2008-05-07
Back to School Bonus
Mr MILLS to TREASURER
Today I announced that we would support Territory parents by expanding the Back to School Bonus from $50 to $75. Will you support this positive initiative to help Territory families?
ANSWER
Madam Speaker, I thank the Leader of the Opposition for his question. The Back to School Bonus, Labor government’s initiative, was very widely endorsed by parents right across the Territory, with the $50 voucher helping them to meet those initial set-up costs of getting kids started at the commencement of the school year. Coupled with the government’s initiative of wearing school uniforms, I believe the $50 bonus was very timely.
I thank the Leader of the Opposition for picking up on the Labor government initiatives. In looking through it, I wonder how he would look at costing some of those commitments in his budget response, because what we saw today was recycled ideas from a recycled leader. A bit of a cut-and-paste policy approach to his budget response. The only way he could point out that he was going to actually provide any funding for these promises was to axe public service jobs.
Madam Speaker, this government is not about sacking public servants; we are about putting appropriate resources into our education system to support and improve education right across the Territory.
Budget 2008-09 – Reaction by Community
Ms SACILOTTO to TREASURER
Can you outline to the House the reaction to yesterday’s budget?
ANSWER
Madam Speaker, I thank the member for Port Darwin for her question. She was at the Chamber of Commerce lunch yesterday when I was able to present the government’s budget and, also this morning, at the Property Council breakfast. She is absolutely engaged with the business community, as you would expect from the member for Port Darwin.
There has been plenty of positive feedback from the community, particularly in relation to our tax cuts. Graham Kemp from the Territory Construction Association, who is a terrific advocate for his industry and his members, said: ‘It is very good news considering there was stamp duty reform in the 2007 budget’. He went on to say: ‘It will help young investors …’ And: ‘There are wins for everyone across the board’.
At yesterday’s Chamber of Commerce lunch, which the Leader of the Opposition was too busy to attend, the budget received a very positive response. Chris Young, the CEO of the Chamber, has a sound understanding of what drives Territory business and what is required for our economy to continue to grow. Chris pointed out that, while no business likes paying payroll tax, the savings from our cuts would help business. He said: ‘For smaller businesses paying payroll tax, the extra amount really helps’. Ryan O’Hanlon from the Real Estate Institute said the stamp duty cuts would be a boost to industry. Of course, Ryan mentioned that he would like to see stamp duty completely removed, but he did say that the cuts were ‘a wonderful step in the right direction’.
This morning at the Property Council breakfast, their president, Allan Garraway said that the property council ‘has advocated for stamp duty reform and I congratulate the Treasurer on her initiative to reduce stamp duty on property transactions’. Allan went on to say:
- Growing and retaining our population in the longer term requires the sustained focus on employment growth and continued effort to ensure that the Northern Territory is a great place to live, raise and educate your family.
Well, we could not agree more. Budget 2008-09 delivers for Territory families and it helps ensure that the Territory does remain the best place to live, work and raise a family. However, as member for Karama, I was particularly pleased to see in the newspaper today that young couple from Karama who said they were wanting to enter the property market, and were looking at the improved HomeNorth scheme. They said the changes would ‘definitely make it easier’.
So, it was not just tax cuts and it was not just in Darwin. The budget has received a positive response from much further afield. Allan Cooney from the Aboriginal horticulture company, Centrefarm, said he was pleased with the budget commitment to build a $4m access road at Pine Hill. He said the project:
- … means the same thing to Pine Hill will be as it does to the other horticultural blocks that are off the Stuart Highway. It actually gives access to the highway which is not currently available.
I will finish up on the reaction to the budget with 8HA in Alice Springs. I did some media there today and they were rating the budget as a seven out of 10.
Proposed CLP Initiative - Treasurer’s Support
Mr MILLS to TREASURER
Today, I announced that the Country Liberal Party will assist Territory families by introducing a parents’ sports for life voucher of $75 to help fight the scourge of childhood obesity. Will you support this initiative?
ANSWER
Madam Speaker, I thank the Leader of the Opposition for his question. Certainly, the government embraces the fact that the Leader of the Opposition is picking up the idea that sport for life is a theme, because it is this government that has a record development program bringing elite sports into the Territory, as well as funding into our grassroots areas. The Minister for Sport and Recreation has to be one of the most passionate Ministers for Sport and Recreation that I have ever witnessed in the Territory. The Sport and Youth interim committee is debating in the Chamber later on this week their ideas around sport and recreation in the Territory.
The Leader of the Opposition has his voucher system going. I believe he has costed that one at $2.175m. If he wants to sack public servants to pay for the voucher system, I am sorry, I cannot be endorsing that approach.
Budget 2008-09 – Costing and Funding
Mr BURKE to TREASURER
Why is it so important that Budget 2008-09 is fully costed and funded?
ANSWER
Madam Speaker, I thank the member for Brennan for his question because it is, fundamentally, a very important question. When you look at budgets, of course you have to understand how they are costed and how they will be funded if you want to ensure that you are not participating in what would be irresponsible financial management. That would be the biggest possible threat to our strong economy.
What we saw today from the Leader of the Opposition was, fundamentally, irresponsible financial management. We had the recycled ideas from a recycled leader with the cut-and-paste policy, picking up on ideas from the Prime Minister, the Territory government and from the former Leader of the Opposition which, of course, is just a recycling of what we had before.
My concern is that, not only did he knife the member for Araluen because he wanted a fresh approach, he then went ahead and recycled her ideas. I guess the greatest concern …
Mrs Miller: This is not a drama lesson, this is supposed to be fact.
Madam SPEAKER: Order!
Ms Lawrie: It is fact.
Members interjecting.
Madam SPEAKER: Order!
Ms LAWRIE: Madam Speaker, his reply was both uncosted and unfunded. Fundamentally, he is unbelievable. The only fact that we have in terms of any savings he has identified is that he will sack public servants and find savings of $50m.
By his own figures on Glyde Point alone, he is already providing a $470m black hole. The $30m that the Leader of the Opposition claimed he would provide for Glyde Point infrastructure, on today’s figures, would not even deliver you a road out there ...
Mr Mills: You had better look where you got your figures from. You did not get them from Treasury; you made them up.
Madam SPEAKER: Order!
Ms LAWRIE: Madam Speaker, the Leader of the Opposition may well have made his figures up, but I can guarantee you that we have costings on infrastructure …
Mr Mills: Okay, that is a guarantee.
Ms LAWRIE: I do not make figures up like the Leader of the Opposition has, obviously, in his promises for Glyde Point. $30m would not even get you the road and the bridge over the Howard River you would need to get out there.
The Leader of the Opposition today has shown that not only would he deliver a $470m black hole with his Glyde Point promise, but that he truly is an economic vandal and cannot be trusted with the Territory economy.
Budget 2008-09 – Nelson Electorate
Mr WOOD to TREASURER
In the budget, you gave $5.2m to upgrade, again, Leanyer Recreation Lake, yet not a cent to go to the Howard Springs Reserve to make it suitable for swimming as it once was. You announced record infrastructure spending of $870m, yet not one cent for the cycle path you promised from Palmerston to Howard Springs. You announced $16.6m to underground power in the northern suburbs, but not a razoo to upgrade water lines in the rural area. Why? Are rural residents in Nelson not entitled to a portion of your $300m GST windfall, or do they not count?
ANSWER
Madam Speaker, I thank the member for Nelson for his question. I make absolutely no apology for the $5m for the new water slide, the new shade areas, the extra slides and equipment, and also the new office accommodation block at Leanyer Recreation Park so that the kiosk area can be opened up and actually get a functioning caf there.
I invite the member for Nelson to get to Leanyer Recreation Park. It is in his electorate, so he may as well go. When you go to Leanyer Recreation Park, and ask people: ‘Hi, where are you from?’, an amazing amount of people tell me: ‘I am from …’, and they all mention the rural area ...
Mr Wood: Because they cannot swim at Howard Springs any more.
Members interjecting.
Madam SPEAKER: Order!
Ms LAWRIE: There are also people from Darwin, from all through the suburbs. Anyone who has any idea of water parks and their location - we can compare regional cities, say, in Queensland. The distance people travel from the rural area to the water park is a natural distance that people travel to get to a water park.
The Howard Springs Nature Reserve is a beautiful, pristine nature reserve. If the member for Nelson is suggesting that we turn that into a recreation water park …
Mr Wood: I did not suggest. Put it back to what it was. Do not twist the truth.
Madam SPEAKER: Order!
Ms LAWRIE: … like Leanyer Recreation Park, I would like to find out the public consultation process that he has undertaken in terms of that suggestion, because …
Mr Wood interjecting.
Madam SPEAKER: Member for Nelson, cease interjecting!
Ms LAWRIE: … I query whether people who enjoy the nature reserve of Howard Springs …
Mr Mills: This is appalling.
Members interjecting.
Madam SPEAKER: Order!
Ms LAWRIE: … would find an urban recreation park compatible with that.
Budget 2008-09 – Major Projects
Ms McCARTHY to CHIEF MINISTER
How does Budget 2008-09 help attract more major projects to the Territory?
ANSWER
Madam Speaker, I thank the member for Arnhem for her question. The budget delivers for Territory families, as we have been saying, and it also delivers for the economy. One of the drivers of the economy, obviously, is large-scale projects that not only deliver millions of dollars worth of investment into the Northern Territory, create thousands of jobs but, by their very presence, the spin-off is confidence for people to invest in other sectors of the economy.
We have committed a record spend for infrastructure in this budget - $870m to be spent right across this great Northern Territory of ours, providing infrastructure incentives needed to get people to invest here. A small example, in the member for Stuart’s electorate, is with roads to open up horticulture investment. That is going ahead. That investment, and those jobs, would not occur without government investment in that fundamental infrastructure.
Darwin Port: $59.5m for East Arm port this year; $35m for an overland conveyor; $24.5m for reclamation at East Darwin Wharf; and hard stand to expand the port. What this infrastructure is doing is opening up investment opportunities in the mining sector in Central Australia because, now, that infrastructure is in place to get products on to the wharves and the ships for export, directly generating investment income in the mining sector. This translates as jobs for people in Central Australia, even though the money is actually being spent on the wharf in the Top End.
As for roads, there will $270m-worth of funding right across the Northern Territory. As far as mining goes, for the Bringing Forward Discovery initiative, there is a further $5.5m for the program. This is about assisting mining companies, junior explorers to actually target their exploration activity in the Northern Territory. Compare what we are doing now in the Northern Territory with when we came to office in 2001. At that time, there were over 900 applications for exploration licences sitting on the CLP minister’s desk that were unprocessed - over 900 of them, because of a political football called native title. That stymied investment in the Northern Territory for many years. We have worked hard to clear that backlog.
Ongoing projects that will support engineering activity in the Northern Territory include the Montara, Skua and Swift oil field developments in the Timor Sea. There are companies in Darwin now winning significant contracts for supporting those drilling exploration activities. There is the Blacktip gas field in the Joseph Bonaparte Gulf. The pipeline will be built this Dry Season - again, significant jobs for Territorians. If we look at what GEMCO is doing in processing an expansion on Groote Eylandt - confidence to invest, confidence to export, and jobs for Territorians.
It was great to be at the Darwin Convention Centre on Friday for the International Grocers Association’s first meeting. It was a low-key event to kick the convention centre off, but still fabulous. The spin-off that will come in additional investment in the Territory through businesses and convention groups coming here and seeing investment opportunities, we cannot quantify.
These are all great projects that lead to confidence to invest in the Northern Territory and jobs for Territorians. I would like to add one more to that list; that is, the $12bn INPEX project. If we can secure that project from Western Australia, not only will there be a direct investment of over $12bn for our economy, and we stand to have at least 4000 jobs for four to five years off the construction phase, but what we get is further certainty for investment right across the economies of the Northern Territory over many years ahead.
We want Darwin to be Australia’s second international gas hub. I can assure Territorians, we can have both. We can have $12bn worth of investment and we can protect our marine environments in our harbour. We can walk and chew gum. We can have both - unlike the environmental and economic vandal who sits opposite who would say to INPEX: ‘Off you go to Western Australia. Western Australia can have the jobs. Western Australia can have the investment. Western Australia can have the economic flows into the future’. He would also destroy Glyde Point regarding its fragile environment and ecosystems.
Madam Speaker, we can have both. This is a government that has a vision for the Northern Territory, has confidence in the Northern Territory, believes that we can have investment development and protect our environment as opposed to the economic vandal who sits opposite.
Budget 2008-09 – Fiscal Management
Mr MILLS to TREASURER
Treasurer, you speak about the importance of prudent fiscal management. You just produced a budget, in fact, that missed its target by more than $300m. How is that prudent financial management?
ANSWER
Madam Speaker, I welcome the Leader of the Opposition’s question …
Mr Mills: Have a look at the figures. You got a windfall, unexpected, and you spent it.
Madam SPEAKER: Order!
Ms LAWRIE: He continues to be …
Mrs Miller: There is an election.
Madam SPEAKER: Order, opposition members!
Ms LAWRIE: He continues to be fairly confused about the Budget Papers and the process of the budget, and the relationship with funding that comes through from the Commonwealth government into the Northern Territory. I make no apology for the fact that we are seeing increasing Commonwealth revenue into the Territory budget. However, rather than do what the Leader of the Opposition has been saying we should be doing, which is just stockpiling the surplus, we are actually spending the funding into core services that, I believe, Territorians really do want such as education, police and health - fundamental services. Also, because we are, obviously, going through a strong economic growth period, we are ensuring that the additional revenue coming into the budget papers is in and around delivering key infrastructure.
We heard the Chief Minister talk about one aspect of that key infrastructure, one that I have been very closely involved with in its development phase, which is the Darwin Port. We will put extra conveyor belts in there, increase the land reclamation and put a new hard stand in at the port to cater to the increased activity, because that is a significant economic driver for the Territory. The activity that we have going across our port in exports …
Mr MILLS: A point of order, Madam Speaker! The minister is straying a long way from the point - a long way from the point.
Madam SPEAKER: Leader of the Opposition, as you are aware, there is a fair bit of latitude in the asking and answering of questions. The Treasurer has the call.
Ms LAWRIE: Madam Speaker, I am clearly responding to the Leader of the Opposition’s question by explaining that, with increased revenue, you look at the opportunities and the priorities for spending that increased revenue. The opportunities that we chose as a government …
Mr Mills: In an election year.
Ms LAWRIE: He is choosing his own opportunities. He is choosing to waste $30m on infrastructure at Glyde Point, which is a beautiful environment. However with the $30m, I wonder what it is going to get you, because it will not even get you the road out there.
He can waste opportunities in that way, but the Northern Territory government made decisions to fund into core services of education, health and police. We made the decision, fundamentally, that while we have got strong economic growth, we turn a lot of the investment back into infrastructure that will help be an economic driver and contributor to sustaining economic growth. That is important. That is the fundamental approach that we have taken in the budget, delivering benefits for Territory families through those core services but, also, investing in the Territory’s future.
Budget 2008-09 - Territory Business
Ms SACILOTTO to MINISTER for BUSINESS and ECONOMIC DEVELOPMENT
Budget 2008-09 delivers for Territory families. What is Budget 2008-09 doing for Territory businesses?
ANSWER
Madam Speaker, I thank the member for Port Darwin for her question. Yes, it is true, Budget 2008-09 delivers for families and delivers for business. Our budget does the four fundamental things that business needs: cuts taxes, reduces red tape, spends up big on infrastructure, and invests in those things that business needs to expand and grow.
The reduction in payroll tax fulfils our 2005 election commitment. It means there will be more jobs for Territorians, more jobs for business. The reduction in stamp duty is also welcomed by businesses. The reduction applies to commercial as well as residential transactions. Most importantly, these reductions will put more money into Territorians’ pockets so they will spend on necessities for their families that they need.
Budget 2008-09 ensures that the Territory remains the lowest-taxing jurisdiction in Australia for small to medium businesses up to 100 staff. The budget also provides a record infrastructure spend of $870m. I recall when we first came to government and we were fighting in Cabinet, over where we were going to get the money to mow the grass on the side of the Stuart Highway, because I had $6m for repairs and maintenance and it was spent by October. There was $100 000 left and I still had nine months to go. We had big fights with my colleague, the Minister for Health, over who would get some of the spoils so we could deliver for Territorians. We have delivered $4.3bn since we came to government - a significant amount of money.
Madam Speaker, my department, DBERD, receives $26.7m from the budget. It provides all the essential services to business. It will provide Territory Business Centres, business information and licensing services, business growth, seminars, and October Business Month. We will provide $300 000 for the regional economic development fund; $600 000 for the Indigenous Business Development Grant program; continue the original Economic Development Committee - member for Katherine, very important for you - with an extra $300 000 to support the committees; $300 000 for Industry Development Grants to support Territory businesses; $1.2m to support peak industry bodies; $250 000 to promote and profile the Territory Defence industry to Defence contractors; and a new initiative of $150 000 to expand the business skill migration settlement program to Central Australia. In Central Australia, the new mines need steel workers, and we are putting the money in place in Alice Springs to assist Central Australia to get the skilled workers from wherever we can.
The government will also fund $350 000 to support business innovation in the Territory, including ongoing grant programs. My Land Development Corporation receives $2.2m to continue the fantastic job they are doing at the Darwin Business Park, to develop strategic industrial land. Also, $1m for Desert Knowledge Australia and Desert Knowledge CRC has been secured from this year’s budget.
Madam Speaker, as you can see, the government is spending big and delivering for Australians, for Territory families and Territory business.
Superannuation Liability – Accuracy of Statement by Chief Minister
Mr MILLS to TREASURER
Last week, I told this House that wage increases affect the Territory’s superannuation liability because those increases eventually resonate through to the superannuation liability and increase it over time. To that, the Chief Minister responded by saying: ‘There is no link between liabilities and the current wages of public servants’. Was the Chief Minister correct in saying that the changes in wages rates now have no affect on superannuation liability?
ANSWER
Madam Speaker, I thank the Leader of the Opposition for his question, because it will help to clear up some confusion that he may have in regard to the superannuation liability. The liability that is referred to in debates and discussion is the liability that we carry as a result of the Commonwealth Superannuation Scheme and the NTGPASS scheme. The significant aspects of that liability start to really kick in, in around 2018 to 2023. They are schemes that we carry significant liability for. They will, obviously, affect us across the budget years.
Obviously, by closing those schemes which occurred, we were able to ensure that we are dealing with the superannuation that we are carrying as part of the employment package. Our pensions are indexed according to CPI, so we are carrying through, in an operational sense, all of those costs.
However, the superannuation liability that is referred to in debate, significantly the Commonwealth Superannuation Scheme and the NTGPASS scheme, which, as I said, we really start to have some payment issues in around 2018. This is why we are putting funds aside now in this budget, and why we put funds aside last year as well - to meet those future superannuation liability needs. Any sensible financial management will take that approach that we have adopted.
The Chief Minister’s statements were absolutely correct. Again, I say to the Leader of the Opposition, he seems to be somewhat confused about where these liabilities sit.
Budget 2008-09 – Community Service Measures
Ms ANDERSON to MINISTER for FAMILY and COMMUNITY SERVICES
Can the minister detail community service measures in the budget to benefit Territory families?
ANSWER
Madam Speaker, I thank the member for Macdonnell for her question. The Henderson government said delivering for Territory families is its No 1 priority, and Budget 2008-09 delivers on that commitment. If we look at the budget for the funding for families, our young people and children who need support, it is provided with an additional $2.5m to support the new Family Responsibility program. That program is very important because it will look at supporting those families having trouble with children at risk and getting into trouble with the law. By putting that in place and putting the money there, we will be able to case manage the at-risk youth and their families and reduce the chances of those children and young people getting into trouble and involved in crime.
With that budget for community services, $3.7m is to subsidise the cost of childcare, with increased funding for child health programs; $1.9m for family support services; and $1.2m for child and adolescent mental health services - a very important area which gets an increase.
As we have heard, Budget 2008-09 puts in an additional $57m on top of what we are already spending in Closing the Gap funding. That includes $1.7m for the important areas of child protection and getting those workers out into those communities; an additional $2.5m for child protection workers, and particularly the out of home care, which certainly needs to be done; $2m for the sexual assault referral and family violence services, which I am particularly quite excited about the expansion of the services into Katherine; and $1.5m for integrated child and family centres.
I have already spoken about the Children’s Commissioner’s role, which is an important one, which will be pivotal to pulling together all of the initiatives that we have done in targeting families and working with those children.
Madam Speaker, the Henderson government is continuing to support families through Budget 2008-09. We are delivering for Territory families, which is our No 1 priority.
Superannuation Liability – Accuracy of Statement by Chief Minister
Mr MILLS to TREASURER
You have just said that the Chief Minister’s assertion that changes to the current wage levels was having no effect on the Commonwealth Superannuation Scheme or NTGPASS was correct. We have taken time to ask several people, including financial advisors who have knowledge of these schemes, and they have all advised that the Chief Minister is wrong. How can you possibly claim good management of the Territory budget when the Chief Minister does not understand one of the greatest sources of Territory debt?
ANSWER
Madam Speaker, I contend that the Leader of the Opposition is wrong. I contend that what he is asserting in the Chamber today in this regard is, fundamentally, wrong. It is really hard to understand where he is coming from when, apart from his recycled leadership and recycled ideas, he will say one thing one day and chop to another thing another day. I will give one example of what we are dealing with here. We have been all over the issue of wages policy and debt and liabilities into the future years. We all know that the government is in the midst of a teachers EBA negotiation with the teachers union ...
Mr MILLS: A point of order, Madam Speaker! I would like an understanding of your ruling on the area that people have to wander when they are answering direct questions in parliament. How far can they go?
Madam SPEAKER: There is a long-standing understanding that there is a lot of latitude in the asking and answering of questions. That has related both to me as the Speaker and in rulings given by previous Speakers. I should say that it is also common in the Commonwealth parliament.
Mr MILLS: So, effectively, you do not have to answer the question - is that how it works?
Members interjecting.
Madam SPEAKER: Treasurer, if you could keep as close as possible to the question that has been asked.
Ms LAWRIE: Absolutely. The discussion goes to the issue of payroll and the payment of expenses in terms of wages and superannuation. In raising the teachers’ EBA, I am raising the point of wages and the impact of EBA negotiations on the operating expenses of government; significantly, the expenses of funding our public servants, of which a classification is teachers. So there we are, I have done the direct link for the Leader of the Opposition if he could not follow it.
We all know the Leader of the Opposition has been out promising that he would meet the teachers’ EBA request. They were seeking 15%, so the Leader of the Opposition said: ‘Well, if I was in government then I would meet that 15% because we want to make the teachers the best paid in Australia’. Interestingly enough, with his opportunity today in his budget response - and I have had a copy given to me of his Country Liberal Party budget response, the programs and the costings against them - the teachers’ wages funding is not there anywhere. So, is it a broken promise already? Is that commitment to teachers’ wages already gone? Has it gone? Is it a broken promise?
I wonder why he would expect us to accept his assertion in the Chamber here today, when certainly all the advice I have and the advice I trust - as opposed to what the Leader of the Opposition is leading with – says it is wrong.
Budget 2008-09 – Regional Development
Mr HAMPTON to MINISTER for REGIONAL DEVELOPMENT
Budget 2008-09 delivers for families and invests in the Territory’s future. Does that extend to regional families and regional development, and how do the regions fare in Budget 2008-09?
ANSWER
Madam Speaker, I thank the member for his question. Yesterday, the Treasurer delivered Budget 2008-09, a budget for all Territorian families, and all Territorians no matter where they live. A moment ago, I spoke about business, and my department, DBERD, has $8.1m to spend specifically in the regions.
I highlighted $300 000 for the Economic Development Committees; $600 000 for Indigenous Business Development Programs; and, of course, $150 000 allocated for business skilled migration programs specifically for Central Australia. We will continue to focus on regional development, designing special programs aimed at Katherine, Jabiru and Tennant Creek; the details of which will be announced in the near future.
In my other portfolio of Tourism, a significant portion of funding is allocated to regional activities. Budget 2008-09 includes, for Alice Springs: $615 000 funding for tourism in Central Australia to deliver marketing, industry enhancement and visitor information centres; $1m for a Red Centre Way global marketing campaign; and $100 000 funding in support of the Hermannsburg Western Aranda tourism development.
For Tennant Creek: $30 000 for the Barkly Region Tourism Development Plan; $90 000 funding for the Battery Hill Mining Centre to deliver visitor information services; $100 000 to employ a new Tennant Creek-based industry development officer to service the local tourism industry; and $400 000 for a combined Katherine and Barkly marketing campaign.
For Katherine – the member for Katherine is always keen to hear what is happening in Katherine: $255 000 to the Katherine Town Council to deliver visitor information services; and $100 000 to employ a new Katherine-based industry development officer to service the local tourism industry.
At East Arnhem: $165 000 for an Indigenous Tourism Hub to provide financial and administrative support for emerging indigenous enterprises; and $50 000 in funding for tourism infrastructure in Arnhem Land.
Yesterday, I made a statement about housing of $1bn to be delivered over the next five years. That is double the effort from the previous five years. Also, an extra $1m will be provided for upgrading Power and Water assets in Darwin, but especially in the regions. The construction of a new power station at Owen Springs Station in Alice Springs is under way; and a new generation augmentation at Katherine power station remains on schedule to be completed in 2009-10. In addition, there will be $1.6m for the construction of a new power station in Bulman; $0.5m to increase the fuel storage at Papunya; $0.5m to extend the power house and construct a control room at Willowra; $600 000 to upgrade the Yuendumu sewage ponds; $2.2m to connect Wallace Rockhole to the Hermannsburg electricity system; and Rittarangu to the electricity system at Ngukurr.
We are spending money in the regions where it really matters. Economic activity in the urban centres is significantly high, but in the regions we are putting the money in place so that there will be jobs for Territorians, jobs for local business and many opportunities for a lot of Territory families.
Budget 2008-09 - Pensioner Concessions
on Stamp Duty
on Stamp Duty
Mrs BRAHAM to TREASURER referred to MINISTER for SENIOR TERRITORIANS
Whoopee, thank you, Madam Speaker.
Madam SPEAKER: Member for Braitling, if you are not happy with the call, you can resume your seat.
Mrs BRAHAM: I beg your pardon, Madam Speaker?
Madam SPEAKER: If you are not happy with the call, you can resume your seat.
Mrs Braham: I am very happy, Madam Speaker.
Madam SPEAKER: Thank you, member for Braitling.
Mrs BRAHAM: Madam Speaker, I am very pleased that you have acknowledged me for a question.
This Budget 2008-09 submission from the Northern Territory government was given to the then minister for Ageing in November last year and the current Minister for Senior Territorians in February this year but, as he seems rather reluctant to answer questions regarding policy for Territorians, I would like to ask the Treasurer.
In this submission - which I do not know whether you have read - senior Territorians make the point that many of them like to stay in the Territory and downsize. We have noticed that you have decreased the stamp duty rate for first homebuyers. Considering you gave no consideration to increasing the concession rate for pensioners yesterday, would you now provide the same concessional rate to seniors when downsizing their homes as first homebuyers so they can stay in the Territory?
ANSWER
Madam Speaker, I thank the member for Braitling for her question. She is a fantastic advocate for senior Territorians. I always enjoy her contribution with suggestions and ideas, and I will never dismiss anything that the member for Braitling says in any debate regarding seniors.
With the stamp duty concessions that the government announced as part of Budget 2008-09, senior Territorians are significant beneficiaries of this as well. The adjustment in the stamp duty rate does provide them with an opportunity to have a reduced stamp duty when they choose to downscale their housing options, as the member for Braitling suggested.
The principal place of residence concessions would apply. The reduction in the stamp duty rate that I announced as part of Budget 2008-09 would, indeed, apply. Depending on the value of the property and things like that, there would definitely be some savings there for senior Territorians who are downscaling their residence. Factoring in that they have a residence to sell, they are, obviously, comfortably off in the property market ...
Mrs Braham: So the answer is no.
Ms LAWRIE: Madam Speaker, I am saying that seniors also are winners in the stamp duty rate reductions announced yesterday. Indeed, if they are selling their principal place of residence for another principal place of residence, then the concessions there would apply to seniors equally.
Mr BONSON (Senior Territorians): Madam Speaker, just to add to the query from the member for Braitling.
I do not know if the member for Braitling is aware of some announcements that occurred last week, in particular, the announcement with Southern Cross Care about the old facility at the Waratah club. Basically, Southern Cross Care is putting in around $11m, the Commonwealth government is putting in $6.8m, and the Northern Territory government, in partnership with them, is donating the land at the Waratah Oval.
One of the issues, as she would be well aware, is appropriate housing for seniors. As we know, we have had a marked increase in seniors deciding to stay in the Northern Territory, and there are a number of reasons why. As we know, the history of the Northern Territory was that people came to the Territory, like most of the CLP, looking for opportunity. When they arrived here, they took those opportunities up, whether in small business, working for the public service, or whatever it might have been, and they raised families here. That is 20 to 30 years. However, what the tradition was …
Mrs BRAHAM: A point of order, Madam Speaker! I am confused. Why is this minister standing up talking about anything except in relation to the question I asked?
Mr BONSON: Madam Speaker, I am addressing that. I am talking about housing, and if she would like to know about housing …
Madam SPEAKER: Minister, please pause. It is the usual practice in this House that one minister receives a question and, if the minister who is asked the question originally wishes another minister to answer that question, they direct that minister to answer the question. That has not happened in this case so, minister, I ask you to give a very brief answer.
Mr BONSON: Madam Speaker, I picked up that the member for Braitling mentioned both me as Senior Territorians Minister and the Treasurer. I thought she would like to know the answer if she mentioned both of us, rather than grandstanding ...
Mrs Braham: Is it going to be different from the Treasurer’s?
Mr BONSON: The reality is that housing is a big issue in the Northern Territory for seniors. We are right across it. Hopefully, we will make some very big announcements about seniors and working groups between different departments to address these issues. However, we are very pleased to be working in partnership with both the Commonwealth government and Southern Cross Care on an initiative that will provide $42m of options for seniors.
Member for Braitling, any time you would like a briefing, I would love to give you one.
Superannuation Liability – Steps
to Stem Increase
Mr MILLS to TREASURER
Treasurer, I take it that you do understand that current public service wage rates do, in fact, affect the unfunded superannuation liability. This liability, as you would know, has exploded under the ALP to being over $1bn more than it was in 2001. Rather than accept responsibility, the only response we have had from government is to blame past actuaries. Other than losing $32m out of your mega superannuation savings on the stock market last year, what else are you doing to deal with this ballooning $2.5bn problem?
ANSWER
Madam Speaker, I thank the Leader of the Opposition for the question. I will take him through the issue of future superannuation liabilities. They are assessed on a basis of actuarial advice. They take into account a number of factors, including the average life span of pensioners, inflation rates, contributions made by employers through their employment, and when the employee retires. They are not directly related to current wage rates. Actuarial reviews are done every three years, when all these factors are taken into account.
The ballooning that the member opposite talks of - and he glosses over this, he does not even refer to it, which is why the man is a bit of an economic vandal and absolutely unbelievable in what he is talking about here today. He knows, as I know, there was a change in the actuarial assessment of the superannuation liability. He knows as well as I know that occurred a few years ago. He knows as well as I know that change occurred and it was explained by the previous Treasurer in this House as a result of, sadly, tragically, the death of the actuary who had been doing the superannuation liability assessments previously. Therefore, the blowout he refers to is a change in the actuarial assessment of the superannuation liabilities.
Unlike the CLP, who had a bitter view that ‘You can put everything on a credit and worry about it sometime later’, you heard the minister for Business talk about the actual effect of that when we came to government in that their capital works program, for example, had no cash against it. Unlike the CLP, this government is actually putting funding into a Conditions of Service Reserve Trust, which is reducing down the nett debt employee liabilities revenue ratio that we have. We inherited it at about 134%, and it is coming right down at around 104%, and will be reduced in the next few years. We put $20m against it in this budget.
Therefore, the assertions from the Leader of the Opposition are wrong, misleading, and he completely ignores the change in actuarial that occurred a few years ago. Wrong and misleading - the man is an economic vandal.
Budget 2008-09 – Local Government
Ms McCARTHY to MINISTER for LOCAL GOVERNMENT
Can you please inform the House how the budget invests in the future of local government?
ANSWER
Madam Speaker, I thank the member for Arnhem for her question. This government is committed to improving local government, as we see it as a very significant area within the Territory. We see the changes within local government as an investment in the future of Territorians. What does Budget 2008-09 do for local government? This government has invested an extra $5m into these new shires as one-off transitional costs for the first year. This brings the total investment for local government reform to $27m.
In these reforms, getting local government right is critically important for the future of the Territory. We see it as an investment in the future of the Territory and the lives of Territorians. Getting this right will improve the lifestyle and the work life out bush, and the ability for families there to raise their children.
Local government is truly moving ahead. The modernisation of local government, bringing it into a contemporary world with legislation and structures, will certainly put it in good stead for future years. These new, stronger councils will also lead regional development, and this will lead to improving conditions out bush and helping fix the bush. This Henderson government is truly delivering for Territory families by investing in the future with this new system of local government.
Remote Housing – Alleged Discontent
Mr MILLS to CHIEF MINISTER
You met with the federal minister for Indigenous Affairs on 6 March 2008. A minute from that meeting says:
- Minister Macklin will seek to engage the Territory government in a political discussion to set out strategies for managing the discontent that may present outside the 20 priority communities identified under the Remote Housing MOU.
She made it clear that the Territory and the Commonwealth governments must stick together on this front. What strategies have you developed to manage the discontent of those who live …
Ms LAWRIE: A point of order, Madam Speaker! The Leader of the Opposition has shown that in Question Time today he has simply been unbelievable. Can he table his assertions?
Mr Mills: Oh, ‘simply unbelievable’ – good try.
Members interjecting.
Madam SPEAKER: Order! There is no point or order. Please continue.
Mr MILLS: I know it is a little embarrassing. I will continue?
Madam SPEAKER: Yes, continue.
Mr MILLS: I am tempted to start again.
What strategies have you developed to manage the discontent of those who live in the 60 or so communities who miss out? Will you stick together with the federal minister when it is not in the interests of Territorians?
ANSWER
Madam Speaker, I welcome the question from the Leader of the Opposition. I will tell you what the strategy is, Madam Speaker: over $800m on housing investment in the bush over the next five years. That is what the strategy is: over $800m-worth of investment to make the biggest inroad into one of the biggest challenges the Territory has faced since self-government, which is to improve housing in the bush for Territorians who live in the bush. That is the strategy, Madam Speaker.
I am very proud to be the Chief Minister who has actually worked, with my Cabinet colleagues, and the new incoming federal Labor government, in a spirit of partnership to deliver this most vital reform for the Northern Territory ...
Members interjecting.
Mr HENDERSON: It is a partnership - a true partnership. There will also be a partnership with indigenous communities in the bush with which we will have significant consultation about the housing that is to be put in the bush. The other great reform is, not only will there be significant new and thousands of upgraded houses so desperately needed in the bush, there will be a very concerted effort - and I am sure we will get significant outcomes, in terms of …
Mr MILLS: A point of order, Madam Speaker! This laxity issue again. It misses the thrust of the question. How is the discontent going to be managed? What strategies are in place for that issue? That is the question.
Madam SPEAKER: There is no point of order. The Chief Minister has the call.
Mr HENDERSON: Thank you, Madam Speaker. There is $800m-worth of investment in housing in the bush. I can say there is not a great deal of discontent about it.
The process to determine how this money will be rolled out will be based on need. Again, for the first time, the Commonwealth government is acknowledging that significant housing dollars should be allocated by need. That is a great breakthrough. I have never been Housing minister; a number of my colleagues have and have been to Commonwealth/State Housing agreement meetings and meetings of Housing ministers over the years. Traditionally, funding was allocated on a population basis. This is the first time it has been allocated on need.
It was a magnificent day to make that announcement with the federal Indigenous Affairs minister. It is money that is vitally needed in the bush. I am very proud to be Chief Minister working in partnership with the Commonwealth government to deliver over $800m into remote housing over the next four years.
Budget 2008-09 – Benefits to Anglers
Mr WARREN to MINISTER for PRIMARY INDUSTRY and FISHERIES
We all know that fishing is very popular in the Territory. It contributes significantly to our great lifestyle, businesses, and actually creates jobs. Can you please advise the House what Budget 2008-09 will deliver anglers to ensure that fishing remains the lure of the Territory?
ANSWER
Madam Speaker, I thank the member for Goyder for his question. He is a very keen recreational fisherman. As we know, fishing is the lure of the Territory and it is more popular than anything else in the Territory. It makes a very important contribution to our lifestyle and to our economy. Over 100 000 tourists a year come to the Northern Territory just to wet a line, and we have more boats per capita than anywhere else in Australia.
The Treasurer’s Budget 2008-09 does more for the Territory’s great lifestyle, and is also investing into the future of the Northern Territory fisheries. The Northern Territory government has increased investment for anglers in the 2008-09 Budget. I am pleased to say that $1m has been allocated for infrastructure for this year. That is $500 000 more than last year. We will work closely with anglers and the associations to work out what the priorities are for upgrading the areas around our coast.
We have also committed to the future of recreational fishing by announcing a $4.6m boat ramp at East Arm and other facilities there to help recreational fishermen. Tenders have also been called for the pontoon at Dinah Beach that will help a lot of fishermen get in and out of their boats without getting their feet wet.
Fishing experience into the future has been assured by this government. We are committed to investing in fishing. We will ensure that fishing is the lure of the Territory into the future. I thank my fishing division for the work that they have done. I know they have worked closely with the Department of Planning and Infrastructure to look at some of this work to be undertaken.
However, Madam Speaker, if the Leader of the Opposition had his way, none of this would have happened, because he would have sacked a lot of public servants.
Budget 2008-09 – Lower Increase in
Budget for Police, Education and Health
Budget for Police, Education and Health
Mr WOOD to TREASURER
Your budget shows an average increase in government wages overall of 3.12%. Why is it that the three most important departments, Police, Education and Health, have all had a budget increase of less than the average 3.12%: Police 2.08%, Education 1.3% and Health 2.05%? Does this reflect a lessening of your government’s commitment to the people who work in these essential areas?
ANSWER
Madam Speaker, I thank the member for Nelson for his question, but his hypothesis is wrong. Basically, there has not been the reduction that he is talking about. The variations affect those budgets. They all had higher payments in 2007-08, primarily as a result of the federal intervention. This affected global budget figures. He has tried to extrapolate something out of there that does not exist.
Budget 2008-09 – Tourism Industry Benefits
Ms ANDERSON to MINISTER for TOURISM
Budget 2008-09 delivers for Territorians. Can the minister advise the House on the benefits it delivers to the Territory’s tourism industry?
ANSWER
Madam Speaker, I thank the member for her important question. The budget delivers for families and Territorians, but especially for families that are involved in the tourism industry. The tourism industry is one of the most important industries in the Territory, contributing 6.7%, or $650m, in gross value added to our economy, and also accounts for 11.7% of Northern Territory employment. That translates to 11 000 jobs.
Our government has recognised the importance of this industry. That is why we have committed to an ongoing additional funding of $10m per annum to Tourism NT. That brings the total funding for the agency to $39.4m in 2008-09.
Some of the budget highlights for tourism this year are $1m to build on indigenous peoples’ interest in tourism by developing new projects from emerging indigenous entrepreneurs. That means more jobs for indigenous Territorians in the regions. We are aware that environmental lobby groups are campaigning against long-haul travel to New Zealand and Australia. To counteract that, we have allocated $0.5m for environmentally sustainable initiatives, including $300 000 for Make the Switch grants, a program to encourage the use of sustainable energy sources and to employ the best practice initiatives for the tourism industry.
There is $1.1m for aviation, to increase the Territory’s competitive position in access from key source markets. We will work together with the airlines on marketing campaigns to drive up business, passenger numbers, and tourists to the Northern Territory. There is funding of $29m for marketing output to promote the Territory to encourage increased visitation in regional areas.
There is a movie coming out in November 2008: Australia. That movie, from what I have seen, will be bigger and better than Titanic and it will put Darwin on the map. From the preview I have seen, I was very impressed. I have to tell you, in the photograph today in the NT News, entitled The Romantic Darwin, there were three ladies who work in tourism behind me and, during the 10-minute preview, they were wiping away tears, so it must be working well ...
Members interjecting.
Mr VATSKALIS: It must be Baz Luhrmann, I do not know, but it is something. We have to grab these opportunities, to piggyback on movies like this that highlight Darwin and the Territory. That is why we have allocated $600 000 for promotion on the back of that particular movie. Do not forget what happened with Lord of the Rings in New Zealand and in other jurisdictions.
We are also spending $1m for a global Red Centre Way marketing campaign. We do not forget the regions. We developed a program in 2005, Strengthening the Position of Alice Springs Tourism. We have been working to promote and attract tourism in regional centres, including Alice Springs. We have 30 action items to improve Alice Springs as a tourist destination, despite the attempts by certain people in the region to counteract our campaign with negative publicity. For every single dollar we spend, they manage to generate about $3 to $4 negative publicity. However, we are working very hard to attract people to Alice Springs.
With this plan, we are engaging Charles Darwin University to undertake a consultation process that includes surveys and focus groups. We want to ask the operators how to proceed to develop a new action plan, and we have allocated $40 000 in Budget 2008-09. These are some of the items in Budget 2008-09 to promote tourism because, as I said before, for a lot of families in the Territory, their livelihood is in tourism.
Ms LAWRIE (Leader of Government Business): Madam Speaker, I ask that further questions be placed on the Written Question Paper.
Last updated: 09 Aug 2016