Mr WARREN - 2007-04-18
Before the tea break, I spoke at great length of how proud I am of Alice Springs. Can you please update the House on the economy of Alice Springs and what the prospects are for the future?
ANSWER
In case you missed Ted before dinner, I am after dinner. Madam Speaker, I thank the member for Goyder for his question. He did give a deliberate statement before dinner, which I appreciated very much. Those who read the Parliamentary Record in the future will also come to appreciate it.
When we look at the health of the economy and how it is travelling, there are a couple of things we look for: evidence of jobs growth in the labour market, of public and private investment and how that is travelling, and of commercial and retail activity. There is clear evidence to us that all three of those indicators are strengthening within Alice Springs. In fact, the economy is strong and buoyant.
Jobs growth across the Territory is running at about 6%, which is at historic high levels for the Northern Territory. Business people I have spoken to this week here indicate difficulty in obtaining workers in some key areas. That means there is a strong level of choice for employees in Alice Springs about where they choose to put their labour. That means and indicates, of course, a pretty robust and strong jobs market.
I have broken down the expenditure of government capital works and infrastructure over the last few years. The figure for government expenditure through 2005-06 was $100m. We deliberately spread that money over quite large projects, medium-sized projects, and smaller-sized projects to ensure we captured as many of the contractors as we could. It is a deliberate strategy that we continue to run out right across the Territory. Major projects include Red Centre Way, the Alice Springs Hospital, power and water generation, staff housing, Stuart Lodge, the Desert Knowledge Centre, and the Desert Peoples Centre. That increase in government expenditure is also attracting an increase, importantly, in private investment. The private sector major works under way at each December for the last three years shows expenditure in December 2004 at around $14m; December 2005 - $32.2m; and December 2006 - $33.2m. That increase in private sector investment in major project is, again, a sign of tremendous confidence in the local economy.
Territory-wide, the retail spend is growing at around 10.6% up to February 2007. Taken into context with the Australian average equivalent of 6.6%, the Territory is going very strongly indeed. Of course, that is matched in Alice Springs as evidenced by the increased public and private sector investment in infrastructure and increased mining and tourism.
There is mining growth in the region. The Molly Hill tungsten project on the Plenty Highway will pick up a workforce of around 62 people. Olympia Resources plan to commence the construction phase of the Harts Range abrasive project in the second half of 2007. Arafura Resources’ rare earth and phosphate project near Aileron is a mine of 20-years-plus life. Newmont Australia’s operation has 534 staff, discovering more mineral. If they decide to proceed with an expansion, we will see extensive construction costs sunk into the region.
Tourism numbers are up. Visitor numbers to the end of 2006 are up on the visitor numbers for the comparable period for 2004 - we still do not have 2005 figures. There were 111 000 in 2004, and 133 000 currently. In talking to tourism and business people, it does look like a healthy start to the tourism season this year.
The total spend in the same period is also up considerably. Therefore, if you add all those things together you get some indication that the Alice Springs economy is, in fact, moving ahead. It will gather further pace this year as the expenditure of some of those major projects kick in and, of course, some of those early projects in the next financial year. Alice Springs has a bright future.
I have been looking, as Treasurer, with Treasury, Cabinet and my office, over the last couple of months at the whole exercise of building the 2007-08 budget. I have waited throughout that period for some sign that the Leader of the Opposition or the member for Greatorex might write to me to tell me what they saw as the needs in Alice Springs - something that they saw as important for Treasury to put in the budget ...
Members interjecting.
Mr STIRLING: I tell you, Madam Speaker, every year my office receives letters …
Ms CARNEY: A point of order, Madam Speaker!
Madam SPEAKER: Minister, please pause. Leader of the Opposition, what is your point of order? Order!
Ms CARNEY: I seek your guidance, Madam Speaker. We saw it yesterday and we are seeing it again tonight - unusually lengthy answers. This is an attempt by government to avoid questions from the opposition. I ask that you direct government ministers to be more timely in the delivery of what amounts to ministerial reports.
Mr Henderson: Well, that is two minutes you have just wasted.
Madam SPEAKER: Order! Leader of the Opposition, there is no point of order. Minister, continue.
Mr STIRLING: Thank you, Madam Speaker. I am just getting to the best part. Every year, members of parliament write to me about their electorate, their schools, their shopping centres, their roads, public toilets - any number of things …
Dr Lim interjecting.
Mr STIRLING: Did the member for Greatorex write to me?
Madam SPEAKER: Order! Member for Greatorex, cease interjecting.
Mr STIRLING: Did the Leader of the Opposition write to me? No, no such letter. Not one word from them. Not even a letter, not a request, not a phone call. Well, that does not say much for two people who claim to be the voice of Alice Springs. It does not say much for the representation that they provide to government at budget preparation time.
However, I want to make this assurance. I want to assure all the people here tonight that, just because the Leader of the Opposition and the member for Greatorex do not make representation on their behalf, this government makes sure that they are not overlooked in the budget.
Members: Hear, hear!
Mr Mills interjecting.
Mrs Braham interjecting.
Mr STIRLING: I ask for that to be withdrawn, Madam Speaker.
Madam SPEAKER: Deputy Chief Minister, I am sorry I did not actually hear it. Who is the member?
Mr STIRLING: The member for Blain. I ask for the word ‘grub’ to be withdrawn.
Madam SPEAKER: Member for Blain, I ask you to withdraw.
Mr MILLS: Madam Speaker, I withdraw the word ‘grub’.
Madam SPEAKER: Thank you, member for Blain. Order!
ANSWER
In case you missed Ted before dinner, I am after dinner. Madam Speaker, I thank the member for Goyder for his question. He did give a deliberate statement before dinner, which I appreciated very much. Those who read the Parliamentary Record in the future will also come to appreciate it.
When we look at the health of the economy and how it is travelling, there are a couple of things we look for: evidence of jobs growth in the labour market, of public and private investment and how that is travelling, and of commercial and retail activity. There is clear evidence to us that all three of those indicators are strengthening within Alice Springs. In fact, the economy is strong and buoyant.
Jobs growth across the Territory is running at about 6%, which is at historic high levels for the Northern Territory. Business people I have spoken to this week here indicate difficulty in obtaining workers in some key areas. That means there is a strong level of choice for employees in Alice Springs about where they choose to put their labour. That means and indicates, of course, a pretty robust and strong jobs market.
I have broken down the expenditure of government capital works and infrastructure over the last few years. The figure for government expenditure through 2005-06 was $100m. We deliberately spread that money over quite large projects, medium-sized projects, and smaller-sized projects to ensure we captured as many of the contractors as we could. It is a deliberate strategy that we continue to run out right across the Territory. Major projects include Red Centre Way, the Alice Springs Hospital, power and water generation, staff housing, Stuart Lodge, the Desert Knowledge Centre, and the Desert Peoples Centre. That increase in government expenditure is also attracting an increase, importantly, in private investment. The private sector major works under way at each December for the last three years shows expenditure in December 2004 at around $14m; December 2005 - $32.2m; and December 2006 - $33.2m. That increase in private sector investment in major project is, again, a sign of tremendous confidence in the local economy.
Territory-wide, the retail spend is growing at around 10.6% up to February 2007. Taken into context with the Australian average equivalent of 6.6%, the Territory is going very strongly indeed. Of course, that is matched in Alice Springs as evidenced by the increased public and private sector investment in infrastructure and increased mining and tourism.
There is mining growth in the region. The Molly Hill tungsten project on the Plenty Highway will pick up a workforce of around 62 people. Olympia Resources plan to commence the construction phase of the Harts Range abrasive project in the second half of 2007. Arafura Resources’ rare earth and phosphate project near Aileron is a mine of 20-years-plus life. Newmont Australia’s operation has 534 staff, discovering more mineral. If they decide to proceed with an expansion, we will see extensive construction costs sunk into the region.
Tourism numbers are up. Visitor numbers to the end of 2006 are up on the visitor numbers for the comparable period for 2004 - we still do not have 2005 figures. There were 111 000 in 2004, and 133 000 currently. In talking to tourism and business people, it does look like a healthy start to the tourism season this year.
The total spend in the same period is also up considerably. Therefore, if you add all those things together you get some indication that the Alice Springs economy is, in fact, moving ahead. It will gather further pace this year as the expenditure of some of those major projects kick in and, of course, some of those early projects in the next financial year. Alice Springs has a bright future.
I have been looking, as Treasurer, with Treasury, Cabinet and my office, over the last couple of months at the whole exercise of building the 2007-08 budget. I have waited throughout that period for some sign that the Leader of the Opposition or the member for Greatorex might write to me to tell me what they saw as the needs in Alice Springs - something that they saw as important for Treasury to put in the budget ...
Members interjecting.
Mr STIRLING: I tell you, Madam Speaker, every year my office receives letters …
Ms CARNEY: A point of order, Madam Speaker!
Madam SPEAKER: Minister, please pause. Leader of the Opposition, what is your point of order? Order!
Ms CARNEY: I seek your guidance, Madam Speaker. We saw it yesterday and we are seeing it again tonight - unusually lengthy answers. This is an attempt by government to avoid questions from the opposition. I ask that you direct government ministers to be more timely in the delivery of what amounts to ministerial reports.
Mr Henderson: Well, that is two minutes you have just wasted.
Madam SPEAKER: Order! Leader of the Opposition, there is no point of order. Minister, continue.
Mr STIRLING: Thank you, Madam Speaker. I am just getting to the best part. Every year, members of parliament write to me about their electorate, their schools, their shopping centres, their roads, public toilets - any number of things …
Dr Lim interjecting.
Mr STIRLING: Did the member for Greatorex write to me?
Madam SPEAKER: Order! Member for Greatorex, cease interjecting.
Mr STIRLING: Did the Leader of the Opposition write to me? No, no such letter. Not one word from them. Not even a letter, not a request, not a phone call. Well, that does not say much for two people who claim to be the voice of Alice Springs. It does not say much for the representation that they provide to government at budget preparation time.
However, I want to make this assurance. I want to assure all the people here tonight that, just because the Leader of the Opposition and the member for Greatorex do not make representation on their behalf, this government makes sure that they are not overlooked in the budget.
Members: Hear, hear!
Mr Mills interjecting.
Mrs Braham interjecting.
Mr STIRLING: I ask for that to be withdrawn, Madam Speaker.
Madam SPEAKER: Deputy Chief Minister, I am sorry I did not actually hear it. Who is the member?
Mr STIRLING: The member for Blain. I ask for the word ‘grub’ to be withdrawn.
Madam SPEAKER: Member for Blain, I ask you to withdraw.
Mr MILLS: Madam Speaker, I withdraw the word ‘grub’.
Madam SPEAKER: Thank you, member for Blain. Order!
Last updated: 09 Aug 2016