Mr BARRETT - 2015-02-17
You have announced that a parliamentary select committee will be looking into the proposed lease of Darwin port. Can you outline what the committee will be tasked with looking at?
ANSWER
Madam Speaker, I wish a Happy New Year to everyone in the Assembly and to those observing parliament.
Many people would be aware from my announcement last week that today in parliament I will move for a NT parliamentary select committee to be established to look at Darwin port future operations and investment frameworks. No doubt in the next couple of years – at the end of the INPEX construction period – there will be a change in the dynamics of the Northern Territory economy. We must look at how jobs are created for the future.
There are many reports showing the Northern Territory will move towards an export market. We must ensure ours is the right port for the right time, with the capacity to service the needs of the export industry.
Several bills have been brought into parliament to date. There is also the need for consequential amendments about minor changes to other parts of legislation, which we will seek to action during this sittings period. We have discussed the port and its structure for a long time. We are aware there is 750 m of quay line; we know about the amount of hardstand and investment for reefer points, such as for AACo and the export of boxed beef out of its new abattoir at Livingstone.
We also know the port, at 65% capacity, is full. We are currently sitting on approximately 41% to 43% utilisation, but in two years’ time that is expected to go to 65%. We must expand the port.
A couple of years ago, federal Labor knocked us back on a great deal of money, which we applied for to assist us and the former Labor government to expand the port. We need investment in the port, and it costs hundreds of millions of dollars.
Since early last year we have been talking about how to expand the capacity. The only way to do that is to bring in private sector finance. We were lumbered with a $5.5bn Labor debt legacy, and a $1.1bn deficit when we came to government, but we are doing a good job trying to correct the finances of the Northern Territory. To expand the port and get hundreds of millions of dollars into it, we need to bring in a private operator. We have proposed a 99-year lease and there is a range of options to consider.
I am prepared to put it in blood; the port will not be for sale. Government will run a regulatory regime so we can provide good oversight of the port. We have already put out expressions of interest, of which 30 came in, and have narrowed that down to 29; we removed one. I have asked the member for Blain if he will oversee a parliamentary inquiry to look at port infrastructure. We also asked the members for Drysdale, Fannie Bay and Nelson if they will be involved in that inquiry. It will look at port ownership and operation models around the country and the world. It will also look into financing models and make recommendations about the best operational structure for our port to go forward.
I look forward to hearing from the member for Blain regarding that report so we can provide guidance to pass legislation, as well as the future operation of our port, to support the post-INPEX export industry and create jobs for our kids.
ANSWER
Madam Speaker, I wish a Happy New Year to everyone in the Assembly and to those observing parliament.
Many people would be aware from my announcement last week that today in parliament I will move for a NT parliamentary select committee to be established to look at Darwin port future operations and investment frameworks. No doubt in the next couple of years – at the end of the INPEX construction period – there will be a change in the dynamics of the Northern Territory economy. We must look at how jobs are created for the future.
There are many reports showing the Northern Territory will move towards an export market. We must ensure ours is the right port for the right time, with the capacity to service the needs of the export industry.
Several bills have been brought into parliament to date. There is also the need for consequential amendments about minor changes to other parts of legislation, which we will seek to action during this sittings period. We have discussed the port and its structure for a long time. We are aware there is 750 m of quay line; we know about the amount of hardstand and investment for reefer points, such as for AACo and the export of boxed beef out of its new abattoir at Livingstone.
We also know the port, at 65% capacity, is full. We are currently sitting on approximately 41% to 43% utilisation, but in two years’ time that is expected to go to 65%. We must expand the port.
A couple of years ago, federal Labor knocked us back on a great deal of money, which we applied for to assist us and the former Labor government to expand the port. We need investment in the port, and it costs hundreds of millions of dollars.
Since early last year we have been talking about how to expand the capacity. The only way to do that is to bring in private sector finance. We were lumbered with a $5.5bn Labor debt legacy, and a $1.1bn deficit when we came to government, but we are doing a good job trying to correct the finances of the Northern Territory. To expand the port and get hundreds of millions of dollars into it, we need to bring in a private operator. We have proposed a 99-year lease and there is a range of options to consider.
I am prepared to put it in blood; the port will not be for sale. Government will run a regulatory regime so we can provide good oversight of the port. We have already put out expressions of interest, of which 30 came in, and have narrowed that down to 29; we removed one. I have asked the member for Blain if he will oversee a parliamentary inquiry to look at port infrastructure. We also asked the members for Drysdale, Fannie Bay and Nelson if they will be involved in that inquiry. It will look at port ownership and operation models around the country and the world. It will also look into financing models and make recommendations about the best operational structure for our port to go forward.
I look forward to hearing from the member for Blain regarding that report so we can provide guidance to pass legislation, as well as the future operation of our port, to support the post-INPEX export industry and create jobs for our kids.
Last updated: 09 Aug 2016