Department of the Legislative Assembly, Northern Territory Government

2013-05-16

Power and Water Corporation - Prices

Ms LAWRIE to CHIEF MINISTER

You have announced your plan to further increase Power and Water prices. Power and Water whistle-blowers have confirmed your cost recovery commitment will result in average price rises in excess of $2000 per annum. Why are you so determined to hit Territorians where it hurts? Power and water are essential services, just like a hospital or school. Why do you want to run it like a profit-making business and rip money out of the pockets of Territorians, literally pricing them out of the Territory?

ANSWER

Madam Speaker, I thank the Leader of the Opposition for her question. Power and water prices will not be increasing above the 20% - after they were scaled back from 30% - plus the 5% on 1 January 2014, and 5% on 1 January 2015. There has been no change.

In regard to an insider, I am ensure whether you are talking about the ETU representative who likes to ring me when I am talking to Julia on the ABC or otherwise, but there is no change. Your figure of $2000 and everything you just said is a complete furphy. There is no truth in it at all. You talk about …

Ms Lawrie: You said cost recovery yesterday.

Mr GILES: We are talking about ensuring the cost of producing power is equal to the price we charge. We have asked Territorians to do the heavy lifting. We have already done that. We have indicated a 5% increase on 1 January next year and a 5% increase on 1 January 2015.

We are going back to Power and Water asking them to be leaner and more efficient, and to ensure they bring down the cost of producing electricity. That is what we have said. We have made that very clear and there has been no change. The Treasurer, who is the shareholding minister, spoke in 2001 about how you made Power and Water a government owned corporation. I will read the objectives of a government owned corporation. This is your legislation from 2001 and I will put it on the Parliamentary Record, ‘The objectives of a government owned corporation are to operate at least as efficiently as any comparable business and to maximise the sustainable return to the Territory on its investment in the corporation’.
    To maximise the sustainable return to the Territory on its investment: this is what Labor brought in. We have been clear and have spelt it out. Up until 2015, people know where they stand on power prices. When I took this role we brought the increase from 30% back to 20%. We have indicated when the two amounts of 5% will occur. That is the way it is. However, there is an easy way to reduce the cost of power in the Northern Territory: an easy way to have an effect on reducing the cost of living pressures. That is a vote for Tony Abbott on 14 September to remove the carbon tax. If you want to reduce the price of power, vote for Tony Abbot and get rid of the carbon tax. If you want to reduce the cost of living, reduce the carbon tax on the transportation involved with heavy vehicles. That will reduce the cost of living because grocery prices can come down. If you want to reduce the cost of living vote for Tony Abbott and get rid of the carbon tax on the marine industry to reduce the cost of living. The carbon tax is driving up the cost of living.

    There are no power and water price increases above what we have already spoken about. We put it in concrete, put it in stone. There will be no change. I will go back to that point. If you want to reduce the cost of electricity, vote for Tony Abbott and get rid of the carbon tax. It is as simple as that.
    SUPPLEMENTARY QUESTION
    Power and Water Corporation - Prices

    Ms LAWRIE to CHIEF MINISTER

    Yesterday in parliament you said Power and Water will achieve full cost recovery, and there are witnesses to it; and it is on the record. Yet today, you are pretending you did not say it. Will you confirm and stand by your words yesterday that Power and Water, under you, will achieve full cost recovery? That is some $2600 straight to the hip pockets of Territory families in additional costs. Will you confirm that in the NT News today you showed you will not pass the 10% carbon tax discount on to consumers but will keep it to achieve full cost recovery?

    Mr ELFERINK: A point of order, Madam Speaker! The question is limited to one minute and she is well over that boundary. I ask she gets pulled up on it when the bell goes.

    Ms Lawrie: I had sat down. Answer the question!

    ANSWER

    Madam Speaker, I will go back to the previous point. There will be no increases above what we have already said.

    It is interesting when we look at the WACC, the weighted average cost of capital, which requires a 6.8% return on investment - the former Treasurer should know this - to break even. We have asked Territorians to do the heavy lifting. Now we are going back to Power and Water to improve efficiencies and ensure we get the cost structure down.

    I will go back to the old point. If you want to get the price of electricity down, vote for Tony Abbott and get rid of the carbon tax. It is not just electricity, it is groceries - all costs of living ...

    Ms LAWRIE: A point of order, Madam Speaker! Standing Order 113. The question was quite specific in two elements. The first element is: are you saying you will not have full cost recovery, which you put on the Parliamentary Record yesterday? Will you confirm the comments reported in the NT News that you will not be passing on any removal of the carbon tax to the consumer; in fact, it will stay within the cost ...

    Mr ELFERINK: A point of order, Madam Speaker!

    Madam SPEAKER: What is your point of order?

    Mr ELFERINK: It is okay, Madam Speaker.

    Mr GILES: Madam Speaker, this is a fiscally irresponsible former Treasurer. This is the same lady asking the question who came into the Chamber yesterday with a budget reply speech who did not raise one saving measure. She just wanted to sprinkle around money confetti all over the place - spend here, spend there. There is a way to run the financial books. You do not how to do that because you left us with that $5.5bn debt …

    Ms LAWRIE: A point of order, Madam Speaker! Relevance, 113. Answer the question; stop trying to squib it.

    Madam SPEAKER: Opposition Leader, there is no point of order.
    Budget 2013-14 -
    Opposition Leader’s Budget Reply

    Ms LEE to TREASURER

    Yesterday the Opposition Leader delivered her embarrassing budget reply. Can you explain to the House why Territorians cannot take the Leader of the Opposition seriously in anything she says or does?

    ANSWER

    Madam Speaker, I thank the member for Arnhem for her question. It is true the Opposition Leader has many problems when it comes to understanding the financial situation of the Northern Territory. I heard her banging on yesterday about state final demand. It is interesting because the first time she ever did that was within the last couple of days.

    The genuine recognised index for understanding growth is gross domestic product if you are a nation, and gross state product if you are a state or territory. Looking at state final demand is no way of assessing economic growth. State final demand is very volatile. If the Opposition Leader took two seconds to look at page 20 of the economic book she would notice why you do not talk about state final demand.

    You talk about gross state product, and the Northern Territory economy is set to grow strongly at 5% predicted for next year and 7% the year after. In 2014-15, the Northern Territory will have the strongest economic growth in the nation.

    Ms LAWRIE: A point of order, Madam Speaker! Standing Order 113: relevance. Are you not even a little embarrassed of crowing about Labor’s economic record?

    Madam SPEAKER: Opposition Leader, I take this opportunity to warn you, not in the formal sense, that when you have a point of order it is specifically a point of order. It is one thing to have a standing order quoted, but it must be a point of order relevant to what you are trying to raise before the House. Treasurer.

    Mr TOLLNER: The Opposition Leader is completely irrelevant. She is completely irresponsible, as demonstrated by her budget reply yesterday. The Chief Minister just said we had to listen to the diatribe. It was more of the same. Why are you not spending money on this? Why are you not spending money on that? I remind the Opposition Leader of $5.5bn worth of debt. Not one savings measure did the former Treasurer suggest yesterday. She completely ignores the fact we are borrowing to pay operational costs.

    Ms LAWRIE: A point of order, Madam Speaker! The standing order for misleading. I believe it is 28, but I will stand corrected.

    Madam SPEAKER: There is no point of order.

    Mr TOLLNER: Madam Speaker, a fiscally irresponsible former Treasurer says, ‘Spend more money’. That is the Labor answer to everything - spend, spend, spend. It is a drag not just on current Territorians, this crazy spending proposed by the Opposition Leader, but on future Territorians: our children and their children. We have to rein in spending. We have to live within our means. The Opposition Leader is a complete joke and farce of a former Treasurer.

    Madam SPEAKER: Minister, your time has expired.
    Power in the Bush – Cost Recovery

    Ms WALKER to CHIEF MINISTER

    Does your commitment to charge for power what it costs to provide apply to the bush? Does full cost recovery apply in the bush?

    ANSWER

    Madam Speaker, I thank the member for her question. It is good to see the member for Nhulunbuy talking. I remember over the last four years her being very quiet; she did not say much. We came into government and have the issue of gas to Gove and all of a sudden she is the parochial advocate trying to save Nhulunbuy. She did not say a single word in this Chamber over the last four years and now she starts talking about the bush.

    You know the answer to this question, member for Nhulunbuy. We have made it very clear there are no additional increases to power and water apart from what we have said about our reduction from 30% to 20% and then an additional 5% next January and 5% the year after.

    I suggest what you do between now and the next parliamentary sittings is find some time to ask some questions that are really relevant rather than try to stir things up and scare people. You could ask about a road in your electorate, a school, housing, but no, you try to stir things up.

    Ms LAWRIE: A point of order, Madam Speaker! Standing Order 113: relevance. The question was about full cost recovery of power and water to people in the bush, not that nasty personal attack.

    Madam SPEAKER: Opposition Leader, thank you, you have called the point of order. Chief Minister, you have the call.

    Mr GILES: Madam Speaker, I go back to encouraging the member for Nhulunbuy to raise some serious issues in her electorate and we can talk about how to develop the Nhulunbuy region. We could talk about tourism development, economic development, how to create jobs, welfare reform ...

    Ms WALKER: A point of order, Madam Speaker! Standing Order 113: relevance. It was a very specific question and I ask that the Chief Minister takes it seriously and gives a serious answer, not a grandstanding effort.

    Mr ELFERINK: A point of order, Madam Speaker! The Chief Minister is free to answer the question as he sees fit. It is not up to the member for Nhulunbuy to dictate to him.

    Madam SPEAKER: Thank you Leader of Government Business. Please be seated. Chief Minister, you have the call.

    Mr GILES: The member for Nhulunbuy should come into this Chamber and talk about developing her electorate of Nhulunbuy because we are fully supportive of it. We do not hear a peep about economic development or jobs. For four years, from 2008 to 2012, was there ever mention of gas to Gove or the sustainability of Gove and PacAl or Rio Tinto ever raised by the member for Nhulunbuy? Never! You came in here after the election and started crying. I am sure we will try to fix it. We will do the work and …

    Ms Lawrie: Stop lying.

    Madam SPEAKER: Opposition Leader, please withdraw that comment.

    Ms LAWRIE: I withdraw lying.

    Mr GILES: This is the gutter politics the Opposition Leader likes to go to. She has to play the man; she cannot play the ball.

    The member for Nhulunbuy appears to be holding up a credit card, which is the only way Labor knows how to pay bills. Is that the $5.5bn credit card, member for Nhulunbuy?

    Ms LAWRIE: A point of order, Madam Speaker! I point out to the Chief Minister that is a power card which now lasts half the time it used to.

    Madam SPEAKER: There is no point of order. Be seated. Chief Minister, you have the call.

    Mr GILES: I am very mindful of what a power card in the bush is. That is why the Minister for Essential Services put the rebate back on to the power card and gave out free power cards when we reduced the cost of power. We continue to have a community service obligation to subsidise power in the bush to the tune of hundreds of millions of dollars. There are no increases above …

    Ms Walker: You are a shame to Indigenous people.

    Mr GILES: … what we have already spoken about. It is in concrete. I challenge you to stand up for your electorate of Nhulunbuy and talk about developing …

    Mr ELFERINK: A point of order, Madam Speaker! The member for Nhulunbuy just called out across the Chamber, ‘You are a shame to Indigenous people’. I ask that she withdraws that racial slur against the Chief Minister.

    Madam SPEAKER: Leader of Government Business, I did not hear that.

    Mr ELFERINK: I believe the Hansard record will bear it out, Madam Speaker.

    Madam SPEAKER: Leader of Government Business, if there was less noise in the Chamber I might be able to hear offensive comments from across the floor. Chief Minister, are you offended by that statement?

    Ms Anderson: Yes.

    Madam SPEAKER: Member for Namatjira, I was not speaking to you. Chief Minister, are you offended by the statement that has supposedly been made?

    Mr GILES: Madam Speaker, I am not offended by the statement. I am offended by the state of deterioration you will go to for this House and this Chamber.
    Budget 2013-14 - Responses

    Mr KURRUPUWU to TREASURER

    Budget 2013-14 has been well received. Can you advise the House of some of the responses?

    ANSWER

    Madam Speaker, I thank the member for Arafura for his question. He is obviously paying attention to what the community is saying about the budget.

    The most telling response came from Moody’s. They said in an announcement:
      The government’s ongoing efforts to improve the PWC and return it to a self-supporting status through increases in tariffs - although at a pace slower than that announced in the mini-budget - as well as efforts to improve expenditure controls through the creation of a Budget Monitoring Committee of Cabinet will be key to achieving fiscal improvements.
    That is what Moody’s said about our budget. We are on track to improve fiscal balance in the Northern Territory and that is really the aim of the budget. The other aim, of course, was to grow the economy.

    The Master Builders Association said in the newspaper yesterday that the budget was responsible and the $270m upgrade for new housing across the Territory would help a great deal. Mr Kemp said he was particularly pleased to see the $28.6m boost for land release, including at Palmerston east, and the $27m focus on affordable housing over the next four years.

    I pay tribute to my colleague, the Minister for Housing. He is doing a fantastic job in this area. We recognise the importance of housing in the Northern Territory.

    On ABC radio yesterday Toni Vine Bromley, from NT Shelter, said the investment we are talking about around potentially selling some public housing and reinvesting in more is certainly a welcome sign. Again, well done, Minister for Housing.

    The Law Society Northern Territory, which I did not believe would be a fan of ours, said in the paper it welcomed funding to build a stand-alone youth justice court in Darwin and increase the court’s capacity in Alice Springs. Well done to the Attorney-General for pushing through those reforms.

    We are keen on tourism. The Transport and Tourism Forum Acting Chief Executive, Trent Zimmerman, said the funding was vital for the Territory’s ongoing marketing efforts.

    He also said on ABC radio yesterday:
      The government’s commitment of an initial $7.5m for tourism marketing in the NT will take their total funding to $54.2m, helping it to develop targeted partnerships aimed at increasing international visitor numbers.

    We are getting ringing endorsements right around the community for our fiscal responsibility and for providing responsible action on the level of debt and spending the former Labor government was prepared to put the Territory into. It is a great budget welcomed by many.

    Madam SPEAKER: Minister, your time has expired.
    Mandatory Alcohol Rehabilitation Program

    Mr GUNNER to MINISTER for ALCOHOL REHABILITATION

    Your alcohol rehabilitation policy means $90 000 will be spent per problem drinker on a plan doctors and police say will not work. Your own member for Arnhem says it will not work. She says you are forcing her to decide between her people and her government. Why are you spending hundreds of millions of dollars over the next few years on the biggest revolving door the Territory has ever seen?

    ANSWER

    Madam Speaker, I thank the member for Fannie Bay for his question. Our mandatory alcohol rehabilitation program will cost us $35m in operational costs per year. When you divide that by the 800 people who will go through the door, it equates to just under $44 000 per person. The figure of $90 000 you quoted in your media release is incorrect. You cannot even divide $35m by 800. Let us get that clear as a starting point.

    Ms LAWRIE: A point of order, Madam Speaker! It goes to relevance. It is $45m expenditure and you have $10m in capital.

    Madam SPEAKER: That is not a point of order. Minister, you have the call.

    Mrs LAMBLEY: The member for Fannie Bay made a mistake in his question. This is where the opposition is coming from, factually incorrect information …

    Mr GUNNER: A point of order, Madam Speaker! Standing Order 113: relevance. The question was about the 480 drinkers and $45m in the first year, and the fact this is a revolving door that will not work.

    Madam SPEAKER: That is not a point of order. The minister is answering the question.

    Mrs LAMBLEY: Under the former Labor government people could go into protective custody for drunken behaviour every day of the year. To be taken into protective custody you have to be a potential harm to yourself or other people because of your drunkenness. We are saying after three protective custodies in two months enough is enough.

    These people clearly need help. Our mandatory alcohol rehabilitation will provide these people with an opportunity to change their lives within a health setting. It will provide them with medical attention, care, accommodation, food, and help to change their lives. Not only will individuals with alcohol problems be able to change their lives, their families and the community will have a break for 12 critical weeks. During that time, the person with the problem, the family, and the community can make some significant changes to their lives. They can make some good decisions about how they move forward.

    This is an extremely exciting initiative which this Country Liberal government has the initiative and courage to implement, despite the hideous criticisms of the opposition who cannot get their sums right. We are very proud to deliver something that has never been seen before, not only in the Northern Territory but in Australia. We believe this will work. We have great confidence in it and are very proud.
    Palmerston Hospital – Government Commitment

    Ms FINOCCHIARO to MINISTER for HEALTH

    Budget 2013-14 contains $5m for a scoping study and master plan for the greater Darwin region, and the Territory government’s current commitment to Palmerston hospital remains in the budget capital forward works program. Given this, can the minister outline the Giles government’s responsible plans for delivering Palmerston hospital?

    ANSWER

    Madam Speaker, I thank the member for Drysdale for her question. She has a steadfast commitment to a hospital in the Palmerston area, as does this government. We have never, at any point during the eight-and-a-half months of being in government, indicated to the community that our commitment to the Palmerston hospital has changed. Contrary to what you will hear from the opposition, who are scaremongering and peddling mistruths around the community saying we have changed our mind, we have not changed our mind.

    In the last eight-and-a-half months we have identified that the plans put in place by the former Labor government were inadequate. They were short-sighted and did not look to the long-term future health needs within the greater Darwin area. They looked at political expediency, a $110m budget - $70m from the feds, $40m from the Northern Territory government - that small packet of money and said, ‘What can we squeeze into that?’

    We are not going to do that. We are looking at the bigger picture. We have allocated $5m to do a proper scoping study to look at the future health needs of the greater Darwin area into the future - not 10, 15, or 20 years into the future, but 30, 40, 50 years into the future.

    We can see Darwin will grow into a huge metropolitan centre, much bigger than it is now; we have a very small population. We want to ensure the new hospital in Palmerston caters for the health needs well into the future. This scoping study will identify exactly what the Palmerston hospital will look like.

    The current site allocated for Palmerston hospital by the former government is restricted. We believe that site may not be suitable. We have to get this right. If we are going to put a large amount of money into making Palmerston hospital suit the needs of the greater Darwin area, we have to get the site right, the scope right, and ensure it is absolutely right.

    Madam Speaker, the former Labor government was short-sighted. We believe the new Palmerston hospital will be bigger and better than this short-sighted, small-minded former Labor government ever envisaged.
    Alcohol Mandatory Treatment

    Mr GUNNER to MINISTER for ALCOHOL REHABILITATION

    In Budget Paper No 3, page 169, only 480 problem drunks will receive mandatory treatment next year, and under your alcohol protection orders a banned drinker can still walk into a bottle shop and buy as much alcohol as they can afford. Why are you banning drinkers and letting them drink as much as they like? How will that rehabilitate them?

    ANSWER

    Madam Speaker, I thank the member for Fannie Bay. Once again, he has his figures a little skewed. We have committed to 200 beds in phase one of the implementation of this new mandatory alcohol treatment program. We will have 200 beds based in Darwin, Alice Springs, and Katherine as a starting point. We also have some existing beds in Gove which we hope to expand upon.

    The 200 beds of phase one equates to - when you look at a 12-week mandatory rehabilitation program - 800 people going through mandatory alcohol rehabilitation in the next 12 months from 1 July, not 480. I am unsure where the member for Fannie Bay is getting his figures from, but we will certainly get this program up and running by 1 July.

    Where the variation might occur is from day one where we will not have the 200 beds filled, but we intend to ensure they run at full capacity from the point at which people are identified as requiring rehabilitation ...

    Mr GUNNER: A point of order, Madam Speaker! Standing Order 113. Why are you banning drinkers and letting them drink as much as they like? How will that rehabilitate them?

    Madam SPEAKER: That is not a point of order. Minister, you have the call.

    Mrs LAMBLEY: That is very interesting question, member for Fannie Bay. Your Banned Drinker Register did exactly that. It pretended to ban drinkers, and people all over the Territory on the register were drinking as much as they wanted, being taken into protective custody time and time again for drunkenness. Your question is hideous; you just exposed yourself. The Banned Drinker Register did not work. We are looking at a broad range of alcohol reform strategies. We are not throwing our eggs into one basket. We are not saying supply is the only way to go.

    We are looking at this demand-driven strategy which is about mandatory alcohol rehabilitation across the Northern Territory. It has never been done before in the history of Australia. We are extremely excited about this initiative. It will make a difference to the individuals, the families, the community and the whole of the Northern Territory. The criticisms from the other side are simply because they did not think of it themselves.
    Alcohol Mandatory Treatment Bill

    Mr WOOD to CHIEF MINISTER

    Yesterday the Minister for Health introduced the Alcohol Mandatory Treatment Bill. This is a radical and controversial approach by your government in an attempt to turn people’s lives around who are seriously affected by alcohol, as well as reducing antisocial behaviour. As a matter of good governance and proper diligence, would you consider, before passing this bill at the next sittings, sending this bill to a committee of parliament to:

    (1) scrutinise the workings of the bill

    (2) inspect the facilities planned to house people affected

    (3) investigate other detention options

    (4) investigate mandatory rehabilitation practices elsewhere and their effectiveness

    (5) consult with those who work in alcohol rehabilitation in the Territory and interstate

    (6) consult the wider community, especially Aboriginal people

    (7) report back to parliament in four months with the findings?

    ANSWER

    Madam Speaker, I thank the member for Nelson for his good and sensible question. I will hand over to the Minister for Alcohol Rehabilitation in a second.

    Most of the things you have asked for have already been done, which is why it has taken a period of time for us to introduce this legislation. As part of the parliamentary legislative process there is a committee process before legislation is passed, and that part of the committee process will be undertaken in this regard.

    In reference to the last answer provided by the Minister for Alcohol Rehabilitation, I want to make one thing clear: we are here to try to help people who have an alcohol problem ...

    Ms Walker: You are here to criminalise drunkenness.

    Madam SPEAKER: Order!

    Mr GILES: It is not about criminalising drunkenness. Labor talks about criminalising drunkenness and people should have the right to drink, but then they want to put in supply side measures. There are people in the Northern Territory who have chronic alcohol abuse and substance misuse issues. We want to help people in that frame. It is …

    Mr WOOD: A point of order, Madam Speaker! Standing Order 113: relevance. The question was: would the government set up a committee of parliament, not just the one that looks at legislation but for all the things I mentioned. That is the answer I would like. If the minister then wants to go on with other things - I would like the parliament to have a committee which would look at this very serious subject and report back. It is too important to be rushed through without proper consultation.

    Mr GILES: Madam Speaker, this policy approach was put to a general election. There has been a change of government. There was widespread support for us. There will be a committee process as part of the legislative approach. When the legislation is introduced, a committee will look at it.

    I would now like to pass over to the Minister for Alcohol Rehabilitation who can answer some of the more detailed elements of your question.

    Ms FYLES: A point of order, Madam Speaker! Standing Order 113: relevance. The member for Nelson asked a specific question. He has not given a yes or no answer.

    Madam SPEAKER: Member for Nightcliff, you still need to have the call. Despite standing up, you still need to get the call from the Speaker.

    Ms FYLES: Sorry, I apologise.

    Mrs LAMBLEY: Madam Speaker, on the Monday afternoon before we presented this bill to parliament we made the legislation publicly available. People throughout the Northern Territory, whether they are members of parliament, drinkers or concerned residents, will have the opportunity to feed their comments through to the Department of Health until 31 May. It is a fairly tight window of opportunity, but we welcome feedback.

    This is a new initiative. As I said, it has never been done before. It is unprecedented in the Northern Territory and in Australia. We have already started to consult with stakeholder groups. The Department of Health met with NAAJA and CAALAS from Central Australia on Tuesday morning. We will continue to do that. We want their feedback.

    We are hearing their criticisms, many of which have been very constructive so far, and we look openly at amending some small aspects of this legislation. We do not necessarily think it is legislation that is not worthy of criticism and scrutiny, quite the opposite. Because it is so new and different we welcome feedback and your thoughts.
    Gas to Gove Pipeline

    Ms LEE to CHIEF MINISTER

    Can you please update the House on the gas to Gove pipeline project and how your government is delivering on investment in the region?

    ANSWER

    Madam Speaker, I thank the member for Arnhem for her question. Only nine months in parliament and you are already asking about the sustainability of Gove and the alumina refinery project. In four years the member for Nhulunbuy did not ask one question or raise it in parliament.

    This government is moving ahead with a core commitment to increase the size of the Northern Territory economy and diversify away from the one big project mindset, bringing real investment opportunity into the region.

    Ms Walker: I heard you did not support that.

    Mr GILES: The Pacific Aluminium operation at Gove supports not just the thousands of direct jobs.

    Ms Walker: I had that from a very reliable source.

    Mr GILES: Clearly the member for Nhulunbuy does not want to listen to the answer. She will not ask the question and does not want to hear the answer as I try to update the House on the project ...

    Ms Walker: I do not need to listen to you.

    Mr GILES: Well done, member for Nhulunbuy! You are becoming more and more irrelevant, not just racist.

    Ms LAWRIE: A point of order, Madam Speaker!

    Madam SPEAKER: Chief Minister, please withdraw that comment.

    Mr GILES: I withdraw. It is with that in mind we have offered up some certainty to the operators of Gove to invest in the new gas pipeline. That certainty is around our existing gas reserves and accessing that gas. The gas to Gove project is a major project for the Northern Territory. The supply of gas from the basin to Gove requires an estimated $1.25bn in capital investment, made up of approximately $500m for ENI Australia to upgrade their Blacktip facility to allow for flow of increased volumes of gas, $150m for the Gove alumina refinery to convert to gas, and $600m to construct a new 603 km pipeline to connect Gove to the existing NT Amadeus Gas Pipeline approximately 20 km south of Katherine.

    The Department of the Chief Minister is working with the companies to provide a coordinated response across the Northern Territory government and is facilitating the network of stakeholders by assisting to identify approvals, permits, licences and other regulatory approvals and processes necessary for the project. I note that a major milestone has been achieved with the release of a draft EIS, which is open for comment until 28 June.

    With the support of the Commonwealth this project should move into construction. They are currently undertaking a due diligence process with the final decision due later this year. My government recognises a strong working relationship with the Australian government is critical.

    In particular, I thank the federal minister, Gary Gray, for his hard and bipartisan approach with the shadow minister. Gary is providing substantial work to get this project to a point where we believe we can move forward.

    I hope an agreement will be reached soon between the Northern Territory and Australian governments to progress the project. This will be good news for the Arnhem region, and the people of Nhulunbuy will be pleased.

    It is still a challenge to get it across the line. There are many issues, but we are working extremely hard to ensure the sustainability and future of Gove. It has my Cabinet’s 100% focus and we are doing all we can for Gove.

    Budget 2013-14 - Child Protection Funding

    Ms FYLES to MINISTER for CHILDREN and FAMILIES

    You have cut child protection funding in your budget. Your budget papers show 6000 reports of child abuse will not be investigated next year. This is in Budget Paper No 3, page 254. which shows child protection reports increased to 10 000 yet investigations are down to 4000 - less than half. Only 40% of child abuse reports will be investigated under your government’s cuts. Why have you decided not to investigate 6000 child abuse reports?

    ANSWER

    Madam Speaker, I thank the member for Nightcliff for her question. She did not have an impact in this House with her motion last night. One of the things I said last night was she was a senior advisor to the former minister and is still reading off the script. She should be speaking off the cuff on this issue. Member for Nightcliff, shame on you!

    Ms LAWRIE: A point of order, Madam Speaker! Standing Order 113: relevance. Answer the question rather than making a personal attack on the member for Nightcliff.

    Madam SPEAKER: Thank you, Opposition Leader. Minister, you have the call.

    Ms ANDERSON: It is so good to be in government and see you popping up every five minutes, Leader of the Opposition. You no longer have the power in this House. Territorians voted on 25 August, across the whole of the Northern Territory, to put you on the other side, and it is a fantastic result.

    Ms FYLES: A point of order, Madam Speaker! Relevance, 113. Why will 6000 child abuse reports go un-investigated?

    Madam SPEAKER: Minister, you have the call.

    Ms Walker:: Come on, King Brown, answer that one.

    Ms ANDERSON: Absolutely beautiful.

    Madam SPEAKER: Member for Nhulunbuy, withdraw that comment please.

    Ms WALKER: I withdraw.

    Ms ANDERSON: Madam Speaker, I am not offended by that.

    Yesterday’s media releases and the figures used from OCF added $9m. You should understand us. We moved youth justice and Women’s Policy out of OCF.

    You are not reading your budget papers properly, member for Nightcliff. You need to come to the hard knocks on this side of the County Liberal Party where they can teach you to read the budget papers. Thank you, Madam Speaker.

    Ms LAWRIE: A point of order, Madam Speaker!

    Madam SPEAKER: I believe the minister has finished.

    Ms LAWRIE: She did not answer the question about 6000 cases going un-investigated.

    Madam SPEAKER: There is no point of order.
    Budget 2013-14 - Tourism Initiatives

    Mr HIGGINS to MINISTER for TOURISM and MAJOR EVENTS

    Tourism plays a vital part in the Territory’s economy but was neglected by the former incompetent Treasurer who failed to take responsible action when the industry was facing numerous challenges. Can the minister outline what initiatives in Budget 2013-14 address this neglect and ensure our valuable tourism industry flourishes?

    ANSWER

    Madam Speaker, tourism is such an exciting part of government to be involved in. While it is a great role in government, it is very difficult at the moment because of the enormous problems we have inherited in tourism. We have been left with an industry that has been haemorrhaging for the last 10 years, acutely over the last 5 years.

    The government has demonstrated its commitment. We came to the election promising this would be one of the pillars of the Northern Territory economy, and we are determined to grow it. We have done that with an extra $8m in Budget 2013-14 towards tourism. We have made the responsible decisions that acknowledge the tourism industry’s importance in growing the economy and reducing government debt. That debt will grow, if we continue current spending, to $5.5bn.

    There are a number of areas we will target, one being marketing. The bulk of this important extra money will be used to address serious declines in international visitation. It is a very important part of our tourism story which has been declining over the last 10 years, acutely over the last 5 years.
    We have doubled international marketing. In fact, it has more than doubled; we have gone from $7m to $15m to address international marketing deficiencies in the Northern Territory’s tourism story.

    As we know, the Northern Territory is the best product in the world, right up there with anything else you will see whether it be the Amazon or the pyramids. Wherever you are, the Northern Territory is right up there. It is as good, if not better.

    The international market wants to know how to get here and what the Territory has to offer. We have marketing partnerships with airlines - aviation capacity into the Northern Territory is vital – and online travel agents and traditional trade partners around the world to boost bookings and drive that traffic to the Northern Territory.

    We will be building on our traditional markets such as the United Kingdom, the United States and Europe. We have very strong partnerships with those three jurisdictions Of course, we will also be tapping into that sleeping giant, China. We are ensuring we get a slice of that huge, growing Chinese market.

    Importantly as well, we are commencing a digital advertising campaign in each of these international markets. We cannot ignore the social media side of international marketing. The whole face of tourism has changed and the digital marketing campaign is critical to ensuring we get our fair share of international visitation. One area we are really focusing on is allowing us to work closely with tour operators across the Northern Territory to assist them with their individual digital marketing campaigns.

    There is much to say on this, and I have a 40 minute budget reply speech coming up this afternoon which highlights some of the details of what we are doing in an area which was in decline for so long under the former Labor government.

    Madam SPEAKER: Minister, your time has expired.
    Budget 2013-14 - Centre for
    Disease Control

    Ms FYLES to MINISTER for CHILDREN and FAMILIES

    The latest report from the Centre for Disease Control shows there were 841 sexually transmitted infection notifications in just six months in kids aged between 15 and 19. Around 90% of them were Indigenous and two-thirds of them girls. Your budget cuts funding to the Centre for Disease Control by $8m. You are cutting STI treatments at Clinic 34 from $14 000 to $12 000. Why are you cutting funding to prevent young Indigenous girls from contracting STIs?

    ANSWER

    Madam Speaker, the member for Nightcliff still does not know. This was Commonwealth funding. We did not cut funding to that area at all. As I said, she was a senior advisor to the former minister. What is she up to? She does not even know the area properly. This is your core business and you should know that. This was one-off funding. Talk to your mates in Canberra.

    I welcome the question, but this is core business and you need to know that ...

    Ms FYLES: A point of order, Madam Speaker! Relevance, 113. Why are you cutting funding to prevent young Indigenous girls from contracting STIs?

    Madam SPEAKER: Minister, you have the call.

    Ms ANDERSON: Madam Speaker I just explained to the House we are not cutting the money. This was Commonwealth money and you need to talk to your colleagues in Canberra. This was your core business for 10 years. You mob have done nothing. As I said in the House last night, this member holds a paper on child protection, and reads. You were paid so much money to understand this portfolio. I am appalled at the way you read from a paper. Your core business for 10 years - you have done nothing. We inherited this agency, which was an absolute mess. Out-of-home care up …

    Mr McCARTHY: A point of order, Madam Speaker! Standing Order 113, since Adam was a boy, has been used to direct the minister to relevance.

    Madam SPEAKER: Minister, you have the call. The minister is answering the question.

    Ms ANDERSON: Madam Speaker, the Chief Minister is a hands-on Chief Minister; he knows OCF after eight-and-a-half months. The former minister was a hands-on minister who knew everything about OCF and comes from a social work background. We have a minister who has been in for four months - a hands-on Chief Minister. We know the core business of OCF, unlike you, who for 10 years did nothing, and do not understand the budget. You have no idea, member for Nightcliff.

    Budget 2013-14 –
    Regional Economic Development

    Mrs PRICE to MINISTER for REGIONAL DEVELOPMENT

    The Giles government is committed to improving economic opportunities in our small and remote communities. Can you inform the House on how Budget 2013-14 will help achieve this?

    ANSWER

    Madam Speaker, I thank the member for Stuart for this question because we on this side of the House are concerned about all the regions. As the Chief Minister said at the beginning of this government, we are a government which will look after all Territorians, not just Territorians in Darwin, Katherine, Tennant Creek and Alice Springs, but even the regional and remote Territory. We are sincere and will grow the Territory in a way you never saw in the 10 years you were in power. You forgot about the people, and that is why you are sitting on the other side.

    I thank the Treasurer and this government for a responsible budget which shows we need to move all Territorians forward socially and economically.

    This is a responsible government and this is a responsible budget. I will go through what this government has given to regional and remote Territorians.

    The budget provides investment to broaden the Territory’s economic development in the regions, including spending $3.69m …

    Ms LAWRIE: A point of order, Madam Speaker! I ask the minister to table her notes.

    Madam SPEAKER: What is your standing order?

    Ms LAWRIE: The standing order regarding tabling of notes.

    Madam SPEAKER: Minister, are you prepared to table the notes or are they private notes?

    Ms ANDERSON: Madam Speaker, these are private notes.

    Madam SPEAKER: Thank you. Continue, minister.

    Ms ANDERSON: Thank you Madam Speaker …

    Ms LAWRIE: A point of order, Madam Speaker! Standing Order 113: relevance. She says you should not have to read from notes if it is your core business ...

    Madam SPEAKER: Opposition Leader, sit down. It is not a point of order.

    Ms ANDERSON: Madam Speaker, I am reading figures. There is $3.69m to support regional tourism, which is wonderful; $3.28m to support the development of the pastoral and agriculture industry; $1.7m to provide new geoscience data and promote investment; and $1.5m to support mineral and petroleum exploration. This is real money and real jobs in the Northern Territory by a conservative government, unlike you who did nothing to grow the Territory.

    Treasurer, I thank you again for a responsible budget. We are a responsible government focused on the whole of the Northern Territory, unlike you. That is why you are sitting on the other side. How embarrassing! It is wonderful to see you sitting across the other side, because you guys are a disgrace.

    Ms WALKER: A point of order, Madam Speaker! Yesterday you directed members of the House not to point across the Chamber, or at anybody for that matter. I ask you to remind the member for Namatjira of that.

    Madam SPEAKER: Minister, you have the call. Please direct your comments through the Chair.

    Ms ANDERSON: Madam Speaker, I did not point across the other side. I was not pointing.

    Madam SPEAKER: Minister, continue.

    Ms ANDERSON: Madam Speaker, there is $68.1m in partnership funding for remote Indigenous housing. How wonderful is that? I repeat that figure - $68.1m in partnership funding for remote Indigenous housing, unlike what you did. They are 16 bedrooms down in Milingimbi. You should be ashamed of yourselves.

    I take this opportunity to thank the Chief Minister for coming with me to launch the homelands policy at GanGan. We saw the member for Nhulunbuy in the audience …

    Madam SPEAKER: Minister, your time has expired.
    Tiger Brennan Drive Duplication -
    NT Government Funding

    Mr WOOD to MINISTER for INFRASTRUCTURE

    The Treasurer’s said the Northern Territory government would include $16m of the Territory’s $33m contribution to the duplication of Tiger Brennan Drive from Berrimah to Darwin City. Can you say when this project will start and if the road widening will include land set aside for a rail corridor and a cycle path?

    ANSWER

    Madam Speaker, I thank the member for Nelson for the question. The issue in relation to the widening of Tiger Brennan - we have been fortunate in the federal budget to receive some money, and there will be ongoing negotiations in relation to when that will be completed.

    We have a considerable amount of money put aside to do a lot of road work around Tiger Brennan Drive, and there is some future planning. In relation to your question on rail and transport corridors, we have introduced the Planning Commission and there is about $9m put aside for the responsible planning that needs to be done and was not done in the past.

    The project development of the Tiger Brennan Drive duplication between Berrimah Road and the Darwin CBD, excluding the section from Dinah Beach Road to Woolner Road, is under way.

    A consultant commission for the concept design was advertised in April 2013 and closes on 22 May 2013. The concept design commission should be awarded in June 2013, and the concept design should be finalised by August 2013.

    Member for Nelson, the detailed design should commence in September 2013, and the tender documentation should be prepared by June 2014, ready for the project to be advertised in the 2014-15 financial year when Australian government funding becomes available.

    We were pleased to see funding put aside in the federal budget, irrespective of the other failings of the federal budget delivered recently. We would be very pleased to continue with these projects, however, money is always an issue when you are faced with such a huge debt.

    Mr Wood: Leaving the corridor, that is all …

    Mr STYLES: Well, of course ...

    Mr Tollner: Tell us how much Delia’s debt was?

    Mr STYLES: It is about $5.5bn so, member for Nelson, when we look at infrastructure and the things we want to do with infrastructure in the Territory - we would love to do many things. I hear the requests you have for things in your electorate, and there is money being spent in your electorate. We discussed the other night that there was a substantial spend in your electorate, but it still boils down to the fact we are held back by this enormous debt burden, a $5.5bn …

    Madam SPEAKER: Minister, your time has expired.
    Budget 2013-2014 - Infrastructure

    Mr McCARTHY to MINISTER for INFRASTRUCTURE

    Thank you, minister, for the acknowledgment of the Australian Labor government and the money secured by the former Labor Treasurer.

    Mr ELFERINK: A point of order, Madam Speaker! Standing Order 112, the question shall not contain ironical expressions or epithets. That question should be ruled out of order.

    Madam SPEAKER: No, there is no point of order.

    Mr McCARTHY: Minister, you have cut the infrastructure budget and broken your promises on roads to Wadeye, the Daly, and roads in the Tiwis. You have cut the Power and Water infrastructure budget by $20m. Budget Paper No 4, page 1 says:
      … total infrastructure payments are expected to be $64 million less than 2012-13 and will continue to decrease over the forward estimates ...

    Why have you not listened to the middle-level contractor and subcontractor who advise government on the importance of maintaining an infrastructure budget in the Territory to make the countercyclical strategy you have adopted work?

    ANSWER

    Madam Speaker, I thank the member for Barkly for his question. The first thing we need to look at is that we have to put up a responsible budget. We have been left with a $5.5bn debt. A responsible government needs to look very carefully at how it does it.

    I am pleased the Minister for Health has invested an extra $40m in Health, and I thank my Cabinet colleagues for making that available. I asked the Minister for Health if she would invest more money into hearing clinics. I recommend to the Leader of the Opposition and members opposite that they visit the clinic because the alarm bells have been ringing for a long time …

    Mr McCARTHY: A point of order, Madam Speaker! Standing Order 113: relevance. We are talking about a reduction of $64m and why you are not listening to Territory subcontractors and contractors at that middle level, minister.

    Madam SPEAKER: Minister, latitude is available, but please continue.

    Mr STYLES: Thank you, Madam Speaker. I wonder where you get $64m from.

    Mr McCARTHY: A point of order, Madam Speaker! Can I say, …

    Madam SPEAKER: What is the standing order number, member for Barkly?

    Mr McCARTHY: … to answer the minister’s question …

    Madam SPEAKER: No, member for Barkly, what is your standing order number?

    Mr McCARTHY: Standing Order 113. To answer the minister’s question …

    Madam SPEAKER: There is no point of order.

    Mr STYLES: Madam Speaker, alarm bells have been ringing for a long time and the members opposite, when in government, were not listening. Perhaps they would like to look at Economics 101. When you start spending …

    Ms LAWRIE: A point of order, Madam Speaker! Standing Order 113: relevance. He is not even remotely answering the question.

    Madam SPEAKER: There is no point of order.

    Ms LAWRIE: It was specifically to the $64m cut in infrastructure.

    Madam SPEAKER: There is no point of order, be seated. The minister has time to answer.

    Mr STYLES: I am trying to but the constant interjections make it difficult to give an answer. There are a few ways you can fix the mess we have been handed. You can increase taxes, reduce services, or you can have a combination of the two. The other way is through economic development.

    What they do not understand is when you get into debt, at some stage you have to pay it back. There is a thing called pay back, yet we see the former ALP credit card has billions of dollars sitting on it. We chose to go down the economic development path to fix the mess. This strategy will create jobs and economic development for the Territory. You spin off more tax dollars through the increased activity and extra jobs created. That is how to fix the problem we were handed. It is a complete and utter mess …

    Ms Lawrie: You have lost 3600 jobs.

    Mr STYLES: The interjections from the former Treasurer - she created this problem and now wants to say, ‘It is not our fault’. Yesterday the former minister for Infrastructure, who handed us a huge problem, said, ‘Well, mate, you have to fix it’. We are fixing the mess you left us. Private enterprise will take up the slack because we are into economic development. We are open for business. We will create the economic development to assist these people - the small tradies and small- to medium-sized enterprises - to get going in the Territory. You should have been planning before you lost government. This should have been planned two years ago.

    Madam SPEAKER: Minister, your time has expired.
    Power and Water Corporation -
    Commercially Sustainable

    Ms FINOCCHIARO to TREASURER

    On local radio yesterday, the Opposition Leader said it was a crock that Power and Water should have to be a commercially sustainable business. Rather, it should only be concerned with keeping the lights on, water running and the sewerage operating. Would you inform the House why this is not the case?

    Ms LAWRIE: A point of order, Madam Speaker! Quote me accurately rather than paraphrasing me.

    Madam SPEAKER: That is not a point of order.

    ANSWER

    Madam Speaker, I thank the member for Drysdale for this important question. I was watching the Opposition Leader nodding her head because she described it as a crock that Power and Water should have to be a commercially sustainable organisation.

    Ms Lawrie: Exactly, because the population is too small.

    Madam SPEAKER: Order!

    Mr TOLLNER: She affirms it again, and says it should not have to be commercially sustainable. That is the attitude she took to the Treasury position. Stuff commercial sustainability! We have a credit card; we will book it all up. There is a thing called the WACC. Anyone in business understands what the WACC is the weighted average cost of capital. The WACC for the Power and Water Corporation is 6.8%. The weighted average cost of capital - another term is normal profit - is what it costs the company to break even. Power and Water needs a return on its assets of 6.8% to break even. On coming into government, the return on assets for the Power and Water Corporation was sitting at around 1%. It was below zero for a substantial time throughout the Opposition Leader’s term as the shareholding minister.

    On coming into government, we immediately put in place tariff increases. The Chief Minister outlined earlier what they were. We have made a little reduction and delayed some of the increases. However, this only increased the return to somewhere around 3%. We are still losing money.

    The Opposition Leader believes in magic puddings. She believes you pull money out of nowhere and government should keep putting money in. The point is, the money government puts in is taxpayers’ money. This is costing people in our community in lost services, lost health, lost education and fewer tourists arriving. This is drongo economics …

    Mr McCARTHY: A point of order, Madam Speaker! Standing Order 62: unbecoming words.

    Madam SPEAKER: There is no point of order. Minister, you have the call.

    Mr TOLLNER: For the former Treasurer to suggest it is a crock that Power and Water needs to be sustainable is a reflection of her tenure as Treasurer. She left us in $5.5bn worth of debt and $1.1m per day in lost interest repayments, and she believes that is a good thing.

    Madam SPEAKER: Minister, your time has expired.

    Mr ELFERINK (Leader of Government Business): I ask that further questions be placed on the Written Question Paper.
    Last updated: 09 Aug 2016