Ms MARTIN - 1999-02-24
We just want an answer to this question, okay? Last week, the Country Liberal Party claimed it was impossible to predict how their privatisation agenda would hit our federal health funding. This privatisation agenda has, at its core, the aim of pushing more Territorians into taking out private health insurance. I refer the Chief Minister to the claw-back clause in the Australian Health Care Agreement, which makes it clear we will get less money if more Territorians take out health insurance cover. Given this, can he now tell Territorians how much his privatisation agenda will cost us?
ANSWER
I think there are about 10 question in that. With regard to Commonwealth funding, if the allegation is, as you are making, that somehow we are going to lose Commonwealth funding, there is a formula whereby if private health insurance grows by more than 2%, the current funding formula is…
Ms Martin: Round about 33.4%.
Mr BURKE: Yes. The agreement needs to be renegotiated. That is a national 2% change. It is not something that would be directed at each jurisdiction individually, I wouldn’t believe. But in any case, I wouldn’t see that as the slightest threat at all. In fact, it is my belief that the best thing we can do is give Territorians the opportunity to use the private health insurance that they have, and in doing so if that, over time, ever resulted in the Commonwealth withdrawing some funding because of the lack of need, well so be it.
Ms Martin: So you do have funding withdrawals?
Mr BURKE: The Leader of the Opposition has a simplistic notion of health. Perhaps I will be gracious enough to suggest that maybe, in about 12 months, she might have some idea of what she’s talking about. But she is stretching the realms of imagination to suggest that she has any knowledge of what she’s talking about at the moment. At least she could give me the courtesy of acknowledging the fact that I did participate in that negotiation of the last Australian Health Care Agreement throughout, and I do have some knowledge of what I’m talking about.
Ms Martin: That’s why I asked you about the claw-back clause.
Mr BURKE: The claw back is 2%. I think it is 2% nationally, and it’s a renegotiation that would occur at the ministerial level.
Ms Martin: And you say we’ll lose money.
Mr BURKE: But we should bear in mind, when we look at the Commonwealth effort in our health costs, it is about 50%. We spend about $90m and they spend about $90m. The more important point is that the cost to government, the cost where the threat is entirely to the Northern Territory government, is exponential. For example, the Commonwealth makes no effort in terms of addressing renal dialysis. It is certainly not included in the Australian Health Care Agreement, and the trend lines in terms of cost have been laid out on the public record for all to see.
We need to grow the private sector. I’ve explained it any number of times. I don’t believe there’ll be any threat from Commonwealth funding. In fact, frankly, I believe the Commonwealth will encourage the Northern Territory in our efforts. I haven’t spoken directly to the federal health minister on this issue, and the only reason I haven’t is because of the change of leadership. That task has now been given to the Minister for Health.
I would simply reiterate that when the opposition talks about leaving everything as it is and everything will be wonderful, Territorians should just, please, I plead with them, don’t accept that ideology without question because those days are gone. They have gone in health, they’ve gone in electricity. Ask how your own federal counterpart in New South Wales is trying to deal with the privatisation of electricity.
Ms Martin interjecting.
Mr BURKE: Ask how Andrew Refshauge in New South Wales is trying to get on with the health issues that he’s facing.
Each jurisdiction will have to find its own methods and strategies, but the important thing for Territorians is that any effort we go through in the Northern Territory will value add to this economy. It will value add in services and it will value add in the quality of life to Territorians. There will be absolutely no, no, no effort on the government’s part with regards to our Territory hospitals in our health system unless there is an absolute improvement in the quality and range of services to Territorians. As I have said, effort in growing the private sector in the Northern Territory is fundamental to the way this Northern Territory moves into the 21st century. Any ideology that suggests differently needs to be thoroughly scrutinised because it is designed to lead Territorians on a path to disaster.
ANSWER
I think there are about 10 question in that. With regard to Commonwealth funding, if the allegation is, as you are making, that somehow we are going to lose Commonwealth funding, there is a formula whereby if private health insurance grows by more than 2%, the current funding formula is…
Ms Martin: Round about 33.4%.
Mr BURKE: Yes. The agreement needs to be renegotiated. That is a national 2% change. It is not something that would be directed at each jurisdiction individually, I wouldn’t believe. But in any case, I wouldn’t see that as the slightest threat at all. In fact, it is my belief that the best thing we can do is give Territorians the opportunity to use the private health insurance that they have, and in doing so if that, over time, ever resulted in the Commonwealth withdrawing some funding because of the lack of need, well so be it.
Ms Martin: So you do have funding withdrawals?
Mr BURKE: The Leader of the Opposition has a simplistic notion of health. Perhaps I will be gracious enough to suggest that maybe, in about 12 months, she might have some idea of what she’s talking about. But she is stretching the realms of imagination to suggest that she has any knowledge of what she’s talking about at the moment. At least she could give me the courtesy of acknowledging the fact that I did participate in that negotiation of the last Australian Health Care Agreement throughout, and I do have some knowledge of what I’m talking about.
Ms Martin: That’s why I asked you about the claw-back clause.
Mr BURKE: The claw back is 2%. I think it is 2% nationally, and it’s a renegotiation that would occur at the ministerial level.
Ms Martin: And you say we’ll lose money.
Mr BURKE: But we should bear in mind, when we look at the Commonwealth effort in our health costs, it is about 50%. We spend about $90m and they spend about $90m. The more important point is that the cost to government, the cost where the threat is entirely to the Northern Territory government, is exponential. For example, the Commonwealth makes no effort in terms of addressing renal dialysis. It is certainly not included in the Australian Health Care Agreement, and the trend lines in terms of cost have been laid out on the public record for all to see.
We need to grow the private sector. I’ve explained it any number of times. I don’t believe there’ll be any threat from Commonwealth funding. In fact, frankly, I believe the Commonwealth will encourage the Northern Territory in our efforts. I haven’t spoken directly to the federal health minister on this issue, and the only reason I haven’t is because of the change of leadership. That task has now been given to the Minister for Health.
I would simply reiterate that when the opposition talks about leaving everything as it is and everything will be wonderful, Territorians should just, please, I plead with them, don’t accept that ideology without question because those days are gone. They have gone in health, they’ve gone in electricity. Ask how your own federal counterpart in New South Wales is trying to deal with the privatisation of electricity.
Ms Martin interjecting.
Mr BURKE: Ask how Andrew Refshauge in New South Wales is trying to get on with the health issues that he’s facing.
Each jurisdiction will have to find its own methods and strategies, but the important thing for Territorians is that any effort we go through in the Northern Territory will value add to this economy. It will value add in services and it will value add in the quality of life to Territorians. There will be absolutely no, no, no effort on the government’s part with regards to our Territory hospitals in our health system unless there is an absolute improvement in the quality and range of services to Territorians. As I have said, effort in growing the private sector in the Northern Territory is fundamental to the way this Northern Territory moves into the 21st century. Any ideology that suggests differently needs to be thoroughly scrutinised because it is designed to lead Territorians on a path to disaster.
Last updated: 09 Aug 2016