush roads. These are important assets to our trucking business, but they are also, critically, the lifeline for people living in our communities and on our pastoral stations. This year’s funding also supports repairs and maintenance, or grants to local governments for: the Lajamanu/Kalkarindji turn-off road; the Santa Teresa/Alice Springs connector road; the Umbakumba/Alyangula connector road; Ramingining barge road; the Eva Valley Road; and many other bush roads. They are all an important part of our overall plan for the future to improve essential infrastructure right across the Territory.
I am meeting with the Deputy Prime Minister, Mark Vaile, at the end of this week. I will again raise the important issue of Tiger Brennan and its funding. I hope to see funding for Tiger Brennan in the federal budget next week.
Mr HENDERSON (Leader of Government Business): Madam Speaker, I ask that further questions be placed on the Written Question Paper.
Last updated: 09 Aug 2016